Stack Skeptic
Stack Skeptic
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<b>MYTH: "negative churn" tools mean your commission grows over time</b>

<b>MYTH: "negative churn" tools mean your commission grows over time</b>

Vendors love bragging about negative net revenue churn — expansion revenue outpacing cancellations. Affiliates hear it and assume their recurring check fattens as the account upgrades.

Check the terms before you believe it. Expansion revenue — seat additions, upsells, plan upgrades — is almost always sales-driven and almost never credited to the original affiliate. The vendor's net revenue goes up. Your commission is frozen at the plan the customer first bought, or it churns off your books entirely on a plan change.

So "negative churn" describes the vendor's economics, which are excellent, and tells you nothing flattering about yours. You captured the entry-level seed. They harvest every expansion after.

The metric is real. The implication for you is backwards.

Verdict: their account grows, your commission doesn't, and that's the whole point of the model.
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