Budget management results in 24% revenue growth, lower absolute cost – JEBCommerce

Budget management results in 24% revenue growth, lower absolute cost

Posted September 30, 2021 in
Last updated: October 1st, 2021

Increasing revenue is on everyone’s mind, not just now, but constantly. But doing so while decreasing absolute commission cost, well, that doesn’t happen very often. Our team was effectively able to flip the script for a “best of both worlds” outcome with this education technology advertiser.

Since taking over the program, our client has seen an increase in sales, while at the same time commissions have decreased. Though revenue has increased 24.6% YoY, their publisher commissions have actually dropped 7.6%. JEBCommerce did this by adjusting their base commissions down and adding in tiered bonuses, lowering commissions for some publishers who would drive relatively the same amount of revenue regardless of commission and recruiting new publishers at the new lower commission.

This allowed us to focus their budget on producers who can more directly impact their production, customer acquisition, and revenue generation by spending more with them and right-sizing commissions for the affiliates that don’t have that opportunity.  Effective budget management through appropriate commission strategies allowed us to show true and absolute revenue growth and cost reduction.

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