Brands have shifted their paid media and advertising to online channels as they are more cost-effective, measurable and gives bottom-of-funnel results. According to the London Daily Post, once the global crisis is over, the brands that pounced upon creative and agile affiliate programs will have loyal customers and content partners.
In the times of coronavirus pandemic, the brands need to strategize and adjust their affiliate marketing to focus on sales and promote products. Customers are buying essentials like food, drugs, home goods, apparel, books, music and software according to the recently conducted survey.
Just a few weeks ago, on April 21, Amazon cut its affiliate commissions by over 50% across several product categories hurting the most with Grocery, Health & Personal Health Care as published first by CNBC.
Major part of the income of small & big companies like BuzzFeed and New York Times is from Amazon affiliate program according to The Verge.
Looking at the upcoming future you need to consider that while Amazon is a platform that has smaller margins than the brands, there was no real reason to cut the affiliate commissions. Nevertheless, similar platform like Amazon might follow the leader and reduce the affiliate commission.
Make sure to expand the brands and websites you are working with to reduce your exposure for change in commission rates.
+ FYI: We are keeping tracking this special business event and will update you new developments occur.