I didn't realize there was a stigmata about having a second tier. I thought that it was just a way to encourage internet marketers to spread the word about the program.
I know a lot of the larger corporations (amazon, ebay, etc.) don't have a second tier, but I thought that that is really because it is not worthwhile for them to spend the extra money to have affiliates advertise their affiliate program. I imagine if it made financial sense for them, they would implement it. Our board just made this decision simply because it will help get the word out and it will help us stay in the black.
Peace,
Josh
PS - we will be coming out with the adult model soon. It is really awesome. There's some pics on the site.