WHSmith - 10% to 8% to 7% - very very sly

**Azam.net** · 02-12-03

Since when did WHSmith slash its commission again, this time to 7%? Is it just our account or are other people's showing 7% as well.

Commission used to be 10% for several years. Then it was reduced to 8% when they joined TD. In the last few days it seems to have been reduced to 7%. Why has this happened? Why was no noticed sent out?

Thank you.

**Mogga** · 02-12-03

Clicked on programs - Art & Literature

WH SMith
... Register today and you could be earning 8% commission (excluding postage and packing) on all orders placed through your links.

but inside the merchant detail is showing as 7%

Did the cookie used to be 14 days? Its 7 now.

**drivetowin** · 03-12-03

This does not seem at all right - if TD are quick enough to trumpet an increase in rates - which they are - they should have the courtesy to inform us all when rates (and cookie durations) go down as well.

**Qui Gon Jinn** · 03-12-03

Did any notifcation go out?

**Mogga** · 03-12-03

From email:

29th Oct 2003:
Commission on all WH Smith products will attract an extra 1% commission - lifting it from 8% to 9% for the period of 1st November to 30th Novembe.

All tradedoubler affiliates can get even more commission from WHSmith.We already offer a highly competitive commission in conjunction with a strong conversion rate. Promote WHSmith in November and make even more money.

Can't see anything more recent than that.

**Azam.net** · 03-12-03

Yes, Mogga - they increased it to 9% for November. That's why we gave them a huge push. Looks like instead of taking it back down to 8% on 1 December, they reduced it to 7%.

Doesn't seem like much for most people - but when you have hundreds of links to them, it makes a big difference. We have been promoting them since about 1997.

Also not fair that they can reduce commission without notice. As kbudden said above, TD are always hyping up commission increases; they should at least let us know about commission decreases.

**Qui Gon Jinn** · 04-12-03

It applies to anyone and everyone and any network. If there is the slightest change in the deal structure, which forms an integral part of the contract it should be compulsory that all parties are informed with 2 weeks to 30 days notice.

**Azam.net** · 10-12-03

Several emails to different departments of WHSmith and not a single response. Nick @ TD has been great, but hasn't got an answer either as to why WHSmith have done this.

I'd like to know whether WHSmith have reduced their offline stores staff wages by a third in 2003 as well? Are their managers now taking home 30% lower wages too? Affiliate commission was 10% a year ago, now 7%.

**Jon** · 10-12-03

Extract from WHSmith web site, 10 Dec at 1810:

"Join the TradeDoubler affiliate programme today and enjoy:

8% commission on all orders placed with WHSmith.co.uk through your TradeDoubler links"

Suggest a reinstatement of the 8% rate and a backdated correction are in order. Plus a whacking great big apology from WHSmith.

Preferably before Christmas, to restore all that goodwill and seasonal spirit!

**Azam.net** · 10-12-03

Not much chance of that, unfortunately Jon. In my six-odd years of dealing with WHSmith's online wing, it has probably been one of the least efficiently run companies I have ever come across.

The evidence is the six or seven major revamps their site has undergone while Amazon.co.uk looks the same it has always done, their decision to invest millions in creating their own ISP and then having to close it down, the farcical situation with its affiliate program ('monthly' newsletter only came out about twice in two years), the terrible opinion of the site on consumer opinion sites - and, critically, the fact that they have been unable to use the power of a one hundred-year old brand with 500 offline stores to clobber internet start-ups with far less resources.

After waiting a week, we finally received a response from Ross Beadle today re: commission decrease. I'm sure he wouldn't mind me posting it here because it provides WHSmith's position on the situation:

"Yes we have reduced commission. When we did the affiliate programme ourselves we offered 10% of sales. We moved to Tradedoubler (who charge us obviously) and made it 8% of orders. Because 15-20% of all orders are not sales - the customer cancels, the book is o.p. etc etc - these figures are virtually identical. Revenue to the affiliate would barely change.

There has been a long standing issue that the margins on media products cannot sustain that level of commission.We have been forced to reduce comission because of media products, and also electrical products like DVD players where the margin to the retailer is low. At 7% of order value on media products like CD's and DVD's we pay significantly more than most. I believe the constraints on the Amazon system would also make it difficult to earn 7% on their media products"