How Does Amazon Know Who Your Friends Are

byAlexEvans

11.9K followers

Updated 5 years ago

From Small Beginnings

Amazon as a company has come so far from its beginnings in the garage of Jeff Bezos, back in 1994, selling books, when he was 30 years old. It has grown exponentially over the years. To become the behemoth that it is today.

When Amazon...com Inc first went public back in 1997, its stock was priced at just $18 per share for its initial public offering (IPO). On July 12, 2018, it hit its all-time high $ 2050.50. I believe that this has set an air of expectation within the investing community that along with capital gain they will be rewarded with a dividend, as is customary with all large public companies that are in profit.

Perpetual Expansion Mode

List of mergers and acquisitions by Amazon

https://en.wikipedia.org/wiki/List_of_mergers_and_acquisitio...

It is so interesting to view and there are some notable acquisitions and well-known names amongst the organically grown brands.

Success leaves clues as they say.

As you can see it is a very diverse company today covering so many areas of interest, a company which is still in what seems to be a perpetual expansion mode, juggernaut wouldn't even come close to the respect that it deserves. It is a modern day business phenomenon.

The world of commerce has been relatively stable in our known history and is built on the concept of mutual benefit, the person selling and the person buying gain value that is the way it is.

Amazon is no different, the business is built from folks buying products and services and from folks creating both products and services, from folks promoting products on behalf of Amazon.

As time has progressed Amazon has developed the capability to not only provide the platform but also become the maker and seller in its own right. This process has been aided by a huge number of folks selling products and services on the platform and also the huge number of folks acting as associates and promoting products and in doing so they are rewarded by receiving commissions for successful sales.

Over time Amazon has developed guidelines of conduct which governs how associates can operate on the Amazon platform.

https://affiliate-program.amazon.com/help/operating/agreemen...

Starting out as an associate can be challenging we have that target of acceptance by making 3 sales in 180 days, which seems to be such an easy thing to do but staring down the barrel of no sales and fifteen days to go a hard proposition.

The thing is that if that occurs and you are set adrift one can always reapply to the program, if it happens that you do get cut off in terms of an online career it can be the making of you.

It can be good to return with better knowledge and a review site that has more content, traffic, and authority in your chosen product niche, a recipe for better outcomes.

Getting close to the wire, folks can step out and try to create sales the easiest option is to get friends and family to make some purchases through your links problem solved.

Just a reflection is that a bandaid fix or are there some deeper seated issues that need addressing.

It can be argued that it doesn't really matter the person was going to purchase the product anyhow.

A win-win.

Not so in the eyes of Amazon and it also seems to be an unwritten law across many affiliate programs, there have been numerous accounts of how sales have been made only for the fees to be withheld because Amazon has determined that it was to a related account.

How do they known, and determine that?

"Due to the proprietary nature of our business, we do not provide detailed information on how we determine that accounts are related ".

That is a powerful statement, so how and why do they do that?

That just about says it all.

One has to look at the history, initially selling books which is probably where the review industry started, folks would author a book and then get family and friends to write a review, which usually carried a bias with it. In such the integrity of the platform and review was brought into question. The ability to offer the best user experience and unbiased review information was compromised.

Initially the environment was designed to protect that integrity, just an opinion what do you think?

Like much of the online world as soon as there is a slide then more folks start to do it and before you known it things are out of control. This is something that happens every time and all over the internet.

When you think about it, should it matter if family or friends purchase through an associates link? It does, however.

With so much crazy online there does need to be standards and safeguards in place, in the beginning, we may see them as being mean or strict. At the end of the day, they protect everyone;

• Consumer,
• Seller.
• Promoter.
• Platform.

Amazon, collects so much information, the real key is that Amazon analyzes and utilizes that information, so every time you shop or explore, sellor promote they are collecting information, with that relationships can be constructed. Part of that whole deal is that with that information is that Amazon can target you and your associates with associated products and services based on your engagement profile.

One of the simplest formulas is to track IP addresses.

Have a look and exploration of your Amazon account click on the accounts and lists top right-hand corner and select from the drop-down menu, that information builds a profile.

You will be surprised at the information and depth of that information that is stored there.

When we jump the fence and become promoters and sellers that whole game changes, and with that change come responsibilities. The biggest responsibility is to ourselves to be informed and to do the best job that our knowledge and experience allows us to do. One of the keys of success is to understand the rules and secondly abide by the rules it is not that hard.

One of the interesting things about online business is that as promoters and sellers it is possible to collect information as well, the key is to learn how to analyze and utilize that information, it is a work in progress.

We do not have the resources or budgets that big players in the industry have, even utilizing some of what is available can make a big difference.

Sometimes an easy option becomes the hardest option, the easiest option is always to play the game by the rules. So if we get turned out or turned down the simplest option and cure all.

Is simply to create more,

and to get better at what we do, that can be the best way to go. Amazon offers so many opportunities for folks that want add value to their online presence.

There are many pros and cons to being an Amazon Associate, from observation and experience.

At the end of the day;

They have the systems that we can tap into to and with experience scale up. In the beginning we do not have to reinvent the wheel just learn how to apply the status quo.

Just some reflections if you have made it this far thanks for reading and I would love to hear your thoughts and insights.

Alex.