Amazon Affiliate Program Problems
Once upon a time Amazon Affiliate Program was one of the best ways online to make decent money however those days are long gone. It is still possible to make money at home with the Amazon Affiliate Program but it is going to take a lot of work and the days of high commission checks are history. In this article we are going to look at the problems associated with Amazon Affiliate Program
Low Commissions For Amazon Affiliate Program
As you can see from the image at the top of this article the commission rates that Amazon now pays are among the lowest around. Unless you are selling products worth hundreds or thousands of dollars it is going to take a huge number of sales in order to hit that $100 payout threshold that the Amazon Affiliate Program has. I have a number of Amazon Affiliate sites but the problem is the average price is below a hundred dollars so the amount of sales I need to just hit the threshold is over fifty items.
It use to be when you sold a number of items your commission rate would increase, a basic commission rate that was higher than it is now, so there was incentive to attempt to sell as many items as possible. However Amazon not only killed the incentive program they also slashed the commission rates. Why? Greed would be a good guess as it leaves a lot more money in the pockets of the CEO at Amazon
Amount Of Competition Within The Amazon Affiliate Program
The number of competing websites for any given niche within the Amazon Affiliate Program continues to grow as it does not take much work to throw together this type of website and people believe it is the easiest way to make money at home. Of course this is mostly true but now you have dozens of sites competing in a very small niche.
Then there is the fact that the best niches within the Amazon Affiliate Program are targeted by websites that have been active for a long time so trying to steal the number one place on Google Search can be daunting.
In order to make money with the Amazon Affiliate Program you need to find a niche that is not completely saturated and that you can find a way in. If you just blindly pick a niche you are in huge trouble right off of the bat.
The 24 Hour Cookie With The Amazon Affiliate Program
So if a potential customer goes to your site and follows a link over to Amazon they have to buy something within twenty four hours or else the cookie is going to disappear. Now other retailers who have a presence online offer cookies that range from three to seven days which makes a ton of difference long term in terms of revenue
The Dreaded Returns Of The Amazon Affiliate Programs
I have no idea what the heck is going on at Amazon but I have weeks where the returns out number the sales. Whether it is Amazon letting garbage companies to sell on their website or it is something else entirely. When you have a week where you make twenty sales then a few days later eighteen returns have been processed it gets really frustrating quickly. I remember a time when I would make a hundred sells and see maybe five returns. Again those days are long gone
The goal of Amazon Onelink was that a person from a given country would go to your site and follow a link which would lead to their specific Amazon site. So a Canadian goes to my site, follows the link and would end up on Amazon.ca. Great idea but a poor follow through as it fails to do this time after time. Too many Canadians for example end up on Amazon.com and then have to transfer over to Amazon.ca which kills the before mentioned cookie. Thanks a lot Amazon.
Can You Make Money With Amazon Affiliate Program
Yes is the short answer. Like I mentioned earlier I do make money off of my Amazon affiliate sites however it is much less than the same sites would have generated a few years back. The traffic is the same but between the low commissions and returns it is not a passive income that will generate a fair amount of income. Kind of crazy that I make more money at home with Google Adsense than I do with Amazon