What it means
In affiliate marketing, tiered commission a commission structure where the rate increases as affiliates hit performance thresholds. For example, 20% for 1-10 sales, 25% for 11-25 sales, 30% for 26+ sales.
Why it matters
Whether you're launching a new affiliate program or scaling an existing one, understanding tiered commission helps you make better decisions about commission structures, partner recruitment, and growth tactics. Most SaaS founders run into this concept early and benefit from a clear mental model before they start building.
How Refgrow handles it
Refgrow has built-in support for the patterns described above. Calculate tiered commissions to see it in context.
See also
Related terms in the affiliate marketing glossary that connect to tiered commission:
- Tracking Pixel -- A 1x1 transparent image or JavaScript tag placed on a confirmation page that fires a request to the affiliate platfor...
- UTM Parameters -- Tags added to URLs (utm_source, utm_medium, utm_campaign, utm_term, utm_content) to track traffic sources in analytic...
- Webhook -- An HTTP callback that sends real-time data from one system to another when an event occurs. Used in affiliate platfor...