Skip to content

Amazon Sales Affiliate Commissions

Cover2

Over the last few years, affiliate revenue has become a key line of business for publishers facing continued downward pressure on CPMs and general profitability of display advertising.

Read it on

www.theverge.com

The affiliate model has also been a great vehicle for publishers looking to build more meaningful relationships with audiences.

These cuts from Amazon will impact a range of publishers—from niche writers running membership programs to household names like New York Times' Wirecutter, New York Magazine's The Strategist, and BuzzFeed. It's too soon to say if these changes will impact the viability of the affiliate business model overall.

—

—as a platform, Amazon captures around 35% of U.S. e-commerce spending—but the cuts are significant.

35%

Publisher Audiences

Either way, the main takeaway is that affiliate revenue, like advertising, requires publishers to play a game in which someone else can change the rules at any time. The only business model that offers publishers complete control over their destiny is subscription or membership, where value and payment are exchanged directly between the only two parties in the relationship: publishers and audiences.

Read it on

www.theverge.com

Words by

Creative Strategy Director

Michael Shane

Stay in touch by subscribing to our newsletter