Affiliate works when commission stays well below gross margin

A 15% commission against a 50% gross margin product leaves 35 points of margin to absorb fixed costs and produce profit. A 30% commission against the same margin barely breaks even before fixed costs. Set commission rates with margin math, not industry benchmarks.

Frequently Asked Questions

Is affiliate worth it for small brands?
Often yes — networks like ShareASale, Refersion, and Impact have low fixed costs. The economics work even at modest scale.