Some advertisers offer multi-tier programs that distribute commission into a hierarchical referral network of sign-ups and sub-partners. In practical terms, publisher "A" signs up to the program with an advertiser and gets rewarded for the agreed activity conducted by a referred visitor. If publisher "A" attracts publishers "B" and "C" to sign up for the same program using his sign-up code, all future activities performed by publishers "B" and "C" will result in additional commission (at a lower rate) for publisher "A".
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.
During each calendar month, you may earn advertising fees for Qualifying Purchases. Most advertising fees are calculated as a percentage of Qualifying Revenues based on the tables below and are subject to the limitations described in the “Limitations on Advertising Fee Rates for Certain Products” section below. We also may offer advertising fees in the form of bounties or other special offers as described in the “Special Offers and Promotions” section below. “Qualifying Revenues” mean amounts we receive from customers’ Qualifying Purchases, excluding shipping, handling, and gift-wrapping fees, taxes, and service charges, and less any rebates, credit card processing fees, returns, and bad debt.
It's especially true now that the big media players are finally waking up to affiliate marketing (NYTime buying WireCutter and SweetHome) and BestReviews (which was already an epic product review site in it's self due to the fact they built their own 10,000 sq ft testing lab) being acquired by Tronc (owns the LA Times and half a dozen more publications).
Right now, it’s time for Amazon Associates to take a serious look at their niche website and see what they can do to ensure continued revenue. However, as we’ve seen, all is not lost. In fact, for some this may be a time of great opportunity! By taking advantage of the methods provided above, you can stabilize or even increase your income from you niche website.
This is usually called Cost-Per-Action or CPA offers. CPA offers typically require the visitor to take some kind of action, and if that visitor takes that action, then the affiliate network pays you. Often this action is submitting an email to become an email lead for a company, or filling out an entire form, whether a lead form or a survey data collection form. While CPAs pay lower than offers that pay you per sale, they often convert at a much higher rate, since there is no money that the visitor has to put down for the conversion to be complete. This higher conversion can often more than make up for the lower profits earned on an individual basis.
The people that you refer too did not master amazon, they merely mastered the value they offer to visitors. If you are able to engage/connect with visitors, then you got a winner, some people merely have better skills then others, which may include offering high value content, coding/custom skills. Do you agree that these people brought something to the table? If they did not, then visitors would not continue to visit their sites, right? You can put up all the content in the world, you can get all the backlinks you want, but if you can not engage/connect with your visitors, then all is lost. These site most likely did not start off with custom sites; they started off just like everyone else, some rag/tag site. I ran across an affiliate site a few months ago, and the content on his site would just blow your mind, and let me tell you,this guy had affiliate links from all major affiliate networks, his site has so much authority that he is listed right up under amazon, and some actual product manufacturers; how did he do this? He brought solutions, and value to his visitors, he knew what they were looking for, and knows how to engage, and connect with them. If you can not figure out how to blow your visitors mind, then what do you really have to offer? His avg reviews were between 7k-10k words? how about you? 500-1000 words? at the end of the day, which site will google find more impressive, yours, or his, and i assure you, he had far more affiliate links on his site then you have on yours as you could not skip-a-paragraph without seeing affiliate links.