Ask Me Anything This is a help post. We just launched our affiliate program and would like to know how to reduce the dispute rate. Any suggestions?

[RickFan]

It is difficult to completely avoid disputes related to payments, especially when some users use "unsafe credit cards" for payments. How can disputes be minimized when using affiliates? I hope to hear any valuable information, thank you very much.

 

[T J Tutor]

It is difficult to completely avoid disputes related to payments

The majority of affiliates creating disputes over payments are affiliates that typically use risky traffic sources, or are knowingly sending bad traffic to the offers, maybe using bots for some types of conversions, etc.

Another cause of disputes is "newbies". Newbies are in need of guidance and should be held to a "newbie contract". A contract that is a bit more restrictive than is required for a seasoned affiliate. This can be done by placing caps on earnings, probation periods, etc. This should be mndatory with any and all affiliate networks and affiliate programs.

unsafe credit cards

What do you consider an "unsafe" credit card?

How can disputes be minimized when using affiliates?

I highly recommend never having more than 20% of your affiliates be in the "newbie" category. I also recommend that your onboarding of affiliates be reviewed by an affiliate expert, including having an affiliate interview on Skype be mandatory, and that onboarding affiliate reviewer be responsible for distributed the applicants into the appropriate category.

Maintaining communications with affiliates helps to keep them in responsible behaviors. By discussing with them their needs and their performance you are keeping them on notice that both unscrupulous marketing results in an abundance of chargebacks and dismissals as well as good performance and minimal chargebacks results in higher payouts and other benefits.

 

[Graybeard]

1. Are you an Affiliate network
2. Are you a business offering an affiliate program

They are not the same and the nature of dispute generally is an issue of transparency.
Because "you say so" doesn't really cut it when there is no verifiable data disclosed --this is true any `commission` payment for either a goal achieved or a sale made --and its payment beyond the 'suspense' time (read: charge-back).

I have seen these situations over and over with many parties over a period of 20 years.

There is no absolute solution to this problem occurring with any interested party in a transaction.

AI

 

[RickFan]

The majority of affiliates creating disputes over payments are affiliates that typically use risky traffic sources, or are knowingly sending bad traffic to the offers, maybe using bots for some types of conversions, etc.

Another cause of disputes is "newbies". Newbies are in need of guidance and should be held to a "newbie contract". A contract that is a bit more restrictive than is required for a seasoned affiliate. This can be done by placing caps on earnings, probation periods, etc. This should be mndatory with any and all affiliate networks and affiliate programs.

Hello TJ, thank you very much for your reply; it has been very helpful to me. Regarding your response, I have a few more questions I would like to ask.

You mentioned "risky traffic sources" in your reply. Generally speaking, what kind of traffic trends tend to be higher? Is it possible for us to make an early judgment based on the traffic sources? Can this be achieved through technical means?

In addition, regarding the issue of beginners you mentioned, should we contact the franchisees manually to determine whether they are beginners? If they are beginners, then we need to provide a beginner contract and offer certain restrictions and training, correct? Are these restrictions mainly about limiting the income ceiling of the franchisees to control the amount of risk payments?

What do you consider an "unsafe" credit card?

Specially using stolen credit cards? There should be something else?

I highly recommend never having more than 20% of your affiliates be in the "newbie" category. I also recommend that your onboarding of affiliates be reviewed by an affiliate expert, including having an affiliate interview on Skype be mandatory, and that onboarding affiliate reviewer be responsible for distributed the applicants into the appropriate category.

Maintaining communications with affiliates helps to keep them in responsible behaviors. By discussing with them their needs and their performance you are keeping them on notice that both unscrupulous marketing results in an abundance of chargebacks and dismissals as well as good performance and minimal chargebacks results in higher payouts and other benefits.

Great, this is the best solution I can think of. Thank you very much!

 

[RickFan]

1. Are you an Affiliate network
2. Are you a business offering an affiliate program

Yes, I think we are 2.

They are not the same and the nature of dispute generally is an issue of transparency.
Because "you say so" doesn't really cut it when there is no verifiable data disclosed --this is true any `commission` payment for either a goal achieved or a sale made --and its payment beyond the 'suspense' time (read: charge-back).

I have seen these situations over and over with many parties over a period of 20 years.

There is no absolute solution to this problem occurring with any interested party in a transaction.

yes, this is really troublesome