End Of Amazon Affiliate Marketing

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Amazon just announced they’re cutting partner commissions. Since they weren’t paying much, to begin with, it’s time to address the elephant in the room – how fast can you go broke promoting amazon products and what should you be promoting instead for maximum profit in minimum time?

[01:18] The podcast delves into the present and future of Amazon’s affiliate marketing program and its highly profitable alternatives.

[01:50]  Amazon has cut their commission rates:

  • The Verge published an article announcing that Amazon, which wasn’t paying great commissions, to begin with, is cutting down on partner commissions for no good reason.

  • That’s the equivalent of someone dropping your business or your profits by over 50% to 60%.

[03:30] Alternatives to Amazon Affiliate Marketing:

  • I don’t see any other alternatives besides either selling your stuff on Shopify or drop-ship from somewhere without being an affiliate for Amazon.

  • Amazon is the third or second largest search engine now in the States, and they’re responsible for I think 50% of all e-commerce in the States right now.

  • The other alternative though is to get into a different space, still being an affiliate marketer, but getting into digital affiliate marketing because the profits are so much better.

[04:50] The uptrend of digital products:

  • I think that that space would be on an uptrend because there are more people at home, more people that are exploring the internet and looking for opportunities, with 30 million people out of work these days.

  • In the digital marketing space, when you’re selling information, coaching services, and software products, you’re usually getting a lot more money.

  • As long as my stick rate is there, I can be making money over and over and over again from just one sale continuously for years to come.

[07:28] Making money from Amazon without the Associate’s Program:

  • I’m sure some people make money on Amazon, and I’m guessing those are the people who are sourcing products from China for a really low price and then they sell them on Amazon, but they’re not affiliated.

[07:36] Marketing Physical Products vs. Digital Products:

  • If you refer me to a thousand-dollar lens, like a lens for photography, I’m pretty sure you’re not making a lot out of that thousand dollars sale. But at the same time, you promote a $97 ebook or video course or software, you walk away with 50 bucks.

  • It takes just as much effort to sell a hundred-dollar item as it does a thousand-dollar item and almost as much as it does a $5,000 item because the process of gaining attention, attracting the customer, running the ad, overcoming objections, getting them to pull out their credit card and enter the credit card information is always the same effort.

  • You want to focus on something that’s going to give you a reasonable income and not have you struggle and scrape and claw your way to a 3% profit margin, where you can get a lot more for the same amount of effort.

[09:40] Igor’s predictions about Amazon:

  • Amazon is probably not very concerned with affiliates, because its brand power is so strong now that people go on Amazon just to search for stuff. So even if they depended on affiliates in the early days, I don’t think they depend on affiliates anymore.

  • So I think they will continue to cut those commissions as much as possible because I don’t think they just want to waste the resources to manage that program.

[11:20] The strategy of MLM Companies:

  • When other people sell stuff outside of the platform, it may create a liability.

  • This is why MLM companies don’t allow you to build your own sales funnel.

[12:15] The key to success in affiliate marketing:

  • If you want to make money as an affiliate marketer, you have to promote products that pay you big commissions.

  • I’ve been very successful doing that, making thousands of dollars a week, as I’ve been focusing on promoting high-ticket “off-market programs”.

  • Learn more from Igor at Igor.ac.

[13:13] Importance of choosing your market wisely:

  • I see so many people apply themselves and work really hard in an environment that simply does not offer them a chance to succeed.

  • I promote a market that’s willing to spend more money with less resistance, and I do it efficiently with systems.

  • If you’re applying yourself to something like Amazon affiliate marketing, that’s paying you peanuts, then maybe it’s time to switch the market.

  • Apply yourself just the same way, work just as hard if you want to, and just make more money in less time.

[15:18] List Building Lifestyle Podcast:



Igor Kheifets is an amazon best-selling author of the List Building Lifestyle: Confessions of an Email Millionaire.

He’s also the host of List Building Lifestyle, the podcast for anyone who wants to make more money and have more freedom by leveraging the power of an email list

He’s widely referred to as the go-to authority on building large responsive email lists in record time.

Igor’s passionate about showing people how to live the List Building Lifestyle.