Amazon News: Major E-Commerce Shifts, Policy Updates & Seller Strategies
Hey Fellow Amazon Sellers,
Welcome to another edition of our weekly newsletter! This week, we cover major shifts in the e-commerce landscape, policy updates, and competitive insights you can’t miss.
News
Temu Overtakes Amazon in Global Monthly Active Users
Temu has surpassed Amazon in global monthly active users (MAUs), signaling a major shift in e-commerce competition. While Amazon still holds key advantages in product quality and fast fulfillment, Temu is rapidly expanding its local inventory model, which could lead to higher average selling prices (ASPs) and quicker deliveries.
For Amazon sellers, this means increased competition as Temu continues to attract budget-conscious shoppers and potentially pulls spending away from traditional online and offline retailers. As Temu reduces buyer incentives and raises prices, sellers should monitor how shifting consumer behavior impacts demand on Amazon’s marketplace.
Section 321 Suspended: What Amazon Sellers Need to Know
As of February 4, 2025, the Section 321 de minimis entry process, which allowed shipments under $800 to enter the U.S. duty-free, has been suspended. This means all cross-border e-commerce shipments will now be subject to tariffs, increasing costs for sellers who rely on duty-free imports.
For Amazon sellers sourcing products internationally, this change could lead to higher prices, longer shipping times, and the need to rethink fulfillment strategies. To stay competitive, sellers may shift to U.S.-based warehousing or explore alternative customs entry methods to minimize costs and avoid potential supply chain disruptions.
The Days of Price Gouging Are Over: Customers Now Have Proof with Rufus
According to Andrew Bell, Amazon’s Rufus AI assistant now provides shoppers with 90 days of price history, giving them visibility into past pricing and real discounts. This means customers can easily detect price gouging, making transparency more critical than ever for sellers.
For Amazon sellers, adapting to this change means focusing on competitive, trust-driven pricing strategies to maintain sales and customer loyalty. Those who embrace honest pricing will be in the best position to thrive in this new era of e-commerce transparency.
Amazon’s International Markets: Should Sellers Expand or Focus on the U.S.?
According to Scott Needham, Amazon doesn’t disclose revenue for individual international markets, but collectively, they represent a significant portion of sales. While expanding globally—especially in Europe and Japan—can offer new opportunities, regulatory challenges and language barriers make it complex.
For Amazon sellers, the key question is whether to diversify into smaller markets or double down on the massive U.S. market for maximum growth. Sellers should weigh the risks and rewards carefully, as international expansion may not always be the best strategy.
Walmart Takes the Lead Over Amazon in Same-Day Drug Delivery
Walmart has expanded its Same-Day Pharmacy Delivery service to 49 states, giving it a major advantage over Amazon Pharmacy, which is still building out its fulfillment network. This move follows Walmart’s decision to shut down its health clinics and telehealth services in 2024 due to unprofitability.
For Amazon sellers, this highlights the growing competition in the e-commerce space, as Walmart continues leveraging its logistics and AI-driven delivery platforms to outpace Amazon in key markets. As both retailers invest in faster fulfillment and expanded services, sellers should stay aware of shifting consumer behavior and marketplace competition.
A New Flood of Money Is Crashing the Influencer Marketing Industry
Influencer marketing is shifting toward performance-driven advertising, with major investments pouring into firms that help brands link social content to direct sales. Companies like Levanta, which helps Amazon sellers collaborate with creators, are securing funding to scale their services, signaling a growing focus on measurable sales impact over brand awareness.
For Amazon sellers, this means that partnering with influencers is becoming more data-driven, making it easier to track ROI and optimize marketing budgets. As competition increases, sellers should explore performance-based influencer campaigns to drive conversions and stay ahead in the evolving e-commerce landscape.
Create Bulk Listings on Amazon Using Your Own Spreadsheet Template
Amazon has introduced a new feature that allows sellers to create bulk listings using their own custom spreadsheet templates. Previously, sellers could only use Amazon’s standard templates, but now they can upload inventory files in Excel or TSV format, which will be automatically transformed into draft listings.
This update streamlines the listing process, making it easier for sellers to manage product uploads, especially when working across multiple Amazon marketplaces. By reducing manual data entry and allowing greater flexibility, this feature can save time and improve listing accuracy for Amazon sellers.
USPS Resumes Accepting Packages from China
The U.S. Postal Service briefly halted shipments from China and Hong Kong in response to new tariffs but has now resumed service. The pause initially threatened Chinese e-commerce platforms like Temu and Shein, as well as Amazon’s Haul platform, which relies on direct shipments from China.
While shipments have resumed, new tariffs and the closure of the de minimis exemption could increase costs for China-based sellers and impact pricing strategies on Amazon. Sellers should watch how these changes affect international supply chains and whether they lead to higher product costs or longer shipping times for low-cost imports.
领英推荐
Amazon Announces February Product Event—Could a Smarter Alexa Be Coming?
Amazon has announced a February 26th event in New York, hosted by Panos Panay and the Devices & Services team. Clues from the event invitations strongly suggest that Amazon will finally unveil its long-delayed AI-powered Alexa, which was originally promised in 2023 but has yet to launch.
For Amazon sellers, an upgraded Alexa could impact e-commerce trends, especially if it enhances voice shopping and customer interactions. If Amazon integrates generative AI into Alexa, it may create new opportunities for sellers to optimize product discovery and advertising through voice-assisted searches.
Seller Tips & Tricks
Amazon Webinars: Master Account Health & Optimize Bulk Selling
Amazon is offering free live webinars to help sellers improve account health management and maximize bulk sales efficiency. A three-part series will guide sellers on maintaining a strong Account Health Rating, resolving violations, and effectively appealing decisions.
Another session focuses on Amazon Bulk Services, showing sellers how to streamline large-quantity sales, reduce fees, and optimize inventory management. With live Q&As and expert insights, these webinars provide valuable tools for sellers looking to protect their accounts and scale their businesses efficiently.
Consumer Trends to Watch for 2025 Marketing Strategies
Amazon highlights four key consumer trends that sellers should consider when planning their 2025 marketing strategies. AI-driven shopping is growing, with 56% of online shoppers comfortable using AI tools for price comparisons and personalized recommendations.
Inflation-driven spending habits continue to shape buyer behavior, making it essential for brands to show empathy and offer value-based incentives. Additionally, trust in influencer marketing is becoming more important than discounts, with nearly half of Gen Z relying on influencer recommendations for purchases.
Video of the Week
Amazon Resellers vs. Direct Selling: Which Strategy is Best for Your Brand?
Strong Opinions
FTC’s Amazon Antitrust Case Involved Testimony from Chinese Competitor Temu
The Biden administration’s FTC filed an antitrust lawsuit against Amazon, alleging unfair business practices that raise retail prices, despite Amazon’s reputation for lower costs. The FTC reportedly sought testimony from Temu, a Chinese-owned competitor, as part of its case, raising concerns about bias and foreign influence in U.S. regulatory actions.
For Amazon sellers, this case could impact marketplace policies, particularly regarding pricing restrictions and seller privileges. With new FTC leadership under Chair Andrew Ferguson, there may be shifts in how antitrust laws are enforced against major e-commerce platforms.
Shein, Temu, and Amazon Haul Face Price Hikes as US Ends Trade Loophole
The removal of the de minimis exemption, which allowed low-value packages from China to enter the U.S. duty-free, is expected to raise prices for Shein, Temu, and Amazon Haul shoppers. This change comes as part of President Trump’s new tariffs, including a 10% duty on Chinese imports.
While Amazon Haul may face challenges, analysts believe this shift could benefit Amazon’s main marketplace, as Temu and Shein lose their pricing advantage. Small and mid-sized online retailers that rely on Chinese suppliers will also feel the impact, as they have fewer resources to absorb the increased costs.
Amazon to Remove Partial Shipment Splits for Standard-Size Products
Vanessa Hung reports that Amazon will discontinue partial shipment splits for standard-size products on February 20, 2025, a change that was not officially announced in the 2025 fee updates. This option previously allowed sellers to send inventory to fewer fulfillment centers at a reduced cost, helping them save on shipping fees.
While Amazon has lowered inbound placement fees for bulky products, standard-size sellers will need to adjust their fulfillment strategies by either paying for minimal shipment splits or using Amazon-optimized splits with strict requirements. Sellers should plan ahead to minimize disruptions and potential cost increases.
Featured Software and Services
Seller Snap: AI Repricer
Upgrading to Seller Snap’s advanced AI repricing is a game-changer. Once my sales justified the investment, this AI-powered tool became my secret weapon, outsmarting competitors and securing more Buy Box wins. When your product sales start growing, this switch isn’t just an upgrade; it’s your pathway to unstoppable success. Start your 15-day free trial today and see the difference for yourself!
Top Upcoming Amazon Events
Stay ahead of these industry shifts, and make informed decisions for your Amazon business.
God Bless,
Todd Welch
Amazon Seller School
Certified Amazon Virtual Assistant Strategist | Boost Sales, Maximize ROI, and Scale Your Business to $60K+ Monthly Revenue!
2 周Wow, looks like Temu is giving Amazon a run for their money! Maybe Jeff Bezos needs to start planting more trees instead of worrying about e-commerce domination. And Walmart, watch out, Amazon's coming for that e-commerce crown again. Can't wait to see what they announce at their February event! #ecommercewars #letsgetdigital
Big shifts in e-commerce! Temu’s rise, Walmart’s growth, and Amazon’s next move staying ahead means staying informed.
Amazon Profit-Driven SEO Listing & Amazon PPC | Helping 6-7 figure Amazon Sellers stand out from the competition
3 周Big shifts happening! Excited to see how this all plays out. ??
I help Amazon brand generate a 30% revenue boost and less than 10% ACOS in 60 days through targeted Ad optimizations | 0 to 7-figure PPC Specialist | Listing Optimization Expert
3 周These developments highlight the growing competition in e-commerce, with Temu's rapid rise and Amazon's strategic moves signaling an exciting year ahead for the industry.
Financial Advisor | West Point Graduate | Tax Reduction Investment Strategies | Assisting Transitioning Military Officers
3 周Great information about Amazon! Thanks for sharing!