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The Pros and Cons of Amazon’s Affiliate Program

The Pros and Cons of Amazon’s Affiliate Program
By: Payoneer Posted On: October 26, 2018 View: 6

The Pros and Cons of Amazon’s Affiliate Program

Amazon has one of the most well-known and important affiliate programs driving eCommerce. It provides a lot of opportunities and advantages relative to other affiliate options. However, there are some drawbacks and limitations to consider in evaluating Amazon relative to other platforms.

The following is a look at some of the pros and cons of the popular Amazon Affiliate Program.

Amazon Affiliate Program Pros

The following are some of the most significant reasons that eSellers include Amazon in their affiliate businesses:

  • Credibility and Reputation – There is no affiliate program more renown around the world than Amazon. The company has a strong reputation based on its wide variety and deep assortments of product, fast shipping options and effective service.
  • Massive Size – The pure size and scope of the affiliate product options available by selling through Amazon are unparalleled. The company’s “A-to-Z” approach to online retail means you have access to virtually any consumer good readily available on the open market. You gain the efficiency of accessing most products that fit your business focus from one platform. It is also easy to reach a broad international market of consumers that use Amazon.
  • Revenue Expansion – You can earn income on Amazon beyond the direct products that you promote on your site. If a user clicks on your affiliate link and purchases the referred product, you also gain referral commission from any other products purchased at that time. Your revenue is assured for up to 24 hours if a person leaves the site and then returns.
  • Sales Support – Amazon wants to make money, so they help your customers finalize purchases by sending abandoned cart emails and other follow-up messages. They even pitch additional, related products after your customer makes a purchase.

Amazon Affiliate Program Cons

Even with these compelling reasons to sell on Amazon, here are a few negatives of the platform to bear in mind:

  • Modest Commission Rates – Your commission on Amazon referrals is usually around four percent and maxes out at about ten percent. Other platforms, including direct or private affiliate programs, typically offer higher rates. For very niche affiliates, you might prefer the higher-commission options since you don’t need the product volume.
  • Referral Time Limits – In some cases, people click on your referral link and opt not to purchase immediately. If the person contemplates the product or explores alternatives, you could lose out on commission after the 24-hour time limit. Thus, you don’t make money even though it was your affiliate link that led to the purchase.

Conclusion

Amazon is a powerful, convenient affiliate platform that meets the needs of a lot of affiliate marketers. This point is especially true if you want to promote a wide array or deep assortment in your product mix. Remember these pros and cons as you evaluate the benefits of Amazon for your business.

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