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Amazon sucks.

Discussion in 'Black Hat SEO' started by jamesjk1, Jan 14, 2017.

  1. jamesjk1

    jamesjk1 Senior Member

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    Started with Amazon not too long ago. Sold 5 items today.

    Shipped Items Revenue
    $151.10

    Total Earnings
    $6.04

    Kinda' depressing, I must say. How are people making decent money with this?
     
  2. NotATroll

    NotATroll Newbie

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    Dropshipping? What are you selling?
     
  3. HoNeYBiRD

    HoNeYBiRD Jr. VIP Jr. VIP

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    Commission Structure
    Amazon operates a volume-based advertising fee structure. The more products that are shipped as a result of your affiliate links, the more you'll make per sale. Once you have sold enough products to move up to a different advertising rate, all subsequent sales will give you commission at that rate, until and unless you reach the next fee level. Note that some products are exempt from this commission structure (see Fixed Fee Products below).

    Fee Rates
    For the first one to six sales, commission is paid at 4 percent of the product's price. At seven to 30 sales, commission increases to 6 percent. Between 31 and 110 sales, you'll earn 6.5 percent, between 111 and 320 sales you'll get 7 percent and between 321 and 630 you'll earn 7.5 percent. If you sell between 631 and 1570 products you'll get 8 percent commission, selling 1571 to 3130 products earns you 8.25 percent, and if you sell over 3131 products you'll make 8.5 percent per sale.

    Fixed Fee Products
    Some Amazon products are exempt from the stepped commission structure. These include cell phones and electronics (4 percent), video game downloads (10 percent), industrial products and anything on Amazonsupply.com (8 percent), Amazon gift cards (6 percent), third-party gift cards (4 percent), magazines (25 percent) and groceries (4 percent). Note that computers, including tablets and laptops, are capped at $25 commission while MP3 and instant video sales are capped at $1.50 maximum. All other products are eligible for the increasing advertising fees.

    tl;dr...You need to sell more to get a higher cut. People who make decent money with Amazon definitely do volume and/or sell more expensive products.
     
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  4. issorc

    issorc Jr. VIP Jr. VIP

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    If you sold 5 items and "only" have a value of 151$ that means that your items are worth 30$ at average. That's the reason the most people are looking for niches with items that are sold for 100$+. Your referral fee is only 4%, too. Either try to sell more or look for a niche that has a higher fixed fee. More expensive products + higher fees = banking hard
     
  5. tb303

    tb303 Power Member

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    This is the best advice with Amazon that people seem to miss.
    You need to be selling lower price/higher volume stuff as well to get that percentage up. It makes a big difference :)
     
  6. JabbaTheHutt

    JabbaTheHutt Regular Member

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    Consumer electronic items give you only 4% flat rate. So either you need to find other items which pay better or increase the sales volume.
     
  7. Nut-Nights

    Nut-Nights Jr. VIP Jr. VIP

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    Go with other affiliate program, Amazon is not the only one in the world. Try linkshare, shareasale and CJ.
     
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  8. super11

    super11 Jr. VIP Jr. VIP

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    Reminded me of the days, when I used to make $100+ a day as an amazon affiliate many years back. It was exciting but only short lived. It's all about quantity. More traffic equals more clicks equals more sales.
     
  9. blogzandstuff

    blogzandstuff Elite Member

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    And ebay, they are big and most sellers on amazon also sell the same products on ebay
     
  10. SERPTurbo

    SERPTurbo Jr. VIP Jr. VIP

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    Commissions for physical products has always been low, so I'm not sure why you are surprised?

    So the only way to earn more is either do big volume or promote high-cost products, where even a 5% commission will be at least $50 or more.
     
  11. Mr Cracker

    Mr Cracker Regular Member

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    Sorry to say but its you that sucks, it's not Amazon. Plenty are banking big $$$ with them. Look at your niche(s) and dig deep, don't waste time with low hanging fruit, focus on high ticket items for larger payouts.
     
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  12. frenchdan

    frenchdan Newbie

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    Couldn't of had said this better.