If you use tiered affiliate rates, you’ll be able to offer your affiliates increased compensation rates in proportion to the amount they earn and/or the number of successful referrals they bring in.
After the installation is complete, the AffiliateWP Settings page will feature a new section labelled Tiered Rates. You will have the option to create an unlimited number of tiers once you reach this screen.
Tiered Affiliate Rates allows you to simply set up a reward system in which your affiliates are paid with greater and higher commission rates as they bring more consumers to your business. This encourages them to recommend more customers to your business.
It has been demonstrated time and time again that the likelihood of an affiliate actively promoting your goods or services is significantly increased when the affiliate is offered incentives, such as higher commission rates.