What are the commission rates or amounts paid by merchants?
• The amount credited to your organizations account for a specific purchase depends on several factors, which may include the type of item purchased, the amount of the purchase and the terms of the merchants commission program. Some merchants pay a flat amount per purchase, for example travel services that may pay several dollars for a purchased ticket. Other merchants pay a percentage of the purchase price, and the specific percentage can vary greatly from merchant to merchant and for different products. Additionally, merchants may vary the amount they pay based upon total purchasing volume as well as special promotions they may offer from time to time. Here are a few examples as of November 1, 2004: • Amazon.com: 5-8% on all purchases • American Blooms: 15% on all purchases • Sharper Image: 10-14% on all purchases • Target.com: Normally 5-7% on most purchases. During 4th Quarter 2004, increased to 10% on most purchases.
