Hello! Welcome back to your second lesson.
In our first lesson, we established the foundation of affiliate marketing, defining the roles of the merchant, the affiliate (you), the customer, and the affiliate network. You learned that the entire system works through a unique tracking link that ensures you get credit for the sales you generate.
Today, we're going to answer the most important question for any aspiring affiliate: "How do I actually get paid?" This lesson will explain the revenue share model used by ClickBank and how affiliates earn commissions. We'll break down a real transaction to see exactly how the money flows from the customer's wallet to your bank account. Understanding this process is crucial for choosing profitable products and setting realistic income goals.
Commission Models: Percentage vs. Flat Fee
Before we dive into ClickBank's specific model, it's helpful to know that there are two main ways affiliates are paid:
- Revenue Share (RevShare): You earn a percentage of the sale price.
- Cost Per Action (CPA): You earn a flat fee for a specific action, usually a sale.
To understand the difference and why you might choose one over the other, let's watch a video that compares these two models.
Affiliate Marketing - CPA Vs. Revenue Share - What Makes The Most MONEY?
This video by Misha Wilson clearly explains the fundamental differences between CPA and Revenue Share, and the pros and cons of each for an affiliate. This will give you the 'why' behind these commission structures.
Watch from 01:15 to 06:37. Pay close attention to: The definition of CPA (cost per action) as a fixed payment. The definition of RevShare as a percentage of revenue. The discussion on how refunds and backend products (upsells) are handled in each model. The impact of each model on your cash flow as an affiliate.
As the video explained, the key difference lies in risk and reward.
- CPA offers predictable, often faster payments and protects you from refunds, but you don't earn more if a customer buys additional products.
- RevShare offers the potential for higher long-term earnings, especially with upsells, but your income is variable and you share the risk of refunds with the product owner.
ClickBank's Primary Model: Revenue Share
While CPA is available on ClickBank for experienced affiliates, Revenue Share (RevShare) is the standard, default model and the one you will be working with as you start out. Most products you see in the ClickBank marketplace operate on a RevShare basis.
Let's get a formal definition from ClickBank's own documentation.
CPA vs RevShare: Official ClickBank Guide
This article from the ClickBank blog, 'CPA vs RevShare', officially defines the RevShare model in the context of their platform. It will give you a clear understanding of the commission rates and how they are applied.
Please read the section titled 'What Is RevShare?'. Focus on the definition and the typical commission percentage range you can expect on ClickBank.
As you read, on ClickBank, RevShare commissions can range from 1% to 75%. This percentage is set by the product creator (the merchant) and is one of the key metrics you'll use to decide which products to promote.
The Anatomy of a ClickBank Sale
So, if a product costs $100 and has a 75% commission, do you get $75? Not quite.
Your commission is a percentage of the revenue after ClickBank has processed the payment and taken its fees. In the last lesson, we identified ClickBank as the affiliate network that acts as an intermediary. A key part of that role is handling the entire financial transaction securely.
This video from ClickBank briefly explains their central role in this process.
How to Make Money with ClickBank in 2026 (Complete Beginner Tutorial)
This clip from the official ClickBank YouTube channel explains how the platform acts as the financial hub, connecting all parties and routing the funds correctly. This sets the stage for our transaction breakdown.
Watch from 04:15 to 05:25. Focus on the explanation of how ClickBank tracks everything, processes sales, and routes funds to both the seller and the affiliate.
Now, let's look at the numbers. The following reading provides a perfect, step-by-step example of how a $100 sale is broken down.
This page on the ClickBank website, 'How ClickBank Works', contains a clear numerical example of a transaction. This is the most important part of this lesson, as it shows you exactly where the money goes.
Please read the section titled 'What Does It Cost to Use ClickBank?'. Study the paragraph with the numerical example of a $100 purchase very carefully. We will walk through it together below.
Let's review that breakdown together, as it's vital to understand:
- Retail Price: The customer pays $100.00.
- ClickBank Fee: ClickBank deducts its fee of 7.5% + $1. In this case, that's ($100 * 0.075) + $1 = $8.50.
- Amount Remaining: $100 - $8.50 = $91.50.
- Other Costs: The example assumes $6 for taxes and shipping, which are also deducted. $91.50 - $6.00 = $85.50. This is the total amount available to be split between the seller and the affiliate.
- Affiliate Commission: The seller has set a 65% RevShare. Your commission is 65% of the available amount: $85.50 * 0.65 = $55.58.
- Seller's Share: The seller receives the rest: $85.50 - $55.58 = $29.92.
As you can see, your commission is a percentage of the sale price after the platform's operating costs are covered. This is a standard practice in affiliate marketing.
The Two Sides of "Share": Upsells and Refunds
The word "share" in Revenue Share has both positive and negative implications for you as an affiliate.
The Power of Upsells
One of the most attractive features of the RevShare model is that you often earn commissions on the entire customer transaction, not just the initial purchase. Many ClickBank products have "upsells"—additional offers presented to the customer immediately after they buy the first product.
Let's look at how this can dramatically increase your earnings.
CPA vs RevShare: Official ClickBank Guide
Let's return to the 'CPA vs RevShare' article. It has an excellent example showing how a single sale can lead to a much larger commission thanks to upsells.
Read the section 'RevShare Example'. Notice how the affiliate commission grows from $27.75 on the initial sale to $113.25 when the customer buys the upsells.
This is a key reason why RevShare can be so profitable. A single customer you refer can generate multiple commissions for you in one checkout process.
The Reality of Refunds
The other side of sharing revenue is sharing risk. If a customer requests a refund (ClickBank has a standard 60-day refund policy), the commission you earned from that sale is deducted from your future payout. This is often called a "clawback."
Because both you and the seller are sharing the revenue from a sale, you also both share the loss from a refund. This is a fundamental difference from the CPA model, where the affiliate is typically shielded from refunds.
The "At a Glance" table in the CPA vs RevShare article you just read summarizes this well:
This table from the ClickBank blog compares CPA and RevShare models. It shows that in the RevShare model, responsibility for returns (refunds) is shared between the vendor and the affiliate, whereas in the CPA model, the vendor alone bears this responsibility.
Conclusion
In this lesson, we've demystified the process of how you earn money as a ClickBank affiliate. You now have a clear, practical understanding of the financial mechanics of your future business.
Here are your key takeaways:
- ClickBank's primary commission model is Revenue Share (RevShare), where you earn a percentage of a sale.
- Your commission is calculated on the net amount after ClickBank deducts its transaction fees and other costs like taxes.
- The RevShare model allows you to earn significant extra income from upsells when a customer buys more than one product.
- With RevShare, you also share the financial risk of refunds. If a sale is refunded, the commission is clawed back.
You now understand the affiliate-merchant relationship (Lesson 1) and how commissions are calculated (Lesson 2). In our next lesson, we'll zoom out slightly to describe the broader role of an affiliate network like ClickBank and why it is so essential for the entire ecosystem to function smoothly for both affiliates and sellers.