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eBay ePN "Value Based Pricing" changes

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eBay ePN "Value Based Pricing" changes

Postby Alan Petersen » Sat Aug 02, 2008 7:54 am

If you're an eBay affiliate I'm sure you've seen the email that went out a few days ago about big changes in their ACRU payment. In the past you basically got $25 per new sign up (ACRU) but now they will monitor your traffic and your ACRU will be based on the quality or "value" of your traffic.

I'm not sure how this will affect my eBay niche stores but it does have me worried.

As part of our ongoing effort to reward our best marketing partners and promote trusted commerce on eBay, we are implementing a new pricing structure for Active Confirmed Registered User (ACRU) compensation. The new pricing scheme is based on quality, instead of just volume, and will reward top publishers with up to $50 per ACRU driven to eBay.

Starting today, August 1st, new publishers that join the eBay Partner Network will be placed in this new quality-based pricing structure for the US program.

All publishers that joined eBay Partner Network before August 1st will remain in the existing pricing tiers for a few more months so you can have time to look at the data and see how the change will affect you. As of November 1st, all publishers will be placed in the value based pricing structure for ACRUs.

Here's how it will work. Each publisher will be placed in a quality tier at the end of each month based on that month's and historical traffic. The tiers will range from $1 to $50, and the higher the expected lifetime value of the customers a publisher sends, the higher the tier the publisher will receive. We expect that most affiliates with a history of driving good, consistent traffic won't see a lot of variability from month to month.

Publishers that join after August 1st will be able to see what tier they fall in by going to the programs tab and selecting payments structure for the US program. This tier will be updated on the 9th of each month and will reflect the score for the previous month. The tier will be 0 for the first month while we calculate your first score. Note that your ACRU earnings in your reports will reflect this tier.

If you joined before August 1st, you will continue to only see the same volume-based tiers for now. In September we will release a new separate report that will allow all publishers to break down, by campaign, the quality of the ACRUs you are driving to eBay. We will send more details about this report in a few weeks.

Please note that this change only affects compensation for new user registrations (ACRUs). Payouts for revenue share will continue on the same volume-based tiers for both new and old users. While the current change only affects the US eBay program on eBay Partner Network, we are evaluating this system on a country by country basis and will provide additional updates as they become available.

For more details on how the new pricing structure will work in the US please log into eBay Partner Network and visit the eBay US terms and conditions in the "Programs" tab on eBay Partner Network. There are also FAQs in the Help section of eBay Partner Network ... /help.html and in the user guide in the advertisers and programs tab under "value-based pricing".

We want to continue to reward quality publishers and seek to continuously improve your experience in the program. This change will allow us to match payouts to the value of users and ensure we pay out our best affiliates the highest amounts. Thank you for your service and continued commitment to our relationship
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Alan Petersen
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Postby karynsolo » Sat Aug 02, 2008 2:09 pm

Sounds to me like they are looking for more solid sign ups and by saying that the commissions will vary dependent upon how solid the sign up is, is meant to drive affiliates to target and screen better for the people they refer.

It may be a move meant to deter the thought of posting willy nilly by affiliates on such as messenger channels and forums and encourage safe list building practices to pitch the program to.

I believe they are also wanting to see affiliates bring a steady stream of referral traffic versus just driving traffic here and there when they have the time or feel like it. They want to see that the affiliate is producing consistently thus increasing the reward for such effort.

I may be totally off base but that is how I am reading into what they are saying at least in part.
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Postby CorpRebel » Thu Sep 11, 2008 3:40 pm

Hmmm .... I wonder if this is causing part of the BANS & BayRSS sites mysteriously not working anymore.

Saw alot of complaints over at the WF. Especially on those sites BANS/BayRSS) using HostGator for hosting. HG sayng that eBay is blocking their IP addresses.

No one's ownng up to this yet, obviously.

Good Luck!

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