Confessions of an Amazon Associate

Confessions of an Amazon Associate


By James Ledbetter
Posted Wednesday, July 1, 2009 - 12:32pm

Not long ago, TBM's "Kindle Chronicles" columnist Marion Maneker asked me in an e-mail exchange whether, if we covered a particular aspect of e-publishing in his column, it might look like The Big Money was in bed with Amazon (AMZN). I had to write back, only slightly joking, that as an Amazon Associate, we actually are in bed with Amazon.

How so? For the last several months, any time a book (or record, or movie available on DVD-but mostly it's books) has been mentioned on TBM, we've linked to a page on Amazon where readers can buy the item. If they do buy it, The Big Money gets a small percentage of the sale price.

Affiliate programs are nothing new; they were a big part of Amazon's growth in the late ‘90s, and Barnesandnoble.com has them as well. It's no secret that free Web sites like this one are constantly in search of non-advertising revenues, and this is (a very modest) one.

We are, of course, a business site, and Amazon is a company we cover regularly. Indeed, the associate program is itself in the news; as states like Rhode Island, North Carolina, and Hawaii pass laws taxing Internet retail sales, Amazon has taken the somewhat drastic move of cutting off its affiliates in those states.

The fact that Amazon is a source of revenue presents a potential conflict of interest for us. I hope that this disclosure to readers (we've long mentioned the relationship on our About Us page, but this is a little more prominent) serves as partial inoculation against any such conflicts. I think we have enough credibility with readers that no one would think that we'd approach Amazon journalistically any differently than any other company, but ultimately that is the readers' judgment, and we want that judgment to be as well-informed as possible.

There are times when the arrangement raises some editorial issues that simply don't come up in print or broadcast, notably: What if we're writing about a book to tell you how bad it is? Isn't it strange or contradictory to then be simultaneously, if mildly, trying to sell it to you? Well, yes-which is why, for example, we didn't initially link to Suze Orman's books in James Scurlock's pointed attack on her that we published in February.

But my boss Jacob Weisberg disagrees. He takes the view that everything should be linked to, as a service to readers and so as not to discriminate. I'm persuaded, because if you think about it, discriminating actually does involve a mixture of editorial judgment and commerce, whereas there is a mechanical purity to simply linking to everything. We're happy to follow that policy from now on. Your thoughts and comments on this subject are always welcome.

  • James Ledbetter is editor of The Big Money, and of The Great Depression: A Diary, published this month by Public Affairs.

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conflict

Two things occur to me: 1.) Despite my status as a TBM contributor, I have no how much revenue is generated through the affiliate program, but I would be surprised to hear it was enough to make for a truly problematic conflict (though disclosure is always a good thing) and 2.) It is certainly a service to readers, not to enable a purchase so much as to get them to more information about the book. Reviews, price, author info, reader reviews, search-inside, etc. I go to Amazon probably 10 times as often for info as I do for an actual purchase.

Yep

Dan: Two good points. Quick response:

1) It ain't much, at least right now. It's a very, very small amount of money, so small that you're right--it does not in and of itself create a conflict. On the other hand, we all on this side would want it to grow, right? So in a way, if scale is the issue, if it's not a problem now, we're oddly rooting for it to get to the point where it might be! That's why they call it a conflict.

2) Yes, excellent point: An Amazon page, even for someone who doesn't make a purchase, can be a great source of information, much as a stock quote page can be about a company, even if the reader has no intention of buying that stock.

 

amazon bedfellow

As a journalist who has largely transitioned to new media (including The Big Money), I can say the separation between editorial and advertising at newspapers was often illusory. I wrote a real estate column for one paper that ran only when a particular advertiser decided to show up. This particular advertiser had no influence, strictly speaking, over my content. But it sure had influence as to whether or not I got published at all.

Further, I can remember discussions among colleagues at other newspapers concerning placement of ads and stories. Sometimes it would just be a question of taste: Would you really run a formula ad next to a story about something terrible that happened to a baby? Sometimes it was about content: Do you risk running a story critical of formula next to an ad by a formula maker? Of course, many publishers were willing to alienate advertisers; but we should never pretend that no one debated these issues.

New media people are much more open about business relationships - to wit, this column on TBM and Amazon. The old business model is broken and everyone needs to start throwing out ideas fast about how to create new ones. That conversation in of itself creates more transparency. It's also very exciting to be part of something new, to engage in chatter that leads to destinations unknown.

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