Gold Penguin Logo with Text

Jasper.ai Cuts Affiliate Rates with New Commission Changes

Jasper.ai, one of the main players within the consumer Generative AI industry, recently unveiled new affiliate commission terms, moving away from its longstanding promise of lifetime commissions.
Jasper AI Official Logo with X through it
Jasper AI Official Logo with X through it
August 15, 2023 10:48 am

One of the first public and easy to use AI writing tools, Jasper.ai, just announced a revised commission structure for its affiliate program, prompting concerns and dismay amongst its affiliate marketer community.

The shift, detailed in a recent communication from Al Biedrzycki, the Director of Partner Marketing at Jasper, just emailed the changes that will soon impact the earnings and conditions of its affiliates.

Key Changes:

  1. Baseline Commission: The commission rate for new affiliate-referred customers is being adjusted from a lifetime 30% recurring commission to 25% with a 12-month expiration — termed a "commission cliff". This means after 12 months, affiliates will cease to earn commissions for that customer.
  2. Enhanced Commission Structure: Affiliates who manage to drive 100 customers will be eligible for a 30% commission rate, but this too comes with a 12-month commission cliff.
  3. Legacy Customer Commissions: For customers referred prior to September 1, 2023, affiliates will only continue to receive commissions for 90 more days if those customers are older than 12 months. After November 30, 2023, these older referrals won’t yield any more commission.
  4. Cookie Window Extension: The period during which affiliates can earn commissions from their referrals has been extended from 30 days to 45 days.
  5. Annual Lead Volume Requirement: Starting 2024, to stay in the program, affiliates will need to generate a minimum of 100 leads every year.
  6. Inactive Affiliates: Those who have not generated any leads to date will be removed from the program.
  7. Facebook Page Retirement: Jasper.ai's Affiliate Facebook page will be retired, directing all communications to their email.

The most immediate impact of these changes is a potential reduction in long-term passive income for affiliates. The introduction of a 12-month commission cliff essentially means that while affiliates were promised a lifetime commission under the old terms, they will now be limited to just a year of earning potential per referred customer.

Pretty disingenuous not to grandfather existing affiliates into this new structure, but I'm assuming it's because they probably lost most of their customers when ChatGPT was released. It was just way better & also free (a huge discount from the abhorrent pricing structure Jasper pioneered the consumer gen-AI world with).

The changes effectively "reset" the earnings potential for many, even for those who have referred customers in the past. Legacy customer commissions being phased out means that many affiliates who relied on commissions from older referrals will soon see a drying up of that income stream.

The Negatives:

  1. Broken Promises: The shift from lifetime commissions to a 12-month commission cliff can be seen as a breach of initial promises made to affiliates, many of whom may have joined and promoted Jasper.ai based on that potential lifetime earning.
  2. Reduced Earning Potential: Even with the possibility to earn a 30% commission, the commission cliff means a significant reduction in long-term earnings.
  3. Pressure to Perform: The annual requirement may push affiliates to prioritize quantity over quality, potentially leading to lower-quality referrals.
  4. Loss of Trust: This one speaks for itself. Let's see how the community will feel

Jasper.ai’s email stresses the evolution of the AI industry and its intention to focus on growth. While changes in business models are to be expected, communication and a commitment to original promises are vital. These are real people marketing their products for them.

At this point, only time will tell if Jasper's strategic move will prove better for them or if this is the end of Jasper getting advertised across most of the web.

Stay Updated On The Latest AI Tools
Get notified with the biggest releases and tips in Artificial Intelligence delivered straight to your email. We don't sell your data.
Written by Justin Gluska
Justin is the founder of Gold Penguin, a business technology blog that helps people start, grow, and scale their business using AI. The world is changing and he believes it's best to make use of the new technology that is starting to change the world. If it can help you make more money or save you time, he'll write about it!
Subscribe
Notify of
guest

3 Comments
Most Voted
Newest Oldest
Inline Feedbacks
View all comments
magnifiercross