One down, many to go

July 9, 2009 by John Dilbeck · 6 Comments
Filed under: Affiliate Marketing, Amazon, Blogs, Websites 

It’s been a busy week around here.

In addition to working to bring a new site online (that won’t have any affiliate ads and very few Adsense ads), I’ve been busy rebuilding one of my oldest websites, JohnDilbeck.com.

That’s the site where I really started to learn affiliate marketing and online marketing, in general. It’s where I sold my steel roses and started making real money with Amazon.com.

Sadly, however, it had suffered years of neglect and looked like an abandoned flower garden that once was beautiful, but eventually became clogged with weeds and overgrown bushes.

I’ve been intending to rebuild JohnDilbeck.com for some time, but — at over 1,500 pages — the task was daunting and I never seemed to find the time to tackle it.

Over the years, I’ve tested lots of things on that site, and some of the pages looked horrible, when I looked at them with fresh eyes.

Mitch and I talked about that on a previous post where we were talking about Site Build It and I mentioned JohnDilbeck.com as an example of a site that more than earned its way. He mistakenly thought it was powered by SBI, but it isn’t. It’s just a standard Linux-hosted static website. Most pages are plain HTML, but a few are PHP so I can do some things that could not be done on a standard HTML page.

Well over 600 pages of the site were built specifically to bring in Amazon.com commissions. Now that Amazon has terminated my association because I live in North Carolina, I didn’t want to be sending anyone their way at my expense with no hope of generating any revenue from it.

That was the incentive to tackle the project.

Fortunately, I build my large static sites using a programmable database, and each major section has a template through which I process each page. That means that it’s probably easier than it sounds at first. Still it was a big task.

Part of the task was made easier when I would look at a major section and decide that it just wasn’t worth updating everything. As a result, instead of rebuilding hundreds of pages, I deleted them.

This will probably play havoc with my rankings in the search engines, but it will probably be easier on anyone who happens to visit the site.

I had Amazon.com ads on just about every page on the site, and now I think there are none, or only a few. There may still be pages where I recommended a specific book using a text link.

Eventually, I want to get back to that site and try to build it back to its former place of importance in my marketing efforts.

At least, now, it’s prettier and maybe easier to use.

I’m prejudiced, because I love that site. I don’t think I can really see it with fresh eyes after editing it for about 10 years.

I lost a lot of good information in the process, and killed what was one of my longest-running blogs. I did save lots of information in the database, so some of the information I didn’t have time to update now may make its way back onto the site in the future.

We’ll see.

So, that’s one site (mostly) cleaned up, and many more to go.

Sigh.

Act on your dream!

JD

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Amazon.com cancels all North Carolina affiliate accounts

June 26, 2009 by John Dilbeck · 15 Comments
Filed under: Affiliate Marketing, Amazon, Opinions 

Yep. You read that right. Amazon.com has terminated the account for all of their affiliates who live in North Carolina.

Previously, they said they would do this if the NC General Assembly passed the tax law that is under consideration.

Now, however, even though the law has not been passed, Amazon terminated all their NC affiliates on the anticipation that it may be passed.

That’s a huge difference!

Here’s the email I received from Amazon.com this morning:

We are writing from the Amazon Associates Program to notify you that your Associates account has been closed as of June 26, 2009. This is a direct result of the unconstitutional tax collection scheme expected to be passed any day now by the North Carolina state legislature (the General Assembly) and signed by the governor. As a result, we will no longer pay any referral fees for customers referred to Amazon.com or Endless.com after June 26. We were forced to take this unfortunate action in anticipation of actual enactment because of uncertainties surrounding the legislation’s effective date.

Please be assured that all qualifying referral fees earned prior to June 26, 2009 will be processed and paid in full in accordance with our regular referral fee schedule. Based on your account closure date of June 26, 2009, any final payments will be paid by September 1, 2009.

In the event that North Carolina repeals this tax collection scheme, we would certainly be happy to re-open our Associates program to North Carolina residents.

The North Carolina General Assembly’s website is http://www.ncleg.net/, and additional information may be obtained from the Performance Marketing Alliance at http://www.performancemarketingalliance.com/.

We have enjoyed working with you and other North Carolina-based participants in the Amazon Associates Program, and wish you all the best in your future.

Best Regards,

The Amazon Associates Team

Now, I’m pissed off

Before, when I first heard that this might happen, I was mainly disappointed in the NC General Assembly for considering passing a tax law that redefined how companies were considered to have a presence in the state.

North Carolina is in the midst of a budgetary crisis, and they’re looking for ways to increase their revenue. This is understandable. Since last September, or so, we’ve all been scrambling to cut expenses and increase revenue until we can weather this economic crisis.

I don’t think most of the legislators have a clue about how this proposed tax law may affect many of us who have been earning our living from affiliate marketing, and I’m not sure how many of them care. After all, when you compare all the businesses in the state, affiliate marketing businesses are at the very small end of the small potatoes bin.

The fact that some of us have been earning all our income from affiliate marketing for years doesn’t seem all that important to them, from what I’ve been able to learn.

Let me say, once again, that I’m no expert when it comes to legislation and tax laws, but neither are our elected representatives – and they’re the ones who are making these laws.

But, I’m not pissed off at them.

No.

I’m pissed off at Amazon.com and their entire Amazon Associates Team.

This time, they went too far.

I know they have the right to terminate any affiliate they want, but to terminate all affiliates in an entire state with no changes to the laws is just wrong.

They didn’t do it in response to new tax laws that would affect their business; they did it in anticipation that the law may be passed.

That’s a huge difference, and I find it to be unconscionable.

Then they try to make nice with us:

In the event that North Carolina repeals this tax collection scheme, we would certainly be happy to re-open our Associates program to North Carolina residents.

Well, Amazon, in the first place, the law has not been passed, nor has it gone into effect.

In the second place, no thank you.

I have been an Amazon.com affiliate since shortly after it was first introduced. Before any of us knew what we were doing, I created my Hyperdimensional Book Nook on my first domain at need-sleep.com.

(I let that domain lapse many years ago and I am not associated in any way with the current version of that domain.)

On a whim, I searched the Way Back Machine and actually found a copy of the site from January, 1997 showing pages I last updated in the fall of 1996. That means that I’ve been marketing for Amazon.com for almost 13 years.

(If you’re interested, here’s a glimpse of my very first website and you can see the obvious influences of Star Trek and A Hitchhiker’s Guide to the Galaxy. Need-Sleep.com from January, 1997 and my HyperDimensional BookNook at the Edge of the Universe.)

It was mostly a learning exercise, but it was my first foray into affiliate marketing – and I earned a little money from it. Later, I built some real websites where I promoted a variety of products through Amazon.com.

Now, I have thousands of pages with links to Amazon.com and I have to find and remove them – as many as I can – when I’m very busy doing something more important to me.

Yes, I’ll remove them, and I’ll never put them back. I’m not sending any more visitors to Amazon.com, nor will I ever recommend them, again.

It’s over Amazon. No matter what happens in the future, don’t bother inviting me back to your party.

Act on your dream!

JD

PS. I should have mentioned that it will take weeks to find and delete all those links to Amazon, assuming I’m able to do so. In the meantime, there’s no telling how many visitors will go and purchase something and I won’t earn a penny from it.

This is another example of the affiliate taking all the risk and incurring all the expense of advertising and hoping we’ll earn something in the future.

Sometimes it works; sometimes it doesn’t.

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Will new tax law kill affiliate marketing in North Carolina?

June 19, 2009 by John Dilbeck · 10 Comments
Filed under: Affiliate Marketing, Amazon, Twitter 

I don’t even know how to start writing about this. Sigh.

I’ve been a busy boy this week working on developing a new website (fortunately not related to affiliate marketing) and have been slow to read my emails.

This morning, I opened one from Amazon.com with a subject of: Important Notice from the Amazon Associates Program

Normally, I read these when I’ve finished more pressing matters, but I didn’t realize that this really was an important notice until I read the following paragraphs…

We regret to inform you that the North Carolina state legislature (the General Assembly) appears ready to enact an unconstitutional tax collection scheme that would leave Amazon.com little choice but to end its relationships with North Carolina-based Associates. You are receiving this e-mail because our records indicate that you are an Amazon Associate and resident of North Carolina.

Please note that this is not an immediate termination notice and you are still a valued participant in the Associates Program. All referral fees earned on qualified traffic will continue to be paid as planned.

But because the new law is drafted to go into effect once enacted – which could happen in the next two weeks – we will have to terminate the participation of all North Carolina residents in the Amazon Associates program on or before that same day. After the termination day, we will no longer pay any referral fees for customers referred to Amazon.com or Endless.com nor will we accept new applications for the Associates program from North Carolina residents.

That’s just the first three paragraphs and I won’t bother quoting the rest, because this basically tells the story from Amazon.com’s point of view.

I didn’t even know anything like this was in the works and now I find that it is scheduled to be passed into law and take effect in less than two weeks, on July 1, 2009.

(It doesn’t make it any more pleasant that July 1 happens to be my birthday! What a nice birthday surprise.)

So, this morning, I’ve been scrambling and found someone who is leading the fight in NC on Twitter: Rich Owings.

They’re tracking the issue with the #ncaffiliatetax hash tag on Twitter. (You’ll need to go to Twitter.com and search for that hash tag. I’ve tried to link to it in several different ways, but – for some reason – none of them are working properly today.)

I found a couple of newspaper articles on Rich’s Twitter stream…

From the Asheville Citizen-Times: Proposed Web tax rankles local businessman.

From the Greensboro News & Record: Amazon warns N.C. affiliates about tax issue.

Now, I know that North Carolina is facing budgetary problems, but I think this is a misguided move by our politicians. Of course, I’m biased.

For the last six years (or more), I’ve earned 100% of my income from affiliate marketing. This new law will decimate my remaining business revenue, most likely.

I used to earn more with Amazon.com than I have in the last couple of years, but this step by Amazon may be the first bad news I’ll hear from other affiliate programs.

I’ve been an Amazon.com affiliate since shortly after they started it over 10 years ago and I’ve depended upon commissions I received from affiliate marketing as my sole source of income for over six years as I was my mother’s full-time caretaker and could not leave the house.

Unfortunately, she died last November, and I’ve been planning ways to diversify my income. Some of those plans are starting to produce results, fortunately.

My friend, Mitch Mitchell, who lives in New York, went through this months ago when the NY legislature passed a similar law and Amazon.com canceled all affiliates in his state.

As of today, it appears that Amazon.com is no longer accepting new affiliates in North Carolina.

Last September, my business took a real hit with the sudden downturn in the world economy. I lost between two-thirds and three-fourths of my income at that time, and it has only now showed any signs of recovering from that drastic slump.

If other affiliate programs, in addition to Amazon.com, cancel my participation, there goes my affiliate marketing business.

As much as I would like to sit here and whine, I’m not going to do it. If this happens, I’ll face it and make new plans that don’t involve affiliate marketing – even though it will mean a huge shift in my business plans.

I hate to think about the thousands of pages I have on my various blogs and websites that will need to be updated to remove links to Amazon.com.

I don’t know what other surprises my birthday will bring this year. This will probably be the biggest one.

It appears that this new law is on the fast track to passage and many of the legislators that Rich Owings has contacted don’t even understand how it will affect very small businesses like mine across the entire state.

I won’t have to wait too long to see what happens.

Act on your dream!

JD

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