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This week’s newsletter is packed with game-changing updates! From Amazon’s bid for TikTok to Prime Day becoming a four-day event, a lot is happening in the e-commerce world.
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News

​Amazon Makes Surprise Bid for TikTok Amid Looming U.S. Ban​

Amazon and AppLovin have reportedly submitted last-minute bids to acquire TikTok’s U.S. operations as the app faces an April 5 deadline to sever ties with its Chinese parent company. The move comes amid national security concerns and legislative pressure to sell or face a nationwide ban.

Amazon’s interest is especially notable for Amazon sellers, as TikTok has become a key source of influencer-driven sales and product discovery that often drives traffic to Amazon listings. If Amazon succeeds in acquiring TikTok, it could create powerful new advertising and conversion tools directly tied to product listings on the platform.

​65% of Amazon Sellers Raised Prices in 2024—But Shoppers Still Noticed​

A new report from SmartScout reveals that 65% of Amazon sellers increased their prices in 2024, largely due to rising FBA fees and the introduction of two new charges: the Inbound Placement Service Fee and Low-Inventory-Level Fee. Despite passing these costs on to customers, nearly 60% of sellers still reported lower year-over-year profitability.

Prime members are noticing the price hikes more than the average U.S. adult, especially on essentials, which may be contributing to a dip in online shopping as a response to inflation. For Amazon sellers, the data underscores the growing challenge of maintaining profit margins while competing on price in a marketplace increasingly burdened by platform fees.

​Amazon Enforces Title Policy: Keyword Stuffing is Officially Out​

​Vanessa Hung reports that Amazon is now strictly enforcing its updated title policy, issuing hard errors like code 100470 for listings with non-compliant titles. This includes titles over 200 characters, repeated keywords, banned symbols, and other violations—now automatically flagged by Amazon’s AI Listing Update Review system.

According to Hung, this shift marks Amazon’s move away from keyword stuffing and toward audience-driven optimization and semantic SEO. Sellers must now prioritize shopper intent and relevance to stay compliant and visible on the platform.

​Amazon Expands Prime Day to Four Days in 2025​

Amazon is turning Prime Day into a four-day event in 2025, its longest version yet, giving sellers more time to reach customers with Lightning Deals, Best Deals, and deep discounts. This move follows a record-breaking $14.2 billion in sales during the 2024 Prime Day and aims to stand out amid fierce competition from Walmart, Target, and Temu.

Deeper discounts of 40% or more will earn increased visibility across the site, providing sellers more incentive to participate aggressively. With Prime membership at an all-time high, this extended shopping window presents a major opportunity for Amazon sellers to boost visibility and conversions during a key sales period.

​De Minimis Exemption for Chinese Imports Ends May 2—Amazon Sellers Should Prepare​

Starting May 2, the U.S. will officially end the de minimis exemption for shipments from China and Hong Kong, meaning low-cost packages under $800 will now be subject to duties and fees. Postal shipments will face flat duty charges of $25–$50 per item, with possible formal entry procedures required.

The policy change primarily affects sellers relying on direct-from-China fulfillment, such as those using suppliers through Shein, Temu, or similar platforms. Amazon sellers sourcing from China should expect higher costs, delays, and potential disruptions—and may need to explore U.S.-based or alternative sourcing options.

​Trump Unleashes Sweeping Reciprocal Tariffs Targeting Over 60 Countries​

President Trump has announced a new wave of reciprocal tariffs, imposing a 10% baseline duty on all imports and higher rates on key trade partners like China (34%), the EU (20%), Japan (24%), and Vietnam (46%). These tariffs are aimed at reducing the U.S. trade deficit, which hit $918 billion in 2024, and come on top of existing duties—including China’s additional 20% tariff.

For Amazon sellers, this could lead to significant cost increases on imported inventory, especially for those sourcing from Asia or the EU. The higher import costs may force sellers to raise prices or find alternative suppliers, potentially disrupting supply chains and product margins heading into Prime Day and Q4.

​Influencer Marketing Spend Set to Surpass $10B in 2025—Here’s What It Means for Amazon Sellers​

U.S. influencer marketing is projected to exceed $10.5 billion in 2025, a full year ahead of previous forecasts, as brands continue shifting budgets toward creators across platforms like YouTube, Pinterest, and podcasts. While TikTok’s ad spend is expected to decline by 17% due to platform uncertainty, influencer marketing is becoming more diversified and focused on long-term partnerships and content storytelling.

For Amazon sellers, this highlights the growing importance of integrating influencer strategies across multiple platforms to boost visibility and trust. As CPMs rise on platforms like Pinterest and YouTube, sellers should consider reallocating budgets and building relationships with creators who can drive more consistent and brand-aligned traffic.

​Target Eyes $5B Marketplace Growth—What Amazon Sellers Should Know​

Target plans to grow its third-party marketplace, Target Plus, from $1 billion to over $5 billion in gross merchandise value within five years. Unlike Amazon’s open model, Target’s invite-only strategy prioritizes category fit, product quality, and brand alignment, especially in high-growth areas like home, essentials, and food.

The partnership with Shopify is streamlining onboarding for emerging brands, while sellers view the platform as a potential gateway to in-store shelf space. However, limited data transparency and slower logistics capabilities still pose challenges compared to Amazon, meaning sellers must approach the opportunity with clear differentiation and strong digital performance.

​Japan: The Last Stronghold for Local Amazon Sellers​

Japan is currently the only major Amazon marketplace where local sellers still outnumber international ones, with 54% of active sellers being Japanese businesses. This is in sharp contrast to countries like Canada and the U.S., where local seller representation has dropped to 4% and 34%, respectively.

However, the tide is shifting—over half of new seller registrations in Japan in 2024 came from China, following the global trend of increasing Chinese seller dominance. For Amazon sellers, this reflects the growing importance of global competition and cross-border logistics, as seller location becomes less relevant in the platform’s fulfillment-driven infrastructure.

​BIS Raids Amazon and Flipkart Warehouses, Seizes Over 4,000 Uncertified Products​

The Bureau of Indian Standards (BIS) recently raided Amazon and Flipkart warehouses in Delhi, seizing over 4,000 uncertified products—including electrical appliances and footwear—due to non-compliance with mandatory certification rules. The BIS stated that the crackdown aims to protect consumer safety and enforce product quality across marketplaces.

Amazon’s warehouse in Delhi saw over 3,500 electrical items confiscated, while Flipkart’s Instakart facility had 590 pairs of non-compliant sports shoes seized. For Amazon sellers, this highlights the growing global enforcement of product compliance and the serious legal risks of distributing uncertified goods.

Seller Tips & Tricks

​Amazon’s New Promotion Fees: Lower Upfront Costs, Higher Performance Rewards​

Amazon is rolling out major changes to its promotion fee structure starting June 2, 2025, introducing a hybrid model that reduces upfront costs but adds variable fees based on deal performance. Sellers will now pay $70 per day plus 1% of sales for Best and Lightning Deals, with a $2,000 cap, offering more flexibility in deal duration and strategy.

Coupon fees are also shifting to a $5 base charge plus 2.5% of coupon sales, which may benefit sellers with lower-priced products but increase costs for higher-ticket items. These updates give Amazon sellers new opportunities to test short-term promotions affordably, but understanding break-even points and optimizing strategies will be key to maximizing profitability.

​Why UGC Is the Secret Weapon for TikTok Shop Growth in 2025​

User-generated content (UGC) is becoming the most powerful tool for TikTok Shop sellers, helping build authentic trust and drive conversions through real customer videos and testimonials. Brands that incorporate UGC into their strategy see stronger engagement, lower content costs, and better algorithmic reach compared to polished brand ads.

Canopy Management’s guide offers five actionable strategies, from micro-influencer partnerships to creative hashtag challenges, designed to spark content creation and foster community. For Amazon sellers expanding to TikTok, UGC is not just a trend—it’s a scalable way to grow visibility and sales across platforms.

​Top 3 Suspension Mistakes That Can Kill Your Amazon Account​

​Chris McCabe, a former Amazon insider, outlines the three most common and costly mistakes sellers make during suspensions: using templated or AI-generated appeals, submitting incomplete documentation, and waiting too long to get expert help. These missteps often lead to repeated rejections and missed opportunities for account reinstatement.

Amazon quickly flags and auto-rejects copy-paste appeals, while weak or missing invoices will halt your chances entirely. Sellers should have compliance documents ready and seek professional guidance at the first sign of trouble—not after multiple failed appeals.

​Amazon Suspensions Are Evolving — Here’s What Sellers Must Know Now​

​Chris McCabe outlines two major trends in Amazon suspensions: a sharp rise in intellectual property (IP) violations and the declining effectiveness of “I promise to do better” appeals. Sellers are increasingly getting suspended for both valid and false IP claims, and mishandling these—especially without legal guidance—can jeopardize entire accounts.

Amazon now demands evidence that policy violations never occurred, rather than accepting promises of improvement. If sellers don’t adapt to this stricter approach, they risk long suspensions or permanent deactivation.

​Amazon Offers Free Webinars to Help Sellers Maximize Growth and Fulfillment Strategy​

Amazon is hosting a new round of live, free webinars designed to help sellers get started, improve fulfillment strategies, and optimize sales using tools like FBA, FBM, and MCF. Sessions cover topics for all experience levels, including profitability tips, shipping settings, account setup, and listing optimization.

Sellers can take advantage of data-driven strategies for managing inventory across fulfillment channels and boosting customer satisfaction. Each webinar includes a live Q&A for direct support—perfect for Amazon sellers looking to level up their operations.

Video of the Week

​How Tariffs Are Changing Amazon Sellers’ Strategies in 2025​

Strong Opinions

​New China Tariffs Could Disrupt Amazon Sellers and Raise Prices​

President Trump’s latest 10% tariff on Chinese goods—on top of a 10% hike last month—is adding pressure on Amazon and its third-party sellers, many of whom rely heavily on China for sourcing. Amazon must now decide whether to absorb these rising costs or pass them on to consumers, potentially impacting competitiveness and margins.

Third-party sellers, who make up over 60% of Amazon’s sales, are scrambling to renegotiate with factories and seek alternative sourcing. While Amazon is more flexible than other retailers, the tariff increases could still cause supply chain disruptions and price hikes that sellers must carefully navigate.

​Why Tariffs Could Be a Big Win for Amazon Private Label Sellers​

​Brandon Young remains optimistic about Amazon private label, arguing that eliminating the de minimis loophole for China and Hong Kong will reduce unfair advantages for dropshippers on platforms like Temu and TikTok Shop. With these sellers now facing tariffs, customs delays, and slower logistics, U.S.-based private label brands may regain a competitive edge.

This shift could lead to a resurgence of quality-driven, branded products on Amazon. Sellers focused on resilience, branding, and long-term strategy will be best positioned to thrive in this changing landscape.

​Could an eBay-Etsy Merger Help or Hurt Sellers?​

A Wall Street analyst floated the idea of a potential eBay-Etsy merger as a solution to slow growth, but noted the odds are low. While such a move might excite investors, sellers could face fee hikes or policy shifts that don’t necessarily align with their interests.

Even if a merger did occur, both platforms would likely continue operating independently, limiting benefits to sellers. Some speculate that more strategic pairings, like Etsy with Pinterest, might offer better synergies for brand visibility and seller success.

​ChatGPT Image Generation Is Changing the Game for Amazon Sellers​

​Andrew Bailiff highlights how ChatGPT’s image generation tool is rapidly becoming the go-to solution for creating lifestyle product imagery from plain product photos. These AI-generated images are already outperforming some existing PDP and Sponsored Brands ad creatives in both quality and speed to market.

While not flawless yet—often struggling with text and hands—these tools are ideal for quick, impactful ad visuals with minimal editing. For Amazon sellers, this means faster testing, cheaper creative production, and a competitive edge over those relying solely on Amazon’s outdated image tools.

​Amazon Quietly Adds Costly PPC Feature Without Seller Consent​

Michael Patrón warns sellers about a hidden PPC feature Amazon recently added that is automatically enabled during campaign creation—without clear disclosure or user approval. The option doesn’t visibly appear in the campaign setup flow, leaving sellers unaware they are opting into additional ad spend.

Even experienced sellers, including Patrón himself, are unsure how the feature works or how it’s applied, and Amazon has yet to explain the details. For Amazon sellers, this highlights the importance of auditing new campaigns closely to avoid unexpected costs and loss of control over ad budgets.

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Top Upcoming Amazon Events

• ​MIAMI SELLERS CONFERENCE 2025 – May 1-3, 2025, Miami, FL, USA
• ​SELLER SUMMIT 2025 – May 6-8, 2025, Ft Lauderdale, FL, USA
• ​SELLER SESSIONS LIVE 2025– May 10, 2025, London, UK
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Stay ahead of the game, sellers! The landscape is shifting, and those who stay informed will continue to win.

God Bless,
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Todd Welch
Amazon Seller School