Amazon Updates - Don't Put Your Eggs All in One Basket

Last Update: April 24, 2019

As an Amazon Associate, I was reminded once again about how important it is to make sure that your income stream, your livelihood, is not tied to one company. Or one type of product.

Today, we received an update from Amazon. They were notifying us that the commission rates are being reduced effective May 1, 2019, for a couple of categories.

These reductions applied to categories that have been paying between 7%, for luggage and shoes for instance to 10% for the apparel.

This is an excerpt:

Here are some of the most important updates we made to the Amazon Associates Program Operating Agreement and Program Policies on May 1, 2019,:

  • We have changed the rates for Amazon Fashion Women's, Men's & Kids Private Label, Apparel, Amazon Cloud Cam Devices, Amazon Element Smart TV (with Fire TV), Amazon Fire TV Devices, Amazon Echo Devices, Ring Devices, Watches, Jewelry, Luggage, Shoes, and Handbags & Accessories to 4.00%

I remember seeing blog posts in the past about some WA members that lost a chunk of their monthly income when Amazon changed rates in the past.

I feel bad for people that have been actively promoting the apparel in particular. Let's say you were making a $100 a month in commission income from Amazon. For the same amount of sales, they will be earning $40. Ouch....

Don't put all your eggs in one basket.

That said, stay postive. Focus on what you can control.

Have a great week.

Sondra

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RodneyJr Premium
This is why I don't rock with Amazon; they're such flakes when it comes to their policy and there's always something shady about them or about something they're doing. I'm sorry if I come off as offensive but I stopped rocking with them because I got fed up with their policies. Ebay is where you'll likely find me promoting these days.
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SondraM Premium
I've actually been thinking about signing up for Ebay myself. My retail shop has a number of vintage items that are sold on Ebay, so it would be a good fit for me.

Best wishes!
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RodneyJr Premium
Agreed. You should do it, at least you won't have to worry about Ebay kicking you out for any reason.
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Kerjackie Premium
Yep, not a great idea to put your eggs in one basket, I believe that there are many other affiliates companies that offer better commissions rates.
Jacqueline
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SondraM Premium
So true.

The commission rates depends on what you are promoting also. I do try to focus on the product first and then the commission rate.

Who knows, maybe Amazon has been losing some sellers because they were charging too high a commission for listing the products on their site?

As a potential seller, I don't want to use Amazon because they charge sellers too much, especially for the fulfilled by Amazon. Yet as an affiliate marketer, I want to cry they don't pay us enough commission. I am not sure what the answer is.
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AndyCalvin Premium
Thanks for the heads up - I'm not promoting much from Amazon, and the stuff I am promoting doesn't seem to be affected, but I will make sure to try to keep multiple stream of revenue open because of it.

I'm curious now, if they are changing this, are they going to be changing other categories soon too? And why can't any of the categories go up in commissions instead of down? Lol.
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RosanaHart Premium
They do changeamounts for various categories at times, not sure of time intervals. Think they may have raised commissions on electronics they make like Alexa but not sure.
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SondraM Premium
I am glad that the things you promote have not been affected.

I do think the multiple streams of income or even a couple of different niche websites is the best strategy in the long run.

For commissions to go up, I would assume they would need to charge sellers more. Sellers won't like that either.
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SondraM Premium
I didn't even think to look at it from their products, aside from the clothing line.

I would think they have to stay sort of competitive with the commissions that other programs are offering for similar merchandise.
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Jadatherapy Premium
Thank you Sondra for the update much appreciated

Yes I agree in not having all my eggs in one basket.

That is a big drop.

Have a great week too

Jennifer
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SondraM Premium
Hi Jennifer.

Yes, I was surprised to see such a huge drop on apparel. Disappointed about the drop on luggage because I was thinking of promoting it. Oh well
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Jadatherapy Premium
Sign of the times.

I have promoted both. It will just take longer to make good commission.

Jennifer
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NewLaurie Premium
I got this first thing this morning. So disappointing.

The writing is on the wall for Amazon Associates; it's past time to expand to other affiliate networks and programs.
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SondraM Premium
After your said this, I realized that I too had the message come in overnight.

I just didn't think to take the time to open it.
Yet, I am learning the importance of reading the "boring updates" as sometime they do contain important info.

I am glad that Amazon is friendly to newbies. Yet, no one should focus only on promoting one companies products.
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