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As we all are now aware of the benefits of affiliate marketing and how it works now let us understand how much we can earn through it. Most affiliate networks typically pay between 5% – 15% of each sale successfully converted from a lead of a given affiliate link. However, many sellers offer smaller commissions, particularly in product categories where demand is high. Most sales may result in a one-time payment, but depending on the kind of products or services being sold, some referrals may generate recurring payments. Most regularly subscription-based products and services involve recurrent costs.

When the commission earned from each sale is insignificant, the seller maintains a minimum payment threshold, for example, ₹1,000 or $10. The affiliate partner continues to refer customers, and his commission builds up until it meets the required minimum threshold. Payment is only made when the overall earnings reach a specified minimum amount set by the brand.

For example, if the seller pays a 10% commission on a fashion or beauty product that costs ₹500, you will need to make at least 20 sales to hit the ₹1000 commission threshold and be paid. However, if you’re working on an expensive product like an electronic device worth ₹20,000 and receive a 5% commission, it would only take 1 sale for you to meet the ₹1,000 threshold payment.

If you also want to start affiliate marketing but don’t know where to start? Please look at our 101 Guide on How to start affiliate marketing, where we have explained everything about getting started with affiliate marketing.