How Amazon Tiered Commission Works

I discovered something new today when I logged in to my Amazon Associates account. In case you didn’t already know, Amazon operate a tiered commission structure, basically the more you sell the more commission you earn. Although they advertise that you earn 7% commission, the base rate is actually 4% and to earn 7% commission you have to sell X number of products in a month.

If you sell 7 products then your commission goes up to 6% and as I found out today the commission is applied to the first 7 products too, for some reason I always thought you get 4% of the first 7 products and then 6% on the next 22 products and 6.5% on the next 100 products etc. I’m happy to be wrong in this case!

amazon-report

Another point to note is that this commission is reset each month so every month you start off on 4% and have to work your way back up to 7%. Oh yes, and the commission structure doesn’t apply to electronic goods, you earn a flat 4% regardless of how many you sell.

Phew, why do they insist on making it so complicated! Still, I’m chuffed to bits to see sales coming in from Amazon when I’m not even promoting my Amazon sites!

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