He is the co-founder of Neil Patel Digital. The Wall Street Journal calls him a top influencer on the web, Forbes says he is one of the top 10 marketers, and Entrepreneur Magazine says he created one of the 100 most brilliant companies. Neil is a New York Times bestselling author and was recognized as a top 100 entrepreneur under the age of 30 by President Obama and a top 100 entrepreneur under the age of 35 by the United Nations.
Since new customers are valuable, it makes sense to offer incentives to your affiliate partners to generate fresh traffic and new customers. You may already have new customer marketing incentives in place — perhaps a first purchase discount or another special offer. The same reason you offer those incentives is why you should pay affiliates more for generating new customers. No matter where the incentive is paid — i.e., to the customer or to the affiliate — the result is the same. You’re paying a bit extra to acquire that new customer because you know your ultimate payback is in the customer’s lifetime value.
The concept of affiliate marketing on the Internet was conceived of, put into practice and patented by William J. Tobin, the founder of PC Flowers & Gifts. Launched on the Prodigy Network in 1989, PC Flowers & Gifts remained on the service until 1996. By 1993, PC Flowers & Gifts generated sales in excess of $6 million per year on the Prodigy service. In 1998, PC Flowers and Gifts developed the business model of paying a commission on sales to the Prodigy Network.