The most accurate way to calculate TikTok Affiliate commission

The first thing many people think about when starting to make money through TikTok Affiliate is how to calculate the commission. So, what are the requirements for registering for TikTok Affiliate, and how is the commission calculated? Let’s find out right now!

Conditions for Registering for TikTok Shop Affiliate

TikTok Affiliate is a form of affiliate marketing created by TikTok to attract users to create engaging advertising content for products/services of individuals or businesses through videos published on this platform.

This activity allows account holders to earn commissions from promoting products/services through cleverly embedded links in videos. However, to register for TikTok affiliate marketing, account holders need to meet the following conditions:

For Content Creators

The prerequisite for content creators to register for TikTok Affiliate is that they must have a TikTok account with over 1000 followers, and the account holder must be over 18 years old.

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Additionally, to receive attractive vouchers for affiliate marketing, content creators on TikTok need to ensure they do not directly link to any other account. Moreover, the sales generated should not exceed 80% of the monthly sales for the linked shop.

For those looking to earn affiliate commissions through TikTok Shop, pay attention to two key metrics: NRR (Negative Review Rate) and PQR (Product Review Rate). The higher the NRR, the lower the engagement on your channel. On the other hand, the PQR shows the credibility of your account. The higher the PQR, the stronger the potential for video distribution within the community. That’s why you need to optimize these two metrics to effectively meet the conditions for TikTok Affiliate marketing.

For Sellers

Individuals or business owners need to set up a store on TikTok Shop. The conditions for opening a TikTok Shop include:

For business owners or brands, they must have a legal entity in Vietnam, meaning they must prove they are an independent legal entity authorized to participate in economic activities. Additionally, the products being sold must belong to categories that are permitted by Vietnamese law.

For individual sellers: You need to prove you are over 18 years old by providing the necessary identification documents. Additionally, your TikTok account must have at least 100,000 followers.

In addition to the conditions for opening a shop, sellers must meet the following conditions to maintain the TikTok Affiliate feature:

• The number of orders from your shop must be at least 1,000 orders.

• The cancellation rate and late delivery rate must be under 10%.

• The return rate must be under 1.5%.

• The rate of valid orders must be over 95%.

• Negative reviews must be under 10%.

• The community violation score must be below 12.

In general, the barriers for sellers entering the affiliate marketing niche on TikTok are significant. To overcome these challenges, you need to develop optimized strategies for product, marketing, and content.

How to Accurately Calculate TikTok Affiliate Commission

When a customer successfully places an order, TikTok automatically updates the order status to completed. At this point, TikTok Shop will deduct a fixed fee from the payment generated by the order.

This fee is a fixed commission calculated based on the product value for all sellers. Currently, the fixed commission rate maintained by TikTok is 2% (including taxes).

How is the TikTok Affiliate commission calculated? It will be based on the total value of the order after deducting any discounts from the seller. The commission does not include TikTok Shop discounts or shipping fees.

Specifically, the TikTok Affiliate commission is calculated with the formula: Fixed Commission Fee = (Product Price – Seller’s Discount) x 2%. For example:

A shop sells a perfume for 2,000,000 VND on TikTok Shop. The seller’s discount is 100,000 VND. Therefore, the price after discount will be 1,900,000 VND.

If a customer A buys the perfume through the affiliate marketer, the commission will be calculated as follows:

• Original price: 2,000,000 VND

• Seller’s discount: 100,000 VND

• Price after discount: 1,900,000 VND

• Fixed commission rate from TikTok: 2%

• Fixed commission earned: = (1,900,000 – 100,000) x 2% = 36,000 VND

How to Receive TikTok Affiliate Commission

For successful orders confirmed by TikTok Shop, after 14 days with no refund requests from the customer, the commission will be confirmed and transferred to the TikTok Affiliate account within 21 to 30 days.

To receive TikTok Affiliate commissions, account holders need to follow these steps:

1. Log into your TikTok account.

2. Tap on the “Me” icon located at the bottom-right corner of the screen.

3. Select “Account Management.”

4. Choose “Commissions” to view the commission amount earned through TikTok Affiliate.

5. Select the “Withdraw” option and enter the details of your bank account or e-wallet.

6. Wait for confirmation from TikTok, and the money will be transferred to your bank or e-wallet.

Important Notes About Withdrawing TikTok Affiliate Earnings

To ensure a smooth process for withdrawing TikTok Affiliate earnings, you should pay attention to some important points such as:

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Sync Your Account Name with the Name on the Payment Account

By entering your name accurately and correctly, you will ensure that your affiliate account is registered with TikTok using your personal information. This not only helps the process of handling information proceed smoothly but also protects your rights in various situations.

For example, when entering your account name, if the account holder’s full name is Nguyễn Văn A, you should input the following:

• First Name: A

• Last Name: Nguyễn Văn

Keep Track of the Confirmation and Withdrawal Time for TikTok Affiliate Earnings

Depending on the TikTok Affiliate program you participate in, the confirmation and withdrawal time for affiliate earnings will vary. As mentioned earlier, once an order is completed within 7 days and there are no returns within 14 days of receiving the order, the commission will be confirmed and transferred within 21-30 days.

This waiting time is considered flexible and faster compared to many other platforms. Once the money is transferred to your account, you can withdraw it at any time.

Understand TikTok’s Payment Policy

Typically, TikTok has regular payment cycles, either weekly, monthly, or at specific intervals they set. This means your commission will be paid within these time frames.

Therefore, you should keep track of the exact payment dates so you can plan and manage your personal/business finances effectively. Payment schedule information is usually available in your TikTok Affiliate account or through email, so you can follow these two sources.

Common Methods for TikTok Affiliate Commission Payment

Once you start participating in TikTok Affiliate, the platform will ask you to enter payment details corresponding to your account, including personal information and payment account information.

Currently, TikTok provides several payment methods to suit the needs of affiliate marketers. Here are some popular payment methods:

• Bank Transfer: This is the most popular method. You just need to provide accurate account information when registering to receive commissions.

• PayPal: While not very popular in Vietnam, PayPal is widely used by affiliates in other countries.

• E-wallets: TikTok allows users to link with various e-wallets like Momo, Zalopay, etc., to withdraw money quickly and conveniently.

Account Management and Security

Many TikTok account holders overlook personal information security. However, if you plan to participate in TikTok Affiliate, pay attention to this factor, especially when it comes to payment information.

It is best to choose strong security measures, such as two-factor authentication, to protect your account and the money you’ve earned. Additionally, you should store and monitor payment transactions to ensure you receive all the commissions you’ve earned through TikTok Affiliate.

Other Important Notes

• Users can only withdraw money after enabling the withdrawal feature.

• Your earnings from TikTok Affiliate must reach a minimum of 100 USD before you can withdraw.

• If your account meets all of TikTok’s conditions, you can withdraw money easily at any time.

• You can only initiate a withdrawal request once every 24 hours.

• The minimum withdrawal amount is 100 USD, and the maximum is 1000 USD per day.

• In some cases, TikTok may require users to provide verification information before withdrawing affiliate commissions.

If you encounter any difficulties during the withdrawal process, feel free to contact TikTok’s customer support team for assistance and troubleshooting.

With the affiliate commission calculation method shared in this article, we hope that readers will gain the necessary information to optimize their money-making strategies on this platform, thereby creating ideal income streams for themselves.

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