Quality ClickBank Product

Published on Thursday, November 30th, 2006 6:49 am GMT
Category: ClickBank

Here’s a tip for you if you are planning on promoting clickbank products. When you visit http://clickbank.com/marketplace/ and view the products available for sale you are provided with some very important information.

Under each product you will see PAYOUT STATS:

$earned/sale: $35.08
%earned/sale: 50.0%
%referred: 63.0%
gravity: 451.5

I’ve copied the PAYOUT Stats from a product that is selling for $99.99. Here is where you need to do some research.

$99.99 at a 50% commission is approx $50, so each affiliate should expect to earn $50. At a 50% commission payout the affiliate and the merchant both pay clickbank an equal amount for their charges on each transaction.

Clickbank Commissions are calculated at 7.5% + $1.00 so on the product above, selling at 99.99 clickbank takes approx $8.50 which means affiliates get paid about $45.75 every sale.

Here’s where you can find out a lot about a product and how good it actually is.

Look at the $earned/sale data. For the product above this amount is only $35.08 which means that on average, affiliate are only earning this amount per sale.

The reason the earned / sale is lower that the actual payout ($45.75) is because this product is having nearly a 25% Refund Rate. This says to me that the product is absolute CRAP! Although this particular product has a CRAZY gravity of 451.5, it means that 25% of your sales will be refunded.

This is one way that you can tell if a product is Quality.

Lets take Beating Adwords (Kyle and My ebook). We sell for $97, and we have an earned/sale of $44.42. If you do the math it means virtually no one refunds the product!

Perhaps this will help you find quality products to sell without having to purchase them first. Statistics don’t lie, so this is a very analytical way of finding a quality product.

For those of you who are not familiar with some of the ClickBank terms I’ve used above:

$Earned/Sale: Average net amount earned per affiliate per referred sale. Note that this is the net earned per actual sale, and so it is impacted by refunds, chargebacks, and sales taxes. (Effective 28 July 2005, unfunded sales, such as returned checks, do not impact this number.)

%Earned/Sale: Average percentage commission earned per affiliate per referred sale. This number should only vary if the publisher has changed their payout percentage over time.

%Referred: Fraction of publisher’s total sales that are referred by affiliates.

Gravity: Number of distinct affiliates who earned a commission by referring a paying customer to the publisher’s products. This is a weighted sum and not an actual total. For each affiliate paid in the last 8 weeks we add an amount between 0.1 and 1.0 to the total. The more recent the last referral, the higher the value added.

Quality ClickBank Product

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