Sextoy.com’s affiliate program SexToySex.com has switched to a two-tiered commission structure that enables affiliates to choose between two pricing structures.
The new pricing structure offers the same toys SexToySex has always offered at lower prices, but affiliates also receive a lower commission.
“When we began back in 1995 we always had the lowest prices, but lately we have seen other sites popping up with prices below ours,” said Dave Levine, president of Sextoy.com. “We didn’t want to force everyone to drop prices and commission levels, so we created this voluntary program for those who think lower prices will increase volume enough to make up for the lower commission.”
Levine said he has already had several affiliates switch to the new lower-price, lower-commission structure.
“All of the numbers are laid out,” he said. “You’re able to do the math and figure out if you would make more money one way or the other.”
In addition, Sextoy.com’s free-membership wholesale program, SextoyClub.com is also offering volume-based discounts.
Orders over $500 get a 5 percent discount, over $1,000 get a 10 percent discount, over $1,500 get a 15 percent discount and over $2,000 get a 20 percent discount. Regular high volume customers can get permanent discounts regardless of particular order size.
Levine said that while retail business is flat, wholesale business remains in steady growth.
“We are lowering prices to match the realities in this competitive market,” Levine said. “We want our customers to trust that we always offer the best products and great service at prices as low as anywhere on the Internet.”
