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#155 - Marketplace Pulse Year in Review 2024, Amazon Hikes Multi-Channel Fulfillment Fees, and more

boxes on convoir tape in Amazon fulfilment center
Welcome to Issue #155 of the FBA Monthly Newsletter! As we enter a new month, we’re excited to share a wealth of knowledge and insights tailored to support your Amazon business. This edition focuses on the latest industry news, proven strategies for boosting your sales, and expert tips on optimizing your operations. We’ve also included inspiring success stories from your fellow sellers who’ve navigated challenges and found remarkable achievements. Let’s collaborate and leverage this information to unlock new possibilities and drive success this month!

Hot News

The seventh edition of the Year in Review report condenses the topics explored on Marketplace Pulse in 2024. The Year in Review looks at the disruptors from China — Shein and Temu — and their influence to force Amazon to create Amazon Haul, the unique shopping behavior on TikTok Shop, why shoppers buy the things they buy, how brands win in the industry pushing low-priced brandless goods, the slow post-pandemic e-commerce growth and how retailers turned to advertising to increase margins, and how AI advancements are offering a glimpse of perhaps the future of shopping.

marketplacepulse.com

Amazon has for years counted on millions of third-party sellers to provide the bulk of the inventory that consumers buy. But keeping track of their finances has long been a challenge for outside merchants, particularly smaller mom-and-pop shops. Amazon said Monday that it’s partnering with Intuit. to bring the software company’s online accounting tools to its vast network of sellers in mid-2025. Intuit QuickBooks will be available on Amazon Seller Central, the hub sellers use to manage their Amazon businesses, the companies said.

cnbc.com

Amazon will raise fees for sellers who use its Multi-Channel Fulfillment (MCF) service by an average of 3.5% beginning January 15, 2025. The Amazon Seller Central announcement came on Wednesday and included some news of lower fees for certain Buy with Prime and AWD services. The fee changes relevant to the greatest number of sellers include the following.

ecommercebytes.com


Good to Know

Amazon Haul, Amazon’s newly launched low-price section, had its biggest day on Black Friday, driven by an aggressive 50% storewide discount. However, stockouts slowed its momentum during the rest of the holiday weekend. From November 21st to December 2nd, Amazon offered a temporary 50% discount on everything sold on Amazon Haul. Amazon subsidized that discount, accepting short-term losses to jumpstart Amazon Haul. Starting on Black Friday, it put the 50% discount banner front and center on the Amazon app.

marketplacepulse.com

E-commerce giant Amazon decided almost 25 years ago that a quick path to growth was to think small — and to invite independent, third-party sellers, most of them small and medium-sized businesses, to sell on its platform. Those independent sellers now generate nearly two-thirds of the sales made on Amazon. And Amazon is looking to grow those sales with new tools for small business sellers. At Amazon’s annual Accelerate conference in September, Amazon Store CEO Doug Herrington unveiled a number of tools to aid small and medium-sized sellers, including tools they can use even when selling goods on other platforms.

uschamber.com

Amazon saw record sales and a record number of items sold during its Black Friday Week and Cyber Monday holiday shopping event. The company’s event ran from Nov. 21 through Monday (Dec. 2) and was bigger than any previous 12-day period ending on Cyber Monday, Amazon said in a Tuesday (Dec. 3) press release. The shopping event was also the largest ever for independent sellers in Amazon’s store, with these sellers accounting for more than 60% of sales during this 12-day period, according to the release.

pymnts.com

As a first-stop entertainment destination, there’s so much to explore on Prime Video including Amazon MGM Studios-produced series and movies; licensed fan favorites; and programming from Prime Video add-on subscriptions such as Apple TV+, Max, Crunchyroll, and MGM+. With so many streaming options at your fingertips, sometimes deciding what to watch next can feel like a challenge. To help you spend less time searching and more time watching, Prime Video is testing a new AI-powered functionality called AI Topics to help you find relevant shows and movies more quickly.

aboutamazon.com

Tipping culture is normalized in the US, but there are people who don't appreciate it. So, some businesses operate with an optional tipping system or a tip jar instead of forcing you to pay a fixed percentage of the billed amount as gratuity. That said, several popular e-commerce platforms don't have options to tip sellers at all, and Amazon is one of them. However, you might run into a few scummy sellers asking for tips in unorthodox ways. Here's how they do it, and what you can do about it.

androidpolice.com

In October, Amazon restricted its bundling policy, but acknowledged this week that sellers needed more clarity. The new policy that took effect on October 14, 2024, restricted sellers from listing bundles to those created and offered by the original manufacturer, who had to be the brand owner for all of the items in the bundle.

ecommercebytes.com

Amazon expanded Tuesday into online car sales with the launch of Amazon Autos, an e-commerce business that lets customers find, order, and buy new cars, trucks, and SUVs from dealerships. Amazon is kicking off the new endeavor with Hyundai in 48 U.S. cities, including Atlanta, Boston, Chicago, Los Angeles, and New York. The launch comes a little more than a year since the e-commerce giant announced plans to start selling vehicles on its website in the second half of 2024.

techcrunch.com

Amazon is entering a new phase of review fraud crackdowns with eyes on a new target: social media influencers. The tech giant started sending influencers a questionnaire to provide information about product testimonials they’ve posted on TikTok, YouTube, and Instagram, per Bloomberg. The questionnaire probes influencers on their interactions with sellers and products. One specific question asks, “Can you describe the work you’ve done for this seller as an influencer (e.g. posted videos on YouTube, TikTok, Instagram etc)?”

emarketer.com

With a market cap of over two trillion U.S. dollars, Amazon ranks first among the leading large cap e-commerce companies worldwide. According to December 2024 data, the e-commerce giant ranks ahead of Alibaba and Pinduoduo. During the measured period, Alibaba's market cap amounted to over 200 billion U.S. dollars.

statista.com

The Amazon FBA (Fulfilment by Amazon) marketplace has become an essential platform for sellers across the globe. In the UK, thousands of businesses leverage Amazon’s extensive reach to sell their products. However, this marketplace is not without its challenges, especially when it comes to disputes between sellers over intellectual property (IP) rights. Such disputes are not only common but can also be complex, involving both UK law and Amazon’s internal policies.

lawdit.co.uk

Amazon's review system has seen a few overhauls in recent years, including the AI summaries that have become so prevalent elsewhere. However, it seems like the shopping giant is focusing on reviews left by paid influencers. A product with no reviews is less likely to be picked over one that has a lot of different reviews, and companies are not above paying influencers to spread the word about their latest creation.

androidpolice.com

Between January and September 2021, Brazil and Mexico were by far the Latin American countries with the highest number of visits to Amazon portals. With nearly 700 million visits, Amazon was the second most popular e-commerce site in the North American country, surpassed only by Argentine online marketplace Mercado Libre.

statista.com

Amazon sellers are shipping orders, but Amazon is failing to post them to sellers’ payments dashboard. The problem started on Friday, and sellers continued to report the problem as of Monday evening. “No updates on payment dashboard,” a seller wrote on the Amazon discussion boards on Monday. “We shipped 13 orders yesterday December 8th, Not one has been posted to our payment dashboard. Anyone else? Amazon, please advise”

ecommercebytes.com

Albert Scott, a leading eCommerce management company, offers the ability to double Amazon sales within twelve months or less for both Vendor Central and Seller Central sellers. Specializing in optimizing performance on Amazon.com, Albert Scott leverages data-driven strategies, innovative marketing techniques, world-class listing talent and expert insights to drive unparalleled revenue growth for Amazon Seller Central and Vendor Central sellers.

prnewswire.com

Have you recently received an Amazon package that you didn’t order? It may be part of a scam called “brushing.” This scheme involves a package from Amazon showing up at your doorstep with your name on it, but it’s not a gift or anything you ordered. Legally, you get to keep any package that’s addressed to you, but this scam isn’t entirely a victimless crime.

clark.com

Last month Amazon launched Haul, a low-price marketplace competitor to China-based Temu and Shein. Both have made headway in the U.S., shipping extremely low-cost items directly from China. Reuters reported in December 2023 that Temu had captured 17% of the U.S. market among discount retailers, which include Dollar Tree, Dollar General, and Five Below. Temu and Shein are the first and second most downloaded shopping apps on the Apple App Store, per Yahoo Finance in April 2024.

practicalecommerce.com


Tips and Tricks

If you're eager to learn how to become an Amazon product tester, you've come to the right place. This guide will walk you through the entire process, from finding opportunities to optimizing your chances of being selected as a tester. The benefits and disadvantages of being an Amazon product tester. Becoming an Amazon product tester offers several benefits, from getting free items to using products before they hit the market. However, there are several cons of being an Amazon tester, which you need to weigh in when deciding whether to become one.

coincodex.com

Twenty-four years ago, Amazon welcomed independent sellers to sell in our store, providing them access to a global customer base, reaching hundreds of millions of customers worldwide, and unlocking a wide selection of products for customers delivered with unprecedented shipping speeds. Our mission since Day One has been to enable the long-term success of our selling partners—from small to large businesses—by providing the most trusted shopping and selling experience and by providing powerful solutions for accelerating our selling partners’ growth.

aboutamazon.com

Even before the pandemic, people looked for ways to boost their income. Having a side business lets you achieve this, and some side businesses are even capable of producing passive income—such as affiliate marketing. When it comes to affiliate marketing, nothing beats Amazon Associates. Entering the world of affiliate marketing can be a lucrative venture, and the Amazon Affiliate Program remains one of the most popular choices for many.

influencermarketinghub.com

With the holiday shopping season in full swing, check out these easy ways to reduce, reuse and recycle your Amazon packaging. More than three-quarters of Americans shopped online for the holidays last year, receiving three packages per week, on average, according to a recent Amazon/Harris Poll survey. Here are some simple ways you can reduce and repurpose your Amazon packaging—and an easy how-to for recycling.

aboutamazon.com


Podcasts

Join us as we welcome back George Meressa of ClearAds Agency, to the Serious Sellers Podcast, where we talk about Amazon advertising and e-commerce strategies. We discuss how tightened margins and increased competition from Chinese products are impacting sellers. The conversation covers the role of AI in leveling the playing field for non-native English speakers and the significance of external traffic sources like TikTok and Google Ads.

helium10.com