The cuts go into effect on April 21st, according to CNBC. Some product categories will see drops of more than 50 percent.
Commission rates under the categories of home improvement, furniture, lawn and garden, and pet products will drop to just 3 percent. For headphones, beauty products, and musical instruments, commission rates will go from 6 percent down to 3 percent.
Amazon remains the leader in us e-commerce with nearly half of all online sales. Other retailers, like Best Buy and Walmart, also run affiliate marketing programs.
Digital media companies like BuzzFeed and New York Times-owned Wirecutter are among the more prominent commerce providers in the industry. Vox media is another, with affiliate partnerships that include Amazon.
Non-News companies have spun up small to medium-sized businesses around online deals and product reviewing. One person – who runs some Facebook groups dedicated to sharing online deals – says they’can not afford’ the cuts.
Amazon is n’t citing any one reason for the commission rate cuts, according to an email sent to program members. The company declined to comment on the situation.
The company is hiring hundreds of thousands of new workers to keep up with demand in its warehouses and for its grocery and package delivery platforms. Amazon is one of the few us businesses that has only become more vital during the covid-19 pandemic.