Amazon Is Still My Pick
I have been seeing lots of comments recently regarding the recent changes within the Amazon Affiliates Programme and some members have been really bagging Amazon.
The feeling among some members seems to be very strong with words like greedy, untrustworthy, poor quality products, sleezy, cheats and a waste of time being used.
I am not here to say whether these comments are right or wrong everyone is entitled to their opinion, so I wanted to share my opinion for anyone who may be interested.
If you are considering dumping Amazon and joining other networks good for you and I hope it works well for you. However there are some things that I found which may be worth thinking about.
When Amazon changed the commission schedule my niche went from 5.5% down to 3% this is quite a bit and it hurt the back pocket nobody likes to take a 40%+ pay cut, so I decided to change my structure.
I did the appropiate research with other networks, went through the applications and dug into the commission structures to determine the best for me. There are a couple to whom I applied and went on to install into my site.
But there was a couple of things that stood out clearly, the commission payable by many networks is no greater than the 3% that many people have decided that is a waste of time, and many are less than that.
I can only assume there would be niches out there that would achieve a far better result, I have not looked, but for my niche 3% is nothing to complain too much about as not many networks pay the 5.5% Amazon previously paid me anyhow.
Besides that, Amazon remains a hot favorite with the most amount of customers so that is where I want to be. A high number of customers is important, some networks may pay a bit more commission but do they have the customers?
The best thing about the changes within Amazon Associates is that I have diversified my site more so as not to rely on any one network, but remember 1000 customers paying 3% is a much healthier business than 5% from 100 customers buying the same type of products
For every 1000 customers I get from Amazon, two other networks combined do not produce 100 so the only thing i need to do now is to grow my numbers so as to make up for any reduction, and besides as my business grows my income will grow.
I would highly recomend that you do your own research before making any decision on whether you should dump Amazon to jump in with someone else, just make sure the numbers add up to give you the best chance to build a successful and prosperous business.
I wish you all the best, thank you for reading and let me know your thoughts.
Shane.
Recent Comments
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One thing you didn't discuss at all was the cookie length. Amazon still only gives a 1-day cookie, while most of the other merchant programs offer a 30-day cookie. Unless you have a product that is an impulse buy, you are probably losing sales because people are waiting longer than 24-hours to make their purchase.
Additionally Amazon has literally dozens of ways to kick you out of their program, and doesn't hesitate to do so and take away all of your commissions. Sure, you can get accepted back into the program, but you must swap out every single link on your site. Most other merchants are not that cut-throat.
That's great that your niche offers a 3% commission rate, but before others make this decision, they should check what Amazon would pay them, as most of the categories are only 1%.
Hi Jeannine, while longer cookies will give you a certain number of customers that may be lost within 24 hours, unless its a lifetime cookie like WA its not important enough to structure your whole business on.
As for making them out to be so terrible I understand you work for the opposition and not in the business of promoting Amazon, however any business irrispective of the name can do as you say.
And for your last comment regarding commission rates you are totally wrong. Most categories are not 1% as you say, in fact most categories pay 3%-4% and a couple actually pay 10% but you didnt discuss that.
My post was, as stated, my opinion, and about recomending people do good research for their own circumstances, it was not a defence of Amazon or any other network.
One fact you cannot change is the number of customers on Amazon, it is customers who produce commissions not networks.
You make a good case Shane. However I earned very little for a lot of effort before the cuts, so for me they aren’t worth it at this time.
The advantage with many other companies is that the cookies stay longer so more opportunity to get the sale.
Amazon is Amazon and its reputation stands on its own. You can combine it with other affiliate programs and recover that 40% cut.
Hi Shane
You make a very valid point here about Amazon's market share.
I'm not involved with Amazon Associates but had considered for the longer term.
I'm one of the many who felt that their reduction in commissions to their affiliates was both unjust and greedy, and I still do.
However, as you rightly point out, Amazon dominates in the online retail space and there will always be room in there for new affiliates who may well find it easier to get sales through Amazon than through other networks simply because the exposure that Amazon gives them.
Piggy backing off Amazon can be a much easier and more lucrative ride, even now. There's no point in people cutting off their noses to spite their faces when a small share of such a huge market can still mean a big over all pay cheque.
Thanks for sharing your insights.
Cheers
Rich :-)
Hi Rich, thank you for your comment, That is why they are my preffered pick but certainly each to their own.
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One thing I do like about Amazon as an affiliate is that if someone does make a purchase within that 24 hour time frame, I get my commission on everything in their basket. Seems to me there are often times when I make more on the other stuff than on whatever got them onto my commission.
The first time this happened, someone was buying a book on dog training which I had linked to AND they threw in a red nightgown! That confused me until I realized what was going on.
Hi Rosana, yes you are correct you get counted for all items they purchase. Everyday I have sales that have nothing to do with my niche, It can be amusing sometimes, I appreciate your comment, have a lovely day.
Thanks Shane.
Every affiliate program works like that; it's not unique to Amazon. If you had a link to Etsy, you would earn commission on everything they bought from Etsy.
BUT, with Amazon, you would only earn commission on what they bought within that 24-hour period. On Etsy it's a 30-day cookie.
Yes, I know! And I am doing more these days with other places beside A.