John Chow today posted a post outlining why he’s not an Amazon Affiliate. It’s a good post in that it gives an insight into his approach to affiliate marketing. The best point John alludes to is that Amazon doesn’t ‘fit’ with his blog. He makes more from other better targeted affiliate programs than Amazon.
However the Amazon Associates Program is well worth considering for some bloggers. I use it and this month it’ll earn me over $2500 USD – not my biggest income stream, but not the ‘pennies and dimes’ that some say it has the potential to earn.
To bring a little balance to the debate over the Amazon Affiliate program I thought I’d give a few reasons that I am an Amazon Affiliate:
1. Amazon is a trusted Brand – I surveyed some of my readers a year back and asked them to give me a list of online stores that they had made purchases from in the last 12 months. Amazon came up number 1 as the most popular shopping destination mentioned. Readers know Amazon and are familiar with it – they trust it and do spend significant money there.
2. Commissions – John writes that he’s not satisfied with a 4% commission. He’s right in some ways, 4% isn’t that much when you’re selling a $10 book – however when you’re selling a Get a Price on the $5000 Camera or a $25,000 Tractor (I know someone who does quite well out of ride on mowers and tractors) it certainly adds up. Not only that, the 4% rate that John talks about is the base rate. Unfortunately it is as high as it goes on consumer electronics – however on most other products there is a sliding scale where the more you sell the higher your commission goes to. Sell more than 6 items in a month and your commission goes to 6% – sell over 630 and you’re up to 8% (the rate I’m on). The 4-Hour work Week that John uses as an example earned me around $1 a book. Still not a lot – but I did sell 100 or so of them (after my interview with it’s author) which not only earned me $100 but also helped push the numbers of sales up for the month, moving me into the next earning bracket.
3. People Buy More than One Item – the great thing about Amazon is that you don’t just earn a commission on the product that you people to, but anything that they buy once they’re at Amazon. I did an experiment earlier in the year where I published a review of a digital photography book on my blog and placed a tracking code in the link to see how much the review earned me specifically. What I found was that the product in the review did quite well – but the sales of other products that people made once they got to Amazon was actually much greater than the sales of the actual book. People went on to buy all manner of products (other books, electronics, cosmetics etc) – I earned a commission on each one of them – now that’s passive income. You earn a commission on anything that a person buys within 24 hours of you sending them to Amazon.