eBay Affiliate Program To Move To Revenue Share October 1, 2

[TrafficProducer]

eBay Affiliate Program To Move To Revenue Share October 1, 2005

(Just incase anyone missed this information)

you earn significantly more

More Information at eBay

The eBay Affiliate Program is excited to announce a new revenue share compensation structure starting October 1, 2005. This new compensation structure is a huge opportunity for both current and future affiliates to optimize campaigns in very detailed and strategic ways. Affiliates will not only be compensated on the new users they drive to eBay but on existing user's transactions as well. So start thinking about how you are going to get out there and promote!!!

Not an eBay affiliate? Join eBay's award-winning Affiliate Program and become a member of the most innovative and successful program on the Web! By becoming an eBay affiliate, you can earn huge commissions, introduce your site visitors to the remarkable value and selection of eBay, and be a part of the world's largest trading community

Starting October 1, 2005, you will be compensated for traffic you send to eBay.com in two distinct ways:

Winning Bids: Affiliates can earn between 40% and 70% of eBay's revenue (not item sale price) on ALL Winning Bids or Buy It Nows (BINs) within 7 days of an affiliate action.
ACRUs: Affiliates can earn between $12.00 and $20.00 for each ACRU sent to eBay within 30 days of an affiliate action.

The eBay Affiliate Program is based on a tiered payment structure that rewards increased performance. As you drive more ACRUs or revenue, you earn significantly more:

More Information at eBay

The eBay and Commission Junction teams are extremely excited to be rolling the new Revenue Share Commission Structure tomorrow. This is a great opportunity for our publishers to increase their commissions in both the short and long term. The following is important information regarding this change.

Credits Policy

In response to community questions and comments, we want to clarify how we will calculate and account for credits and reversals in publisher commissions.
This credits process is guided by two key principles:

1. Our intention is to not reverse any paid commissions. We understand that publishers want the security that commissions paid to them will not be removed retroactively.
2. Publishers will be paid based on all revenue that eBay actually receives. That is, publishers should be paid on any gross revenues eBay receives less any credits or reversals on that revenue.

To accommodate these two requirements, we will deduct a standard rate of 6.5% of eBay revenue on each individual transaction beginning on October 1st. This 6.5% is the historical rate of actual credits for eBay affiliate program transactions.

Moving forward we will analyze the average rate of credits on your particular account. This historic perspective will determine your “withholding rate” and will be applied to each subsequent transaction you drive. The withholding rate will be updated at the beginning of each month. Please note that the withholding rate will only apply to your Revenue Share transactions and will not apply to your ACRU rates.

In addition to the withholding rate mentioned above, we have instituted a number of additional network quality processes that will monitor affiliates revenue share behavior. In conjunction with the release of the revenue share compensation structure, we will place a set of new terms and conditions into effect through which we reserve the right to delay compensation for suspected non-compliant transactions and pay commission against eBay’s revenue (net unpaid items and credits).

Reporting: How to review Revenue Share performance in CJ’s interface

The following is a step by step guide to reporting within Commission Junctions interface under the revenue share compensation structure:

1. In the CJ Account Manager, select the “Run Reports” tab. This will default to the “Transaction Reports” tab.
2. Select the “Report Options” link below the tab.
3. Under Select Report Type, please take the following steps:
A) Select “Commission Detail”
B) For Advertiser select “eBay”
C) For Action select “Winning Bid”
*Winning Bid reflects ALL revenue earnings (net withholding) under the new compensation structure (Winning Bids and BINs).
4. Under Select Time Frame, select the time period you wish to review. You can choose to view the period by Event Date or by Posting Date.
*Event Date is the date the eBay action for a specific transaction closed;
Posting Date is the date the transaction posts to CJ. Since payout is based on Event Date, this will provide an accurate measure of performance for the period.
5. Select “Generate Report”

Taking a look at the report generated, the second column from the left titled “Sale Amount” reflects eBay’s revenue on each transaction. The third column, titled “Commission”, reflects your earnings on each transaction. The commission amount is calculated at the base tier of 40% of the “Sale Amount”. At the top and bottom of this column you will see “Report Total”. The “Report Total” is your earnings under revenue share for the time period you selected.

If the system is performing slowly, it is advisable to shorten the period of the report, i.e. instead of pulling numbers for a full month, break the period up into two week periods.

If you do not require detailed transaction-level information, instead of “Commission Detail” select “Commission Summary”, select “Group by Advertiser”, select “eBay”, select “Winning Bid” and the time period you wish to view. You may then select “Generate Report”. Under the New column, you will see your daily earnings under revenue share.

Order ID (OID)
The “Order Id” is a field that contains parameters relating to the transaction. This is only viewable by downloading the “Commission Detail” report. The OID contains the following information from left to right: eBay User Id; eBay Item Id; Leaf Category Id; Click Date; Bid Date; and Record Id. This information provides insight into the timing of various activities for the transaction and will allow you to optimize against categories.

Reminder: New Terms and Conditions for the eBay Affiliate program

The new Terms and Conditions reflect both our exciting new change to a revenue sharing model and a more global approach to the affiliate channel. Please take a moment to familiarize yourself with all the new terms, especially these notable changes:

- New restrictions on unacceptable terms
- The addition of delayed compensation for suspected non-compliant transactions
- New requirements for sub-affiliates and/or partners
- New prohibition of sniping tools

These new terms will take effect at 12:00 a.m., October 1st, 2005.

Review: Revenue Share Compensation Structure

Starting October 1, 2005, you will be compensated for traffic you send to eBay.com in two distinct ways:

1. Winning Bids: Affiliates can earn between 40% and 70% of eBay's revenue (not item sale price) on ALL Winning Bids or Buy It Nows (BINs) within 7 days of an affiliate action.

2. ACRUs: Affiliates can earn between $12.00 and $20.00 for each ACRU sent to eBay within 30 days of an affiliate action.

Monthly ACRU Tiers:
1-499 = $12.00 USD
500-2,999 = $16.00 USD
3,000+ = $20.00 USD

Monthly Revenue* Share Tiers:
$0-$4,999.99 = 40.00%
$5,000-$24,999.99 = 45.00%
$25,000-$49,999.99 = 50.00%
$50,000-$99,999.99 = 55.00%
$100,000-$199,999.99 = 60.00%
$200,000-$299,999.99 = 65.00%
$300,000+ = 70.00%
* The eBay program compensates for all Winning Bids or BINs per click from your Web site within a 7 day period. This means that your site links must be used as navigation to the eBay site prior to every Winning Bid or Buy it Now (BIN) transaction in order for you to be compensated for the bid or BIN. Rates are effective October 1, 2005 and available only via Commission Junction.

Q: What is an ACRU?

A: The definition of an ACRU has not changed. An ACRU is defined as an individual who: (a) registers for eBay from the specific URL designated by eBay; (b) confirms his or her registration with an eBay-supplied password sent by email; (c) then goes onto eBay and places a bid or uses BIN to purchase an item within 30 days of their original registration; and (d) does not have an account with eBay at the time of registration. The program is not session based - users do not need to click, register, and make a bid or use BIN during the same visit. They can come back and finish the registration process within 30 days.

Q: How does eBay define revenue that is shared with our affiliates?

A: There are three variables that make up eBay revenue:
* Insertion (Listing) Fees
* Feature Fees
* Final Value Fees
* Minus Credits

Q: What constitutes a credit?

A: A credit is any reversal of transaction revenue. These include, but are not limited to: Insertion Fee Credits, Reserve Fee Credits and Final Value Fee Credits (e.g. Unpaid Items / UPIs)

Please visit http://affiliates.ebay.com/revshare/ for more information on how to calculate revenue.

Q: What constitutes a "Winning Bid" or "Buy It Now (BIN)"?

A: A "Winning Bid" is defined as any bid placed after a user comes to eBay from a link on your site (within 7 days of the original bid cookie being dropped) and that eventually becomes the Winning Bid on the item. A "Buy It Now (BIN)" is defined as any BIN action placed after a user comes to eBay from a link on your site and uses BIN to purchase an item (within 7 days of the original BIN cookie being dropped).

Q: Once visitors click from my Web site to eBay, how long will they be tracked (when do their cookies expire)?

A: Cookies have two distinct expiration dates correlating with our "Winning Bid" and ACRU tiers.

* "Winning Bids" - Cookies expire 7 days after the cookie is placed. During this period of time ALL "Winning Bids" will be compensated under the aforementioned pricing structure.

* ACRUs - Cookies expire 30 days after the cookie is placed. In this period of time a user must become a confirmed registered user and go onto eBay and place a bid or use BIN to purchase an item.

Thank you for promoting the eBay Affiliate Program!

Best Regards,

eBay Affiliate Team

eBay Affiliate

[Linda Buquet]

Hey TrafficProducer,

Thanks so much for sharing that info so that all THOSE affiliates that don't read there email can read it here! ;-)