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Amazon News: AI Tools, No More Commingling, Netflix Ads, & Holiday Prep
Published 24 days ago • 9 min read
This Week's Top Amazon Seller News
Hey Reader, This week’s e-commerce updates are packed with AI innovation, policy shifts, major marketplace moves, and new opportunities to stay ahead. Join us live today at 1 PM Eastern / 10 AM Pacific!
We’ll discuss the latest Amazon news and how it impacts your business. Tune in for valuable insights to help you stay ahead. Catch the live stream on LinkedIn, YouTube, and Facebook.
Amazon is rolling out agentic AI tools that go far beyond automation—handling inventory, pricing, advertising, and even account health with reasoning and proactive decision-making. This new Seller Assistant, powered by Amazon Bedrock, can save sellers up to 60 hours a week while boosting efficiency and competitiveness.
For Amazon sellers, the message is clear: embracing AI is no longer optional. Those who leverage these tools will scale faster and more profitably, while those who delay risk losing ground in an increasingly AI-driven marketplace.
Amazon announced at Accelerate 2025 that it will phase out “commingling,” the practice of pooling identical products from different sellers under one barcode. While this system sped up shipping, it also exposed sellers to risks of counterfeit, expired, or damaged goods being sent under their brand.
For sellers, the end of commingling means customers will only receive the exact inventory they supplied, reducing liability concerns and boosting brand trust. It also eliminates costly FNSKU re-stickering, saving sellers an estimated $600M annually and giving brands more flexibility across sales channels.
Netflix and Amazon Ads are partnering to bring Netflix ad inventory into Amazon’s DSP, starting Q4 2025 across major global markets including the U.S., U.K., Canada, Germany, and more. This move allows advertisers to buy Netflix ads programmatically with Amazon’s advanced targeting and measurement tools.
For Amazon sellers, the partnership expands opportunities to reach Netflix’s massive, engaged audience through Amazon’s ad platform, blending retail media insights with streaming inventory. This creates new potential for brand storytelling and performance marketing in one of the fastest-growing ad channels.
Amazon has expanded its Multi-Channel Fulfillment (MCF) service to support Walmart Marketplace orders, with integrations for Shopify and SHEIN rolling out by year-end. Sellers can now manage one inventory pool through FBA while fulfilling across multiple platforms, simplifying operations and reducing stockouts.
For Amazon sellers, this means a chance to capture more sales outside Amazon while still using its world-class logistics. Early adopters report a 19% sales lift and faster turnover, making MCF a powerful cross-channel growth tool.
Temu is slashing prices by up to 60% and ramping up ad spending to regain ground in the U.S. after being hit hard by Trump’s tariff changes. The platform briefly pulled back as sales dropped more than 30%, but is now pushing merchants to restock ahead of the holiday season while cutting import fees that previously drove customers away.
For Amazon sellers, this signals fiercer competition from ultra-low-cost platforms like Temu and Shein, which continue to pressure pricing in categories such as apparel, home goods, and accessories. Sellers should focus on differentiation through quality, branding, and Prime delivery speed, since competing purely on price will be more difficult in the months ahead.
Amazon confirmed that Prime Big Deal Days 2025 will run October 7–8, offering two full days of exclusive discounts across beauty, tech, home, and more. Lightning Deals will disappear quickly, making early wish lists and reminders key to snagging the best offers.
For Amazon sellers, this is a critical opportunity to clear inventory, launch promotions, and capture early holiday traffic before Black Friday and Cyber Monday. Competing retailers like Walmart, Target, and Best Buy are also planning rival sales, meaning sellers must be prepared with optimized listings and competitive pricing to stand out.
Amazon has rolled out a new feature called FBA Enrollment Opportunities that uses machine learning to recommend which products in your catalog would benefit from Fulfillment by Amazon. The tool is now integrated directly into Manage All Inventory, showing up to 50 daily recommendations with insights like sales history, Featured Offer win rate, and conversion data.
For Amazon sellers, this makes it easier to identify growth opportunities and decide where FBA could improve sales performance. While the tool doesn’t account for seller-specific costs like margins or self-fulfillment expenses, it provides a strong starting point for evaluating which products to move into FBA.
Amazon has introduced a new ad targeting feature called Amazon Haul, allowing sellers to advertise exclusively to shoppers browsing its Haul section — a space focused on low-cost, budget-friendly products. Only ASINs listed in the Haul category are eligible for these Sponsored Product campaigns.
For Amazon sellers, this opens a fresh opportunity to reach highly price-sensitive customers who are actively seeking bargain deals. If your products fit the Haul profile, this targeting option could drive incremental traffic and conversions in a competitive budget-driven segment.
Amazon has banned used and collectible-condition toys starting September 15, 2025, and will require all toys to be listed as “New” only. Sellers have until October 30 to sell through old inventory, creating major challenges during the peak holiday season.
On top of that, Amazon introduced stricter compliance rules requiring annual testing or document verification from approved TIC providers, adding costs and complexity for sellers. Many toy sellers are now shifting to eBay, Shopify, or other platforms to keep selling vintage, discontinued, and collectible items.
For Amazon sellers, this signals the need to re-evaluate toy inventory strategies, compliance costs, and diversification across multiple channels. eBay stands to gain, while sellers tied solely to Amazon face significant disruption.
Amazon has launched a new Image Manager tool that lets sellers see whether product images on a detail page came from their own account or from another seller. This adds transparency to a process that was previously unclear, especially when multiple sellers listed the same ASIN.
Images are now marked as Live or Not live, and sellers can hover to view the origin details, including account number and merchant token. For Amazon sellers, this means better control over product visuals and easier management of image issues across multiple accounts.
A federal judge ruled that Amazon broke consumer protection law by collecting billing details for Prime before fully disclosing the service’s terms. This gives the FTC an advantage as it argues that Amazon misled millions into signing up for Prime and made cancellations overly complex.
Two Amazon executives may also be held liable if violations are proven, and the company cannot argue that the law doesn’t apply to Prime signups. For Amazon sellers, the case underscores rising regulatory pressure on Amazon, which could impact platform practices and consumer trust going into Q4.
Amazon confirmed that holiday peak fulfillment fees will run from October 15, 2025, through January 14, 2026, covering FBA, Remote Fulfillment with FBA, Multi-Channel Fulfillment, and Buy with Prime. Rates remain the same as last year, giving sellers consistency for Q4 planning.
Sellers can preview these fees in the Revenue Calculator and Fee & Economics Preview Report to compare real-time costs across fulfillment options. For Amazon sellers, this means factoring seasonal surcharges into pricing, promotions, and inventory strategies to protect margins during the busiest shopping period.
A listing audit helps sellers uncover why products aren’t ranking or converting, often pointing to missed opportunities like weak titles, poor keyword use, or missing bullet points and descriptions. Optimizing these elements with relevant keywords, compelling copy, and strong visuals ensures listings perform better in Amazon search and drive sales.
Regular audits also help refine pricing strategies, identify indexing gaps, and highlight opportunities to address customer Q&As directly in the listing. For Amazon sellers, consistent audits mean improved visibility, stronger conversion rates, and more competitiveness in crowded categories.
Most Amazon sellers focus on keywords and ads, but the biggest driver of conversions is often overlooked—images. Shoppers make split-second decisions based on visuals, and weak or generic photos can tank sales no matter how good the copy is.
Improving your main image, adding lifestyle shots, using simple infographics, and showing scale can quickly increase click-throughs and conversions while reducing returns. For Amazon sellers, treating images as your top sales tool can boost conversions by 10–20% almost overnight.
Amazon sellers are urged to optimize A+ content early, since Amazon only approves updates at the start of each month—meaning late submissions could cost visibility during peak Q4 traffic. Submitting one to two months ahead ensures listings are live and indexed before Black Friday and Cyber Week.
Seasonal A+ content should highlight benefits tied directly to holiday use, with festive lifestyle images and concise copy that quickly communicates value. With AI assistants like Rufus shaping product discovery, complete and benefit-driven A+ content boosts the chance your listings get recommended and convert more shoppers.
Backend keywords are Amazon’s hidden ranking weapon, allowing sellers to index for extra search terms without cluttering titles or bullets. Used strategically, they help capture misspellings, synonyms, long-tail searches, and brand variations to expand discoverability.
The key is staying within Amazon’s 250-byte limit, avoiding duplicates and prohibited terms, and continuously testing indexing through tools like SellerApp’s Index Checker. For sellers, strong backend keyword strategies mean higher organic visibility, lower ad spend, and more opportunities to dominate competitive niches.
Instead of tweaking every detail of your listings, focus on the 20% of changes that deliver 80% of results. Start by identifying high-traffic listings with below-average conversion rates—boosting just one of these can add thousands in revenue without extra ad spend.
Prioritize optimizing your title and main image, since they have the biggest impact on clicks and conversions. Then repeat the cycle monthly, measuring results, refining what works, and building momentum toward higher rankings and stronger sales velocity.
Amazon’s 2025 FBA updates—stricter titles, higher storage fees, and reimbursements based on manufacturing cost—mean sellers must rethink fulfillment strategies. Maintaining a strong IPI score is now nonnegotiable, requiring lean inventory management, faster sell-through, and proactive issue resolution.
Monitoring sales velocity closely helps sellers spot and fix conversion drops before they tank performance. Meanwhile, combining FBA with 3PL partners and multichannel listings creates flexibility, reduces risk, and builds resilience against Amazon’s shifting policies.
Amazon has quietly introduced an auto-opt feature called “Increase bids for high-traffic days” that can raise your PPC bids by up to 50%. Steven Pope warns sellers to immediately uncheck this box, since it means higher ad spend without your consent.
This comes as Amazon now earns more from PPC than even AWS, showing how aggressively they’re monetizing ads. For sellers, this means watching campaign settings closely to avoid unnecessary spend while still competing effectively in Sponsored Products.
Todd’s Top Tip: Prepare for Mandatory FBA Liquidations and Donations
Sellers, here’s a practical strategy for September 2025: prepare for mandatory enrollment in FBA Liquidations and Donations programs.
Starting September 30, 2025, Amazon will default U.S. and Canadian sellers into these programs for unsellable inventory.
This means unsold or unsellable items will be automatically processed unless you opt out, potentially affecting your cash flow and inventory control.
Prioritize auditing your settings now to avoid surprises.
Your plan:
Log into Seller Central and navigate to “Inventory” > “Manage Inventory,” then select the “Inventory Dashboard” to review FBA settings.
Check the “Liquidations” and “Donations” sections under Inventory Planning; if enrolled by default, click “Opt Out” for each program if you prefer manual control.
Identify and remove restricted items like hazmat products from FBA by creating a removal order in the “Manage Inventory” page to prevent automatic processing.
Review your unsellable inventory report in the Inventory Dashboard and decide on removals or relabeling for items at risk.
Set up alerts for future inventory issues via the “Inventory Performance” tab to stay proactive.
This preparation helps maintain control over your inventory and minimizes unexpected fees.
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