Q: We pay our affiliate manager on signups. Is that the right KPI?
No, and we have the receipts. Our manager's bonus was tied to new affiliate signups. He hit target every month, signups looked great, revenue didn't move.
What we changed the KPI to:
— 70% weight on revenue from activated partners (those who drove a sale within 60 days)
— 20% on retention of existing producing partners
— 10% on signups, just to keep the top of funnel alive
Result: signups dropped 40% the next quarter, but partner-driven revenue rose 22% because his effort moved from collecting emails to actually onboarding people to a first sale. The dead-account drag on our system also shrank.
The caveat: revenue-based KPIs can take a quarter to show because of sales lag, so don't panic-judge month one. And if your manager owns recruiting but not onboarding, fix the org chart before the comp plan.
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Program Desk
@ProgramDesk
Q: We pay our affiliate manager on signups. Is that the right KPI?
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