💰 Amazon's New Bet
Amazon is testing a new revenue model for digital publishers. The Native Commerce Advertising (NCA) program pays publishers when they send readers to Amazon, even if they don’t buy. CNN, Vox Media, and Future are already in the pilot. Amazon aims to roll it out more widely this year.
📈 A Boost for Media
Affiliate revenue is key for struggling publishers. The New York Times made $95M from its affiliate business in Q4 2023. The NCA program adds to Amazon’s existing Associates program, where publishers earn commissions on sales. Now, they can get paid two ways: clicks and purchases.
⚠️ Ethical Concerns
The NCA model raises editorial concerns. Amazon pays different rates per click, from $0.20 to $0.60, incentivizing publishers to push high-paying vendors. Some say Amazon even recommends this. Media firms must balance revenue with credibility to maintain trust.
🛑 Google’s Crackdown
Google has targeted low-quality affiliate content, hurting publishers. CNN and USA Today saw traffic declines after Google cracked down on third-party content. With NCA, Amazon offers an alternative revenue stream—but will it be enough to counter Big Tech’s grip on ad dollars?
Will Amazon’s NCA program help or hurt digital media?
