Amazon News: Key Marketplace Updates, Tariffs, and Growth Strategies for Sellers
Hey Fellow Amazon Sellers,
This week’s updates bring major changes that could impact your business, from Amazon’s growing reliance on third-party sellers to new search features and selling opportunities. Let’s break it all down so you can stay ahead!
News
Amazon Steers Third-Party Seller Share to All-Time High
Amazon’s third-party sellers accounted for 62% of units sold in Q4 2024, the highest share ever, as Amazon shifts its focus from direct retail to being an infrastructure provider. Seller fees now make up 24.48% of Amazon’s total revenue, and combined with its growing ad business, these revenue streams are becoming Amazon’s core profit drivers.
This shift is not just organic seller growth but part of Amazon’s strategy, as it phases out vendor agreements and moves businesses toward the marketplace model. While fees continue to rise, sellers remain on the platform due to its massive reach, highlighting Amazon’s ability to balance higher costs with seller dependence on its ecosystem.
Search Results in Amazon’s App Will Now Include Products It Doesn’t Sell
Amazon is testing a new feature that displays products it doesn’t sell, directing shoppers to third-party brand websites. Some US users will now see a “Shop brand sites directly” section in search results, allowing them to purchase items outside of Amazon’s platform.
Brands using Buy with Prime can still offer Prime members the same delivery and return perks as Amazon purchases, maintaining a seamless shopping experience. This change could impact Amazon sellers by increasing competition while also offering new ways for brands to drive external traffic and sales.
Viral Post Exposes Potential Amazon Anti-Money Laundering Flaws
A viral post from an alleged former employee of a major online marketplace details how they exploited weaknesses in the anti-money laundering review process. Frustrated after being reprimanded for approving a fake document, the employee began marking every document as fake, causing massive disruptions for sellers.
By avoiding responsibility, they claim to have frozen millions of dollars in seller revenue without consequences, highlighting potential inefficiencies in Amazon’s document review system. For Amazon sellers, this post raises concerns about arbitrary account suspensions and the challenges of navigating appeals.
Imports from Canada: Navigating Tariffs & Trade Shifts for Amazon Sellers
A 25% tariff on Canadian imports was set to take effect in February 2025 but has been delayed until March, giving Amazon sellers a short window to reassess sourcing and pricing strategies. Certain product categories, such as consumer goods, electronics, and auto parts, will be heavily impacted, while others may qualify for exemptions under USMCA.
Sellers should use this time to stock up on inventory, negotiate better supplier terms, and explore alternative sourcing options to protect their margins. Staying informed on policy updates and leveraging competitive intelligence tools will be key to adapting successfully.
ShipStation Identifies the Top 5 Drivers of Ecommerce in 2025
As ecommerce growth slows, businesses must adapt to new consumer expectations and emerging technologies to stay competitive. A recent report highlights five key growth drivers: AI-driven supply chain improvements, marketplace expansion, social commerce, personalized shopping experiences, and international expansion.
For Amazon sellers, leveraging social commerce on platforms like TikTok and Instagram, expanding to marketplaces like Walmart and Etsy, and optimizing fulfillment operations will be crucial. As competition and operational costs rise, staying ahead with AI and marketplace diversification will be essential for long-term success.
US-China Trade War Reignites as Both Sides Impose New Tariffs
The U.S. and China have reignited their trade war, with President Trump imposing a 10% tariff on all Chinese imports, prompting immediate retaliatory tariffs from China. These new duties affect key goods like laptops, toys, crude oil, and agricultural machinery, while China also restricted rare metal exports and launched an investigation into Google.
For Amazon sellers, this escalation could mean higher prices on imported inventory, particularly for electronics and consumer goods, potentially impacting margins and pricing strategies. However, if trade negotiations lead to tariff reductions, sellers may benefit from lower costs in the long run.
Amazon Robots: The $10 Billion Cost-Cutters
Amazon’s investment in warehouse automation is expected to generate over $10 billion in cost savings by 2030, giving it a major competitive advantage over traditional retailers like Target. The company has developed next-generation fulfillment centers powered by industrial robots that improve storage, inventory management, and order fulfillment efficiency.
For Amazon sellers, this shift could lead to lower fulfillment costs and faster processing times, making FBA more attractive. As Amazon continues expanding its logistics network, sellers should watch for potential cost reductions and new fulfillment opportunities.
Amazon Sunsets Its TikTok-Like Feature Inspire in Favor of AI-Powered Chatbot Rufus
Amazon has officially discontinued its TikTok-style shopping feature, Inspire, shifting its focus toward AI-driven tools like the new chatbot, Rufus. This move suggests Amazon is backing away from creating its own social shopping experience and instead leaning into AI for product recommendations and discovery.
For Amazon sellers, this means a stronger emphasis on AI-powered search and advertising rather than influencer-driven social commerce within the Amazon ecosystem. While Inspire is gone, Amazon’s partnerships with TikTok and other platforms ensure sellers can still leverage external social media for traffic and conversions.
Sellers Can Now Submit Deals for Amazon’s Spring Sale
Amazon’s 2025 Big Spring Sale will take place from March 25 to March 31, offering sellers a chance to promote their products with seasonal deals. Sellers have until March 17 to submit deals and until March 31 to offer Prime-exclusive discounts.
The event, which was first introduced in the U.S. last year, will feature categories like Outdoor & Garden, Home, Beauty & Fashion, Pets, and Travel, with a dedicated landing page and paid promotions. This is a great opportunity for Amazon sellers to boost sales ahead of Prime Day by increasing product visibility and attracting more buyers.
Seller Tips & Tricks
Amazon Posts: A Free Tool to Boost Your Brand’s Visibility
Amazon Posts is a free feature that allows brands to create engaging, scrollable content similar to social media feeds, helping increase product visibility and drive sales. Available to Brand Registered sellers, Posts appear on product detail pages, category feeds, and even competitor listings, making them a valuable tool for organic exposure.
By leveraging high-quality visuals, compelling captions, and user-generated content, sellers can build brand credibility and drive more traffic to their listings. Integrating Amazon Posts with a broader marketing strategy, such as social media and Sponsored Brands ads, can further amplify reach and conversions.
Efficient Product Launch Strategies with ChatGPT
Launching a new product on Amazon can be overwhelming, but using AI-powered tools like ChatGPT can streamline the process and improve results. This guide outlines key strategies, including market research, optimized listings, pre-launch marketing, PPC campaigns, and review generation—all enhanced with AI-generated prompts.
By leveraging automation and AI, sellers can increase visibility, attract customers, and scale efficiently while minimizing manual effort. Integrating AI into your product launch strategy can give you a competitive edge in Amazon’s marketplace.
When Is Amazon Peak Season? Key 2025 Dates and Strategies for Success
Amazon’s peak season spans multiple high-sales events, including Prime Day, Black Friday, Cyber Monday, and the holiday shopping rush. Sellers who prepare in advance by optimizing listings, managing stock levels, and running strategic promotions can maximize visibility and conversions.
Key strategies include leveraging Amazon PPC, optimizing for seasonal keywords, and ensuring sufficient inventory to avoid stockouts or overstock fees. With proper planning, sellers can take advantage of high-traffic periods to boost rankings, increase sales, and retain long-term growth.
How to Find Trending Products on Amazon in 2025
Finding trending products early gives Amazon sellers a competitive edge, helping them capitalize on rising demand before the market becomes oversaturated. Tools like Jungle Scout’s Opportunity Finder and Product Tracker enable sellers to identify high-demand, low-competition products, track trends, and validate sales potential.
Social commerce platforms like TikTok have accelerated product trends, making it essential for sellers to monitor viral items while ensuring they have long-term profitability. By leveraging data-driven research and staying ahead of consumer behavior, sellers can successfully launch and scale trending products on Amazon.
Let’s Get Straight to the Heart of Indexing and Ranking on Amazon
Steven Pope explains that indexing ensures your product appears in Amazon’s first 300 search results, while ranking determines how high it moves up. If your listing isn’t indexed for a keyword, it won’t rank—making SEO Phase 1 crucial for visibility.
To improve indexing and ranking, sellers should focus on a master keyword list, optimize backend search terms, and include crawlable A+ content with at least 500 words. Implementing these strategies helps Amazon recognize your product and increases the chances of higher search placement.
Webinars to Help Amazon Sellers Master FBA, Taxes, and Global Expansion
Amazon is hosting free live webinars to help sellers optimize their business, covering topics like tax preparation, FBA management, global expansion, and shipping solutions. Sellers can join Intuit QuickBooks for expert tax tips on February 20 or attend a three-part FBA series from February 25-27 to master inventory, shipping, and fulfillment.
For those looking to expand internationally, sessions on February 24-25 will explain how to use the Sell Globally tool, while a webinar on February 26-27 will teach sellers how to save on shipping costs with Amazon Buy Shipping. Each session includes a live Q&A, making these webinars a valuable resource for sellers at any level.
Amazon’s Born to Run Program: A Growth Strategy for Vendors
Amazon’s Born to Run program allows select vendors to request larger purchase orders from Amazon, ensuring they have enough inventory to meet demand. If the additional units sell within 10 weeks, Amazon continues ordering, helping vendors scale quickly without stockouts.
However, unsold inventory comes with a cost—vendors must either refund Amazon with a 10% fee or pay a 25% retention fee. According to Jungle Scout’s State of the Amazon Seller 2025 report, over 40% of enterprise sellers plan to use programs like Born to Run and Vine to drive growth this year.
Video of the Week
Unlock the Power of AI for Your Amazon PPC Campaigns with Ritu Java
Strong Opinions
Chinese Sellers, Tariffs & The Amazon Battlefield—What’s Next?
Vanessa Hung highlights how nearly 50% of Amazon’s third-party sellers are based in China, leveraging cost advantages, supply chain efficiency, and government subsidies. However, new U.S. tariffs and the closure of the de minimis exemption are increasing costs for Chinese sellers, potentially leading to supply chain disruptions and higher prices on platforms like Temu, Shein, and Amazon.
With USPS temporarily suspending inbound packages from China and Hong Kong, U.S. sellers may gain a competitive edge if they refine pricing, fulfillment, and branding strategies. As trade policies shift, sellers must optimize operations and explore new sourcing options to stay ahead.
Let’s Talk About Tariffs – The Real Problem Isn’t the USA
Ron Kubek argues that while Canadian leaders focus on U.S. tariffs, the real issue lies in Canada’s own interprovincial trade barriers that make it more expensive to sell products within the country than to export them. He highlights extreme markups on wine in different provinces, including 89% in British Columbia and 132% in Quebec, making it more cost-effective to sell to the U.S. despite a 25% tariff.
For Canadian sellers, these restrictions limit market expansion and profitability, forcing businesses to prioritize international sales over local opportunities. Kubek calls for eliminating these internal trade barriers to truly support Canadian businesses.
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Top Upcoming Amazon Events
Stay informed and ready to adapt—these changes could bring both new challenges and opportunities for your business.
God Bless,
Todd Welch
Amazon Seller School
Founder @ Envision Ecom | We Help Amazon & Walmart Sellers Scale Beyond 1 Platform to Achieve $10K+ Monthly Growth with Tailored E-commerce Strategies
1 周Thanks for sharing! Alot of new updates here.