Here is your midweek jetpack of Amazon seller news, updates, and other useful clicks for your e-commerce business…
Rogue Amazon Employees Selling Blackhat Services on Telegram?
According to a report from CNBC, rogue Amazon employees are selling insider information and services on messaging apps and social media platforms like Telegram, WeChat, WhatsApp, and Facebook groups.
One such illicit service provider is Amazon Magic, a Telegram group that has 13,000 members, that charges $200 to $400 for black hat services like access to Amazon insiders, reinstatement of suspended accounts, removal of negative reviews, access to competitor’s confidential info, and similar services.
It’s absolutely no justification, but Amazon’s chaotic, confusing, and financially draining suspension appeal process may have been contributory to the proliferation of these black hat services.
Amazon Q2 by the Numbers
Amazon absolutely crushed it in Q2, exceeding analyst expectations.
- Amazon reported a net income of $6.7 billion, or $0.65 a share for the quarter. Last year for Q2, it had a loss of $2 billion, or $0.20 a share.
- Amazon’s operating income increased to $7.7 billion from $3.3 billion last year.
- Net sales rose to $134.4 billion from $121.2 billion last year.
- Revenue from physical stores including Whole Foods Market and Amazon Go stores rose to 6% to $5 billion.
- Revenue from subscription services including Prime memberships increased 14% to $9.8 billion.
- Sales generated by Amazon Web Services (AWS) rose 12% to $22.1 billion.
- Ad revenue jumped 22% to $10.68 billion from $8.8 billion last year.
Amazon Delivering Packages at Fastest Speeds Ever
Amazon fulfillment is firing on all cylinders, and the ecommerce titan recently flexed that it was delivering its largest selection of products to US Prime members at the fastest speeds ever.
Here are some stats:
- In Q2, Amazon Prime members across the top 60 largest US metro areas received their product orders on the same day or the day after.
- This year, Amazon has already delivered over 1.8 billion units to US Prime members – nearly quadrupling its number of products delivered by the same or the next day in 2019.
- Amazon shipped more products with Same-Day Delivery during Prime Day 2023 than any other two-day period in the history of the company.
CEO Andy Jassy recently announced plans to double its number of same-day or next-day delivery centers in major cities across the US to further build on its initial success.
AI Caramba! This Week in AI + Ecomm
- AI’s creative intelligence is expected to radically change advertising in 2024. Find out how AI can help marketers achieve the best possible outcomes in their ad campaigns.
- Fast Simon, one of the frontrunners of AI-powered shopping optimization, recently launched Vector Search with advanced AI for eCommerce. Vector Search is said to be able to handle longer search queries which will make it easier for eCommerce sites to match buyer intent, personalize shopping experience, answer questions, and make product recommendations.
- Pinterest, which now has 465 million global monthly active users, credits AI for its 8% global monthly active user growth and increased user engagement.
Important Amazon Updates for Yo’ Bad Seller Self
New Listings Will Require New Product Attributes Starting August 16
Starting August 16, 2023, Amazon will be requiring sellers to provide 274 new product attributes to 200 product types for new listings. Products without the required product attributes will not be added to the Amazon catalog.
View the full list of product types and attributes here.
Amazon FBA Small and Light to End on August 29, To Be Replaced by Low-Price FBA Rates
The Small and Light program will officially end on August 29, 2023, and on the same date, Amazon will introduce lower FBA rates for items priced below $10. The low price rates, which, on average, is $0.77 lower per item than current FBA rates, will be automatically applied to eligible products. Eligible products also won’t be subject to peak fulfillment fees that will apply from October 15 to January 14, 2023.
Click here to view the pricing details and to read the full announcement.
Brand-registered Sellers Can Now Offer Tailored Promotions to Customers
Amazon recently launched Amazon Brand Tailored Promotions, a new feature which allows brand-registered sellers to offer loyalty discounts via promotional codes to their customers. Promotional discounts can range from $10 to $50 off on all products, and can be offered to these six audience types:
- Brand followers
- Repeat Customers
- Recent Customers
- High-Spend Customers
- Potential New Customers
- Cart Abandoners
Promotions can be redeemed on a single purchase (limited to one unit redemption per customer).
Learn more about Tailored Promotions here.
This Week in Seller School
Here is a roundup of learning resources for this week:
- Understanding Amazon’s New FBA Capacity Limits by Clear the Shelf
- How to Prepare Your Amazon Business for Peak Shopping Events by sellerapp
- IRS $600 Reporting Rule: What Online Sellers Need to Know by eCom Engine
- Amazon and the Gen Z Buyer: Understanding and Targeting the Next Generation of Shoppers by AMZ One Step
- Amazon Best Sellers and Trending Products in August 2023 by Jungle Scout
- Leading Back to School Trends by Jungle Scout
- Winning with Prime Day and Launches by The Amazon Seller Podcast Private Label Show
- The Best Finance Options for Amazon Sellers by Seller Sessions Amazon FBA and Private Label
Upcoming Seller Events📍
Here are a few upcoming industry events that you might be interested in. Slick that hair back and start mingling, playa!
Amazon August Webinars (August 14 – 31, 2023) – Virtual
Learn how to use self-service advertising products such as Sponsored Products, Sponsored Brands, Sponsored Display, and Stores to build your brand on Amazon.
ASD Market Week (August 20-23, 2023) – Las Vegas, NV
Expand your merchandise mix at the largest and most comprehensive trade show for consumer merchandise in the US
eTail East (August 21 – 24, 2023) – Boston, MA
A 4-day ecommerce & omnichannel conference designed to help you increase the profits from your business.
White Label World Expo NYC (August 29-30, 2023) – New York City, NY
“Boost your product line into an industry leading brand.”
AWS Innovate – Data Edition (August 30, 2023)
“Unlock the value of your data with an end-to-end strategy.”
AMZ United (August 31, 2023) – Newark, New Jersey
The premiere wholesale-focused Amazon conference.
Chicago eCommerce Summit (September 6, 2023) – Chicago, IL
“A one-day gathering of Chicago’s eCommerce experts and decision-makers across retailers, brands, merchants, and solution providers.”
Amazon Accelerate (September 13-14, 2023) – Seattle, Washington
Amazon’s premiere annual seller conference.
Seller Velocity Conference (October 11-12, 2023) New York City, NY
2 days focused on optimizing performance to drive brand growth
Other Quick Clicks
- Amazon unveils biggest grocery overhaul since buying Whole Foods
- RetailX Europe Top 1000: Amazon & Argos named top retailers
- Can Walmart+ overcome Amazon Prime’s 15-year head start?
- Jeff Bezos becomes $11 Billion richer amid unexpected Amazon stock surge
- Amazon CEO Andy Jassy’s cost cuts deliver investors biggest profit beat since 2020
Thank you for reading. If you have any questions, comments or violent reactions, let us know below!
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