Affiliate Marketers to Courts – Kill the Amazon Tax!

By Trisha Lyn Fawver

Oppose the Advertising TaxIf ever a cause was near & dear to me, this is definitely one of them. As an affiliate manager, affiliate marketing is my livelihood.  Over the last year, several states have introduced legislation defining affiliates as tax nexus for businesses.  This means that if a merchant has affiliates in a state with this kind of law, they are required to charge sales tax for all online orders made to customers in that state. 

This started in May 2008 with New York, and quickly spread to California, Minnesota, Rhode Island, North Carolina, Hawaii, and other states.  Affiliate marketing advocates were successful in stopping the laws from passing in most states, however Rhode Island and North Carolina have passed similar laws to New York. 

Internet Retailer Top 500 Guide

Today, Internet Retailer released their annual Top 500 Guide that chronicles the online retail industry in general and the top 500 online retailers in particular. As I am listening to their presentation of the report, I am typing these highlights.

Total E-Retail revenue hit $166 billion in the US in 2007, representing 6.3% of total revenue. The top 500 online retailers accounted for 61% of the total E-Retail revenue. Total retail growth was at 3.8% last year while E-Retail grew at a much healthier 21.8%.

The fastest growing categories in 2007 online were jewelry (36%), books/other media (32%), mass merchants/dept. stores (31%) and apparel (24%). The slowest growing categories were health and beauty (11%), flowers/gifts (11%), food/drugs (12%), and hardware/home improvement (13%).