In affiliate marketing, performance is everything. The more your affiliates sell, the more your business grows — it’s a win-win, right?
Well… not always.
Most affiliate programs stick to flat commission rates. Same percentage, whether an affiliate drives 5 sales or 500.
Guess what? Your top affiliates leave.
High-performing affiliates deserve performance-based commissions. When they’re rewarded for volume, they go all in.
That’s where tiered commissions structure (volume commissions / performance commissions) come in. It’s a smarter way to motivate your best performers — the more they sell, the more they earn.
And for you? More revenue, more loyalty, more growth.
Let’s break down how volume-based commissions change the game and how you can set it up in WooCommerce.
Why tiered commissions are a game-changer?
Flat commissions are fine… until your best affiliates start wondering, “Why am I working harder for the same reward?”
Here’s why tiered-based commissions (also called sales tiers or volume commissions) are the real MVP:
- Motivate top performers to outperform themselves: Higher sales tiers push affiliates to work harder. When they know more sales means more earnings, they go the extra mile.
- Reduce churn among high-value affiliates: Flat commissions feel unfair to top contributors. Tiered rewards show you value their effort — and help keep them loyal.
- Add a gamified layer to your program: Affiliates “level up” by crossing order tiers. More fun = more engagement.
- Drive long-term commitment: Since the commission is based on overall performance over time, affiliates stay active longer to reach higher tiers.
- Target specific sales goals strategically: Want to sell more of a certain category, product, or through a specific payment method? Set tiered commissions around those goals.
New feature alert: Tiered commissions structure
If you’re ready to turn your affiliate program into a performance-powered growth engine, Affiliate for WooCommerce has your back.
This plugin gives you full control over your commissions, affiliate management, tracking, and reporting.
Affiliate for WooCommerce has the best commission system in the market. And it has now added one more: Tiered Commissions, also known as Volume or Performance based commission.
Now, you can reward affiliates based on the total number of successful orders they’ve generated over time.
That means:
- Better incentives for long-term performance
- Flexible, tier-based commission setup
- And a whole lot more sales without extra manual effort
Want to explore other types of commission plans like payment methods or product taxonomies? Check out this article.
Enough of this theory, now let’s see how to actually set up a tiered commission structure with Affiliate for WooCommerce.
Tiered commission based on total orders
Let’s say you want to reward affiliates with higher commissions as they sell more. For example:
- Affiliates who have sold less than 1,000 orders get a 30% commission.
- Affiliates who have sold 1,000 or more orders get a 35% commission.
Steps to set up order-based commission:
- Go to
WooCommerce > Affiliates > Plans
. - Click on
Add a Plan
. - Give a name to your plan – say, Commission for Less than 1000 Orders.
- Under
Commission
, selectPercentage
and then type 30. - Now under
Rules
, set the rule asAffiliate – Valid Referral Orders < 1000
. - Choose whether to offer commission or not on other products if present in the order under the Actions tab.
- Set the campaign as
Active
and click onSave
.
Now create one more new plan:
- Follow the same steps as above. Just in
Commission
, selectPercentage
and type 35. - Set the plan name.
- And under
Rules
, set the rule asAffiliate – Valid Referral Orders >= 1000
. - For other products in the order, choose whether to offer commission or not under the Actions tab.
- Set the campaign as
Active
and click onSave
.
And this is how you can easily create volume based commission.
Tiered commission setup ideas you can steal
With Affiliate of WooCommerce, you can club tiered commissions with other rules based on affiliate tags, payment methods, and more.
Here are a few practical and creative examples to inspire your setup:
Tiered commission based on affiliate tag
Let’s say you want to set different commission rates based on the number of orders for affiliates belonging to your “Gold” tag or group.
- 1–100 orders → 10% commission
- 101–200 orders → 12% commission
- 201+ orders → 15% commission
You just have to create three different plans and set these rules:
Affiliate Tags → any of → Gold
(to be added in all three plans)- Percentage commission = 10 and
Affiliate - Valid Referral Orders <= 100
- Percentage commission = 12,
Affiliate - Valid Referral Orders >= 101
andAffiliate - Valid Referral Orders <= 200
within the same rule group. - Percentage commission = 15 and
Affiliate - Valid Referral Orders >= 201
Tiered commission based on payment method
Let’s say you want to reward affiliates differently based on how many orders they generate using particular payment methods.
PayPal and Stripe orders:
- 1 – 20 orders: 15% commission
- 21+ orders: 20% commission
To enable this, you have to create two plans and set these rules:
Order - Payment methods > any of > PayPal, Stripe
(to be added in both plans)- Percentage commission = 15 and
Affiliate - Valid Referral Orders <= 20
- Percentage commission = 20 and
Affiliate - Valid Referral Orders >= 21
Tiered commission for a specific affiliate
Let’s say you want to offer custom commission tiers for your rockstar affiliate Amanda.
Here’s how you can structure the commission plans based on her total valid referral orders:
-
Affiliate → is → Amanda (amanda19@example.com)
(to be added in all three plans) - Percentage commission = 15 and
Affiliate - Valid Referral Orders <= 100
- Percentage commission = 20 and
Affiliate - Valid Referral Orders >= 101
andAffiliate - Valid Referral Orders <= 501
-
Percentage commission = 30 and
Affiliate - Valid Referral Orders >= 501
Tiered commission for a specific product
Let’s say you want to set up a tiered commission for your new Bluetooth Keyboard to really motivate your affiliates.
Here’s your tiered structure:
- 1–10 keyboards sold → $10 per sale
- 11–25 keyboards sold → $15 per sale
- 26+ keyboards sold → $20 per sale
Here’s how you’d configure the rules in your affiliate platform:
-
Product > any of > Bluetooth Keyboard
(to be added in all three plans) - Flat commission = $10 and
Affiliate - Valid Referral Orders <= 10
- Flat commission = $15 and
Affiliate - Valid Referral Orders >= 11
andAffiliate - Valid Referral Orders <= 25
- Flat commission = $20 and
Affiliate - Valid Referral Orders >= 26
Tiered commission based on product taxonomy
Let’s say you want to tailor commissions based on product taxonomy like brand. For example, for the brand Adidas:
Tiered commission based on Adidas orders:
- 1–20 Adidas orders → 8% commission
- 21–50 Adidas orders → 12% commission
- 51+ Adidas orders → 15% commission
Here’s how to set it up:
-
Brand → any of → Adidas
(to be added in all three plans) - Percentage commission = 8% and
Affiliate - Valid Referral Orders <= 20
- Percentage commission = 12% and
Affiliate - Valid Referral Orders >= 21
andAffiliate - Valid Referral Orders <= 50
- Percentage commission = 15% and
Affiliate - Valid Referral Orders >= 51
Tiered commission based on product category
Let’s say you want to boost commissions for affiliates who sell more products from the “Luxury” category — to push premium product sales.
Here’s a solid tiered percentage commission structure:
- 1–8 orders → 25% commission
- 9+ orders → 30% commission
Rules to set this would be:
-
Product Categories → any of → Luxury
(to be added in both plans) - Percentage commission = 25% and
Affiliate - Valid Referral Orders <= 8
- Percentage commission = 14% and
Affiliate - Valid Referral Orders >= 9
Tiered commission based on revenue (coming soon)
Let’s say you want to reward affiliates not just for the number of orders, but for the total revenue they generate.
This upcoming feature lets you set revenue tiers based on actual sales value — encouraging affiliates to focus on high-value deals.
For example:
- Up to $1,000 in sales earn 15% commission
- $1,001 to $2,500 in sales earn 20% commission
- Above $2,500 in sales earn 25% commission
Turn affiliates into sales machines
Overall, flat commissions might be easy, but they’re not enough if you want to scale.
Your high-performing affiliates need to feel seen, valued, and — most importantly — rewarded for their hustle.
A tiered commission structure doesn’t just motivate; it transforms your affiliate program into a dynamic, performance-driven machine.
So whether you’re rewarding based on total orders, product type, payment method, or even future revenue tiers — Affiliate for WooCommerce gives you the control to set it up exactly how you want.