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Still Losing Affiliates

Posted by on Dec 4, 2008

Back in May, I wrote a post about New York state’s new law to force affiliate programs to start collecting taxes from those of us who market their products, and how I started having affiliates dropping me from their programs. I followed that one up a couple of weeks later with this article talking about how six affiliates had dropped me, and I wasn’t happy about it.

Well, after the initial round, nothing more happened, and I moved on, not thinking about it again. Suddenly, however, this week I’ve had three more affiliates drop me, mentioning this same thing about New York state. All I can conclude is that New York had thought about backing off of it a little bit, but with the big budget crunch because of the failing of the financial markets, which impacts New York more than other states because part of the budget is based on receiving residuals off positive stock market returns, they’ve come on full force and made these demands without reservation.

It puts one in an interesting position. After all, it’s not like I’ve been making money hands over fist with some of these affiliates, and yet I feel as though that next sale might have been just around the corner, and now this. Frankly, I don’t like it one bit, but there’s obviously nothing I can do. Well, there’s also something I have to do, that being going back through all my posts, looking for those particular ads, and removing them. I also have to look at a couple of my other sites and remove those advertisers there. It’s irritating, but if anyone purchases something from them I won’t get paid for it, so why keep promoting them, right?

Yup, it’s tough doing business in New York, no matter what type of business one is trying to do.

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so these affiliate programs can survive without the new york city market? or are they just dropping people outside of downstate zip codes?

josh´s last blog post..November: Looking back, looking forward

December 4th, 2008 | 12:45 PM

Nope, they’ve decided to totally drop out of NY state, or at least those of us who live in NY state and help market their products. They still have to collect taxes from people who live in NY and buy their stuff, so there must be an extra complication in there. Personally, I don’t like it.

December 4th, 2008 | 3:23 PM

it just seems like with such a large potential market — maybe 6 million or so bloggers, marketers and freelancers — they’d be willing to deal.

outside of california, where i’m sure they do a fair bit of business, i imagine they probably need eight or ten states to make up for the lost prospective business.

josh´s last blog post..November: Looking back, looking forward

December 4th, 2008 | 3:33 PM

I’m with you, but it’s been happening enough to me that I guess they figure they’d just rather not deal with it. Believe it or not, Amazon’s considering doing the same thing, as far as not allowing any New York people to market their services. They’re the ones who are challenging the law.

December 4th, 2008 | 10:32 PM

Mitch, it is tough doing business anywhere in the world. If you are talking about taxes, you have got to do business in India, to really appreciate how easy it is to do business in the USA!

rummuser´s last blog post..Terror’s first hand experience.

December 5th, 2008 | 7:51 AM

Probably by percentage it’s tough, rummuser, but the thing is that in America every state gets to adjust its taxes differently, and then tries to impose its will on other states, and sometimes they get away with it, and it only hurts us, the people they’re supposed to be serving.

December 6th, 2008 | 5:41 PM

Exactly the same thing happens in India too. There is now some attempt to rationalize but it is taking its time. To add insult to injury, there is the ever present state and Central (what you would call Federal)taxes and records to be maintained and offered for inspection to petty bureaucrats etc.

rummuser´s last blog post..BlogCrash – Community Forum

December 8th, 2008 | 12:03 PM

I’m in central New York, but if you’re not a part of either Commission Junction or Google’s Publisher network you might not have been affected. Are you in New York state?

December 6th, 2008 | 5:40 PM