Who is this article for?
This article will be useful to you if you're a vendor wanting to understand more about drip rewards.
At this time, the only way to set up Drip Rewards will be through the success team at PartnerStack. Having a clear understanding of what should trigger the drip reward (signup, transaction, transaction count, etc) and at what point in time it should be generated is very important for us to know. Your CSM will work with you to get the drip reward live.
Understanding Drip Rewards
First things first - Drip Rewards are a type of reward that does not automatically generate as a result of a sign-up or transaction (or specified action). This allows companies using PartnerStack to delay or cycle a reward generation specific to the offers they have set up.
Drip Rewards can be set up if you have an offer that requires you to reward a partner after a certain time has passed, or they can be set up to reward a certain amount over a specified period of time.
Common use cases for drip rewards include refund policies and a high-value transaction being paid out over a 12 month period instead of all at once.
This prevents loss to the company in the event the partners' referral cancels their subscription or requests a refund. It allows you to manage partner rewards while still aligning with your own company policies.
Drip rewards can have either a Delay or a Cycle:
Delay: the amount of time before a reward is earned
Delays are based on a certain amount of time and are commonly used when there is a refund policy. For example, your company offers a one-month refund period after a product is purchased. With that policy in place, you'll likely want to wait 30 days before rewarding your partner for that transaction, in the event that their referral does request a refund. After the 30 days has passed and no refund has occurred, your partners' reward will generate.
Once a payout is sent to a Partner through PartnerStack, we can't "claw it back". This is a common use case for putting the delay in place!
Cycle: how often the reward is earned
Cycles allow a reward to be paid out over a certain period of time and are commonly used when an annualized subscription is purchased upfront.
For example, your partners' referral purchases a yearly subscription. Instead of paying the partner a reward all at once (in case the referral cancels mid-year), you can drip out the rewards in a cycle.
An example of what that might look like:
- Referral purchases a $1200.00 annual subscription
- You, the company, want to reward your partner 20% over 12 months
- 20% of $1200.00 = $240.00
- $240 over 12 months = a $20 reward paid out each month, for 12 months
If the referral cancels on month 7, the remaining 5 months will not be paid out and the partner will only earn rewards while the subscription is/was active.
Viewing Drip Rewards on your Dashboard
Navigate to the Advanced Settings> Settings tab on the left-hand side and go to the Billing sub-tab. Here is where you will find the Drip Rewards.
In the Drip Rewards section, you will be able to view and search partners who have earned a drip reward.
In the Ended Drip Rewards section, you will be able to view Drips that have ended.
Drip Reward statuses include (and are visible in the 'Next Drip' column):
archived/manual - someone archived/ended the drip
partnership_archived - the partner isn't in the program and is no longer eligible for the reward
target archived/purged - the transaction/customer/lead/deal/etc that triggered the reward was archived
cycle_complete - all rewards from the drip were earned