What the ceiling includes
- TikTok Shop referral fee
- Product and seller shipping cost
- Expected return loss
- Ad cost per order
- Your target profit margin
TikTok Shop affiliate economics
Compare your proposed rate with two useful limits: the break-even ceiling and the lower ceiling that still preserves your target profit margin.
The highest creator rate that preserves the selected target margin.
A commission rate is affordable only after the rest of the order is paid for. The same 30% rate can be healthy on a high-margin product and loss-making on a product with heavy shipping, returns or paid media.