Tipalti
  • Solutions
    • Accounts Payable AutomationEnd-to-end, invoice-based payments designed for growing companies
      • Supplier Management IconSupplier Management
      • Invoice IconInvoice Management
      • PO Matching IconPurchase Order Matching
      • Global Payouts IconPayment Remittance
      • Payment Reconciliation IconPayment Reconciliation
    • Purchase Order ManagementControl and visibility over corporate spend
    • Global Partner PaymentsScalable payment solutions for creator, ad tech, sharing and marketplaces economy
      • Supplier Management IconPartner Management
      • Global Payouts IconGlobal Payments
      • Fraud Detection IconFraud Detection
      • Self Billing IconSelf-Billing Module
      • Tax Compliant IconTax and VAT Compliance
  • Technology
    • Overview
      • The Tipalti PlatformGlobal, scalable, and fully automated
    • Features
      • Multi Entity IconMulti-Entity Architecture
      • Financial Controls IconFinancial Controls
      • Payment API IconPayment API
      • Secure Cloud IconSecure Cloud
      • MSB IconMoney Services Business
      • AI IconPi Payables Intelligence
    • Integrations
      • ERP & Accounting
      • NetSuite
      • Sage Intacct
      • QuickBooks
      • Microsoft Dynamics
      • Sage Accounting
      • Xero Accounting
      • Performance Marketing
      • Custom Integrations
  • Why Tipalti
    • Overview
      • Why TipaltiA modern, holistic, powerful payables solution that scales with your changing business needs
      • Customer StoriesSee how we transform finance operations
    • Benefits
      • Accolades
      • Invoice-Based Workflow
      • Performance-Based Workflow
      • Benefits by Role
    • Additional Services
      • Currency Management
      • Accelerated Payments
      • FX Hedging
      • Implementation Services
      • Supplier Enablement Program
    • Industries
      • Business Services
      • Software and Technology
      • Ecommerce and Retail
      • Marketplaces and Gig Economy
      • Video and Digital Media
      • Video Gaming
      • Financial Services
      • Online Services
      • Education
      • Healthcare
      • Advertising Technology
      • Affiliate and Influencer Networks
      • Manufacturing and Wholesale
  • Resources
    • Blog
      • The Financial Advisor BlogStrategy and trends in payments
    • Tools
      • Cost Per Invoice Calculator
      • Payment Error Calculator
    • Guides
      • What is AP Automation?
      • Compare Payment Methods
      • Future of Finance
      • Destination IPO
      • Payments Across Borders
      • The Total Guide to ERP Integration
  • Company
    • About Us
      • About Tipalti
      • Careers
      • Partnerships
      • Contact Us
    • Help
      • Support
      • FAQs
    • News & Events
      • Events
      • Newsroom
  • Login
  • Book a Demo
Get Started
Home / Affiliate Hub / Choosing the Payment Method for Each Affiliate

Choosing the Most Optimal Payment Method for Each Affiliate

Different payment methods work better for different situations. For affiliate payments, especially globally, there is a staggering range of combinations that are optimal for each transaction.

The results of Tipalti’s “Performance Marketing Network Payment Satisfaction Survey” showed that 40% of affiliates felt networks need to improve their payment method options. Payment method choice was important or very important to 88.1% of affiliates. This is consistent with past studies Tipalti has done.

For smaller payments, ACH and PayPal might be desirable for their low fees. For payments to other countries, wire transfers ensure greater deliverability. In some jurisdictions where banking infrastructures are less than ideal, prepaid debit cards and e-wallets may be preferable.

e-book: How High-Performing Businesses Scale Payables

Challenges in Adding Affiliate Payment Methods

The effort to add payment methods becomes a hardship for many affiliate networks. Each method requires a different path for funding the accounts, collecting payment details, understanding payment rules, adding or editing data, and the actual remittance operations. In some cases, individual bank and payment portals are required to interface with the various payment processors. Add this to the general ledger reconciliation complexity after payments are made and it’s no wonder that networks may limit payment methods.

Most Requested Affiliate Payment Methods

US AffiliatesGlobal Affiliates
94% ACH56% PayPal
53% PayPal55% Local Bank Transfer (Global ACH)
19% Wire Transfer30% Wire Transfer
19% Prepaid Debit26% Prepaid Debit
15% Paper Check8% Paper Check

Still, it seems that even for costlier payment methods, such as wire transfers, affiliates are willing to pay. For example, 19% of global affiliates stated they were willing to absorb the cost of a wire transfer.

Choosing the Payment Method for Each Affiliate 1

More Affiliate Payment Method Challenges

In the international payment space, every country has different banking fields to contend with, such as SEPA codes to IFSC codes. If the affiliate has a bank account and can provide bank routing details, global ACH may be considered a viable option.

To add another wrinkle, 93.5% of global affiliates say that being paid in their local currency is important or very important. This is because many banks in different regions charge exorbitant fees for conversions from USD. In many ways, allowing for local currency conversion is like supporting yet another payment method.

Essentially, every affiliate will have unique needs and they likely want the most optimal payment method for them that balances transaction fee cost, reliability, and time to receive funds. If the network pays both US and global affiliates, that’s essentially six or seven points of remittance management to contend with across the network.

For information on the benefits and drawbacks of every payment method, we’ve provided a reference guide available for download here.

You may also be interested in:

Affiliate Payments Guide

Building an Affiliate Program for Your E-commerce Business

What is an affiliate network?

What Are Affiliates … and How Do You Pay Them?

Affiliate Payments – Why They Matter

Happy Affiliates are Paid Affiliates

Choosing the Right Payment Method for Each Affiliate

Types of Affiliate Payments

Affiliate Payments: Increase Your Profit

LinkTrust Affiliate Payments Integration

Common Fraud Techniques Used in Affiliate and Advertisement

Best Ways to Make Commission Payments to Affiliates and Influencers

Affiliates Programs & App Monetization

The Somber Truth Around Affiliate Network Payments

Protecting Your Business from Fraudulent Affiliates

Affiliates Network Payments Drive Marketer Concerns

Importance of Communicating Affiliate Payment Status

About the Author

Derek Cheng

Derek is the Head of Community at Tipalti including building the Gen-F Generation Finance community (https://gen-f.co). He's fiendishly dedicated to showcasing how businesses can build better finance organizations, reduce their back-office operations, and achieve greater scalability and results.


Read Now

Footer

Solutions

  • Accounts Payable Automation
  • Global Partner Payments
  • PO Management

Capabilities

  • Overview
  • Supplier Management
  • Invoice Management
  • PO Matching
  • Self-Billing Module
  • Payment Reconciliation
  • Global Payments
  • Fraud Detection
  • Tax and VAT Compliance

Why Tipalti

  • Why Tipalti
  • Customer Stories
  • Invoice-Based Workflow
  • Performance-Based Workflow
  • Benefits by Role
  • Benefits by Industry
  • Bill.com Alternative

Technology

  • The Tipalti Platform
  • Multi-Entity Architecture
  • Financial Controls
  • Payment API
  • Secure Cloud
  • Money Services Business
  • Pi Payables Intelligence

Resources

  • The Financial Advisor Blog
  • What is AP Automation?
  • Compare Payment Methods
  • Future of Finance
  • Destination IPO
  • Payments Across Borders
  • The Total Guide to ERP Integration
  • Cost Per Invoice Calculator
  • Payment Error Calculator

Company

  • About Tipalti
  • Careers
  • Partnerships
  • Events
  • Press
  • In The News
  • Media Kit
  • Support
  • FAQs

REGION

  • North America
    • United Kingdom
Contact Us
LinkedIn Instagram Facebook Twitter YouTube
We Handled It.
Privacy Policy
|
Payer / Sender Rights
|
Customer Assistance Policy
© 2010–2022 Tipalti Inc.