I've heard cases that Amazon drops commission rate once the affiliate's sales reach a certain level, especially among those deal and coupon sites. Have you heard about it? Is it true? If it is true, it would be really discouraging cuz the more you promote Amazon, the more likely they will drop your commission rate.
It would be interesting to know where you found this out. I doubt very much that they do this and their affiliate model is the opposite - they reward you for making more sales in a month.
My reply got deleted. I guess it is because I posted digitalpoint's competitive site. Search "Amazon drops referral rates for deals & coupon sites" in google, first result. digitalpoint webmaster, please let me know if this is ok with you. I am trying to discuss a question with other users, not promoting your competitive sites. Thanks.
I just ran a search and nothing was returned for commission being dropped by Amazon. It's just a rumour and should not be taken seriously.
http://www.abestweb.com/forums/showthread.php?t=127603 digitalpoint webmaster: please forgive me for posting competitive link. I am just trying to have the discussion and seek opinion.
I take back my original statement - this looks authentic and no reason for anyone to lie about it or make it up. It isn't about quantity however, it is about deal/coupon sites... Essentially Amazon run the associates program to bring in new customers who weren't aware of Amazon, or potentially wouldn't consider Amazon for certain products. A deal/coupon site doesn't do this - it will potentially bring in people who would go to Amazon anyway. They run tight margins and run the associate program on the basis that the customers will go back of there own accord (instead of constantly through affiliates). Deal sites encourage all Amazon customers, even those who would have gone anyway, to click an affiliate link. I know for a fact Amazon are trying to cut costs, due to their recent API changes, although this seems to be quite a longstanding issue (The threads on are are 6 and 12 months old).
Just ve read the article. So this is not about normal performance fee structure, is it ? I don't remember receiving such a mail in last December.
If Amazon wants to make more money it should RAISE the commission payouts to get affiliates promoting Amazon products even more vs. rivals.
Well I don't think they want to "make money" because they already earn a lot. I can't blame them for their rato because they sell products rather than services so profit margin is low. just like AdSense in PPC area Amazon is the dominant player in its own market. I don't see any other competitor who can give a fight. Only thing I would like to see as improvement is publishers having ability to use one account for all their 5 Amazon local sites.
Did you know Amazon as a business has not yet made a profit on its investment? My main "want" from Amazon is better communication and respect to Affiliates.