Compare Amazon and Flipkart affiliate programs - Which is better for Indian publishers?


Are you trying to figure out which is the best affiliate program in India? In this post, I am comparing Amazon and Flipkart affiliate programs and am trying to help you choose the best one.

Flipkart has been the most popular online shop in India for several years. In June 2013, Amazon launched its India marketplace, "Amazon.in", offering limited number of items like books, movies and television shows for sale. Slowly, they expanded to other sales channels and currently they offer thousands of items including kitchen items, toys, jewelry, gadgets, electronics and so on.

Flipkart has been offering their affiliate programs for last few years. Bloggers who wanted to make money through affiliate programs only had limited options in India. Flipkart affiliate program was considered to be one of the lowest paid affiliate programs in the country, however, since publishers had not many other options, most of them used them to make some money recommending Flipkart products through their blogs. It was easy to recommend and sell their products since they offer the best deals for consumers in India.

Personally, I have reviewed and compared many affiliate programs in India, even though I myself do not make much money out of it. One of the biggest challenges in making money from affiliate programs is, you may have to recommend many products that really shouldn't be recommended. I am not very good at doing that.



Affiliate programs: Flipkart vs Amazon


Let us come back to the topic and see which one is better for Indian bloggers and webmasters.

Flipkart has been offering very low commission to its affiliate partners earlier. For example, by referring customers to buy a computer, bloggers would get just 0.5% commission from them and up to 1% for many other electronic products and gadgets.

Many bloggers and webmasters have been eagerly waiting for Amazon to enter the Indian market since their commission structure is very good in USA and UK. When Amazon.in marketplace was launched in India, it was a tough competition for Flipkart to keep its market lead. Consumers started receiving good deals while the top 2 players competing each other started offering great discounts for many products.

In June 2013, Amazon affiliate program was launched for Indian publishers with a much better commission structure compared to the existing Flipkart commission structure. Since then, many bloggers switched to Amazon instead of promoting Flipkart products.

Within a few weeks after Amazon launched its affiliate program in India, Flipkart significantly increased their commission structure to compete with its new rival, making it a tough decision for bloggers to choose.

Here is a comparison sheet of the latest commissions structure offered by both the brands:

Comparison of Amazon and Flipkart affiliate commission structures
Compare Flipkart affiliate with Amazon

Even though Flipkart increased the commissions up to 16 times for certain categories like Electronics, they are still lower than Amazon commission in respective categories. Even with the new commission structure, Amazon still offers about 20% higher affiliate commission. The only category where Flipkart has an advantage is the eBooks category where they offer 15% commission. On the other hand, Amazon gives no commission for any eBook purchases for Kindle.

Compare payment options


Before I conclude, let us take a quick look at the payment options in both the programs.

Amazon associate program offers monthly payments. Typically, you will get the payment for any items sold through your affiliate links within 60 days from the month it was sold. Minimum payment threshold for cheque payments is Rs 2,500, even though you can set higher thresholds.

Flipkart offers 2 payment modes:

1. Gift vouchers
2. Electronic Funds Transfer

In case of gift vouchers, the payment threshold is Rs 250 and in case of EFT, it is Rs 2,500. There is no option to set a custom threshold. Payments are made approximately 45 days after the month of sale, compared to the 60 day payment delay in Amazon.in

Both the companies will deduct 10% TDS unless you submit a TDS waiver certificate.

Which affiliate program is better - Amazon or Flipkart?


Here is my recommendation. Don't to with a single program. Even if one offers better commission than the other, it is of no use if the items you promote are sold at a better deal on some other site. What you have to consider is the conversions. It is of no use if your referral link is not converting to a sale. If the products are sold at a lower price in Flipkart, then it is better to promote the Flipkart link, even if they offer lower commission to you.

Here are few points to consider before you choose the affiliate program to promote in your website:

1. Which e-Commerce website is selling the item at a lower price, which has the highest chances of conversion. Go for the one with the lowest price and best deals to consumers.

2. If all brands offer the products at the same price, then choose the program with the best commission, which is Amazon associate program in most cases.

Considering the higher commission rates for associates and better deals offered for the consumers, I recommend Amazon associate program. However, the case may be different for different people. If your readers have higher chances of buying from Flipkart or if you are promoting the products that are usually sold at a lower price in Flipkart, you may want to consider that program instead of Amazon.

Read: Amazon is offering a special promotion for holidays and now affiliates can get 15% commission for all non-electronic categories.


Article by Tony John
Tony John is a professional blogger from India, who started his first Weblog in 1998 at Tripod.com. Tony switched to blogging as a passion blended business in the year 2000 and currently operates several popular web properties including IndiaStudyChannel.com, Techulator.com, dotnetspider.com and many more.

Follow Tony John or read 646 articles authored by Tony John

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Comments

Author: Bhakti Savla16 Dec 2013 Member Level: Gold   Points : 4

Hi Tony,
It is good to see the detailed comparison of Amazon affiliate program and Flipkart affiliate program. With Amazon's entry in India, we can clearly see a different strategy being adopted by Flipkart. Like you suggested, it is a big advantage for bloggers to try Amazon affiliate program because of various reasons as listed under:
-Amazon affiliate program (Amazon affiliates) is quite successful globally (for their UK and US versions) and so it's Indian affiliate program can be easily trusted.

-Amazon offers better commission rates as compared to Flipkart, who have only recently increased the commission rates and still fall behind Amazon.

Author: Darshan19 Jan 2014 Member Level: Gold   Points : 2

Hi Tony Sir,

I think you have provided a good information about the Amazon and Flipkart affiliate programs. It is really knowledgeable article. But I have some queries. They are -

- if I can take benefits of these affiliate programs for my free bloggers account? Or I need to have a paid account?

Author: Tony John20 Jan 2014 Member Level: Diamond   Points : 0

Darshan,

Both Flipkart and Amazon affiliate programs can be used with the free blogger account. You just need to have a disclaimer in the site that says you are using the said affiliate programs.

Guest Author: mohini01 Feb 2014

Hi, can you tell me answer to this question? Amazon pays commission if somebody goes through our link & make any purchases (even if it was not the recommended product). Does Flipkart pays like that? It's specifically mentioned in Amazon.in.

Guest Author: admin18 Apr 2014

Please visit my affiliate website
http://www.onlinemobilestore.co.in

New Users: You will get some new ideas.
Experts: Your suggestions to make it a better affiliate website.

Author: SK18 Apr 2014 Member Level: Gold   Points : 2

@ Admin, Your website is really good in design but the thing is there there is no content on it and just has images and categories. How do you plan to optimize the site as I far as my knowledge goes, it is very hard to rank in search engines without good content.

Can you please reply to my query?

Guest Author: Gowtham03 May 2014

Flipkart's affiliate program can never get close to Amazon. It is not only the commission %, but Flipkart's cookie is only short-lived -- and I hope their reign over the India e-commerce industry will also be.

Author: Latha Lukose30 May 2014 Member Level: Gold   Points : 3

Darshan you can participate in these programs irrespective of what type of account you have with blogger. I use free blogs mostly.

Amazon pays irrespective of whether the person buys directly from the link or clicks through and purchases another product. I find most of my sales are from indirect links. The strange thing is people click through for a car seat and purchase socks.How related is that? But it is all well if it pays.

Guest Author: Nitish08 Jun 2014

The biggest disadvantage of Amazon.in affiliate program is 10% TDS

If you earn just 5000 rupees / year, then they deduct whopping 10% TDS. That's just 416.66 rupees / month

On the other hand, if you make 3 lakhs / year from Amazon.com (US) or Amazon.co.uk (UK) or Amazon.ca (Canada) affiliate program, then you don't have to pay any tax, provided you fully claim Section 80C deduction

That's why I haven't joined Amazon.in affiliate program

Flipkart affiliate program works best for me. They send you gift certificate, which can used to shop on Flipkart.com, without worrying about tax issues

Guest Author: etailguru03 Nov 2014

Thanks! It is a short and brilliant article regarding the affiliate programs. I have recently started blog on online retailers(etailers) www.etailguru.in

Guest Author: Gaurav Khurana17 Dec 2014

Really good to see a short and relevant article .. i used flipkart on my website and have started using amazon too..

Since user trust flipkart more these days,, i get sale from flipkart more as of now...

Products perform good if you review and then add them

www.udzial.com
www.gauravkhurana.in

Guest Author: Punit01 Feb 2015

Good review sir! It helped me a lot.

I have a tech blog - Teasetech.blogspot.in

Working on amazon affiliate now :-)

Author: Timmappa Kamat23 Feb 2015 Member Level: Gold   Points : 3

A short and sweet article of comparison between two of the most popular affiliate programmes in India. I guess most of the bloggers opt for FlipKart because of the popularity of the retailer in India. In fact, it has become synonymous with online marketplace. Amazon, on the other hand provides good commission. Anyhow, a great comparison.

Author: Upendra Dama18 Jul 2015 Member Level: Bronze   Points : 0

Very good review....As you said Amazon gives more commission compared to Flipkart...



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