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By Creatory Team on July 01, 2022

Charging Flat Fees Vs. Variable Fees in Creatory: The Pros And Cons

When you pick your first offer to promote on Creatory, you'll be given the option to get paid via a fixed fee, or a variable fee.

Which one should you pick? And what does each one mean?

In this article, we compare flat fees vs. per-application fees and, in the end, we’ll tell you which model is right for you depending on your circumstances.

Don’t know what we’re talking about? Creatory is a platform that helps creators find the best products and deals to promote to their own audience — and make an actual decent income. Sign up for free now!


What is Creatory’s fixed-fee model?


All creators struggle to monetise their passions and a recent study shows 59% of first-time creators have yet to earn business income. This makes it hard for creators to keep providing value for their audience and actually make a living off their passion.

That’s why at Creatory, we have a fixed-fee payment model to help you monetise your content — no matter if you’re a newbie or a seasoned veteran.



The one-time payment model means Creatory will pay you a fixed fee whether or not anyone has converted.

For example, if you choose the above offer for S$100, create the affiliate link, and publish the content according to Creatory’s requirements and standards, you’ll receive $100. It doesn’t matter if 500 people clicked on the link or only 20 people signed up to the financial product.

This model enables you to measure your audience’s level of engagement even if you’ve just started out. More importantly, in a context where beginning creators have not yet monetised their business, this model is a safe option for beginners to make their first income as a creator.

Also, if you’re a seasoned creator, the fixed-fee model allows you to test Creatory and understand its potential.

Read more: How to Monetise a Personal Finance Blog (Earn $1,000 in Your First Month)



Pros

  • We make it easy to get started: Our principle is to help creators start, earn and grow. With Creatory, it’s easy to start earning money as a creator.
  • It’s like a free trial: With this model, not only can you trial Creatory, but you can also earn money on the side.
    You get to know your audience: It’s a way to gauge your audience’s level of engagement before you switch to the pay-per-application model.
  • It provides a sense of security: 35% of first-time creators have monetised but earned less than a viable income. The fixed-fee model makes you feel financially secure, so you spend less time stressing and more time providing value to your audience.
  • You can test products you’re unsure of: You can test products you’re not 100% sure will resonate with your audience while earning a guaranteed income.

Cons

  • Limits your earning potential: You just earn a fixed amount. Even if your content promotion generates more conversions, you get no extra money.
  • Encourages creators to stay in the status quo: This model keeps you too much in your comfort zone and doesn’t allow you to try something new with more significant potential.
  • It’s not long term: You can’t make a living from your art because this model doesn’t allow you to unlock the potential of your audience.
  • You can’t see Creatory’s potential: As a creator, you want to try monetisation techniques that enable you to maximise your revenue. While Creatory is a reliable way to make a living from your craft, this model does not allow you to explore the platform’s full potential.

What is the per-application fee model?


Unlike the flat-fee model, the per-application model enables you to earn money every time your Creatory affiliate link converts.

Charging flat fees vs variable fees as a creator

Let’s say you choose the above product which offers S$30 per conversion and your content promotion generates 2,000 clicks and 200 conversions: you earn $6,000. In contrast, if the flat fee is $100 and you choose the fixed fee model, you earn $100 regardless of conversions.

The per-application model is ideal for creators who want to earn money and scale their business by compounding financial returns. It’s especially beneficial for content creators who already have an engaged audience.


Pros

  • There is no limit to your earnings: You earn at the limit of your conversions with the per-application model.
  • Encourages you to push yourself: It takes you out of your comfort zone and nudges you to learn advanced conversion techniques that will help you maximise your earnings.
  • It’s the most effective way to earn a full-time income: More money means you can live off your passion.
  • Pushes you to be more strategic: You have to make sure you pick the right products, thereby bringing greater value to your audience and increasing your earnings.
  • Shows society that your passion is no joke: By earning a full-time income from your content, you can show your friends, family, and colleagues that being a creator is as much a job that pays the bills as any other job.


Cons

  • Can be disadvantageous if you’re a first-time creator: As a first-time creator, you probably don’t know what products and content formats will resonate with your audience. So, until you find the sweet spot between audience engagement and offer conversion, you can’t make the most of this model.
  • Requires follow up work: You need to make sure your audience completes the application for Creatory to reconcile conversions with income and payout.


Fixed vs per application fees: When to use them?


For long-term earnings, the per-application fee is ideal, but the one-time fee also has its advantages:

  • The flat fee is suitable for first-time users who are unsure and just want a guarantee and get their feet wet.
  • It’s also suitable for any creator, veteran or new, who’s unsure about the offer/is not sure it will resonate with their audience.

Once you pick the conversion model for a specific offer, you won’t be able to change to the other one — which is why it’s important to think carefully about the model that works best for you. However, you’ll always have the option for each single offer – so you won’t have to sign up to exclusively run fixed fee or per application promotions.

In the long run, the conversion model will probably work better, which is why you should really only pick the flat fee model if you’re testing Creatory and have just started monetising your audience.


Creatory payment model — FAQ


We know you want to sign up for Creatory, but you have some burning questions. Here are the answers.


Do brands always offer two payment models?


Not all the time. Each brand has its own budget, which determines the payment model. So sometimes it will be the per application model and sometimes both.

Charging flat fees vs variable fees as a creator

Either way, we want each of our creators to make the most of our platform, so we encourage you to try out both models to see which one works best with your type of audience.


Can I always choose the “one-time fee” model?


The one-time fee model enables first-time Creatory users to test the platform. It is also a way for beginner creators to make their first income as a creator.

Once you have tested this model and have insights into the types of products that appeal to your audience, the per-application model is better for greater earning potential. Also, keep in mind that the one-time fee is not always available for every offer.


Does Creatory help me improve conversions?


Yes, you’ll have access to a dashboard where you can track conversions by asset or channel type.


  • How many people have clicked on your links
  • How many clicks have converted
  • Which platform is driving the highest conversions
  • Which content format performs best

These insights let you know what to optimise for better results. For example, if you always have tons of clicks and few conversions, you know you need to improve the after-click process and remind your audience about the offer expiration.

By joining Creatory, you’ll also be able to access guides and articles on how to increase your income as a creator. You’ll also be part of a bigger community, where you can ask others’ experience, and you’ll always be able to access our team for guidance.

Most affiliate marketing does not design product offers with your audience in mind. With Creatory, you’ll be able to offer your audience much more personalised and better suited gifts, ranging from an Apple Watch and AirPods to Dyson products and iPads.



Which of the two models helps me get paid faster?


We have a 60-days payout policy for your first payout. After that, you’ll receive a pay out every 30 days.

While we are working to shorten this time frame, these initial 60 days allow us to reconcile completed offers or conversions to your payout amount – and make sure there is no room for mistakes.

However, you can always refer to your Creatory dashboard to get an overview of your earnings.


How much commission can a creator expect from each offer?


Creatory differs from other affiliate programs: there is no standard commission rate. Each offer is unique because we talk to brands and negotiate the best deals for our creators and their audience. We also offer gifts to your audience, and these offers may also vary.


Try Creatory. Make actual money as a creator


In this article, you’ve learned the difference between the flat fee and the per-application model and their different use case. Try both models to see which one fits your needs the most and start earning today.

Want to earn a full-time income as a creator? Sign up to Creatory for free.


Published by Creatory Team July 1, 2022