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Amazon Updates Sellers Need to Know This Week
From new AI ad tools and drone deliveries to regulatory challenges and major operational shifts, this week’s Amazon seller updates bring key developments that you need to watch.
- Amazon Owned & Operated Inventory: Starting January 15, 2025, advertisers will benefit from consolidated first-party ad inventory across Amazon’s ecosystem, simplifying campaign management.
- TikTok’s Future and its Advertising Influence: Trump has delayed the TikTok ban for 75 more days, even hinting at a possible joint venture if its $1 trillion valuation holds. Meanwhile, TikTok’s dominance is forcing competitors like Meta to pay creators up to $50,000 to post exclusively on Reels.
- FTC Questions Amazon Pricing: The FTC is investigating Amazon’s pricing policies after discovering lower prices for the same products on Temu, adding to the ongoing antitrust lawsuit.
These updates could impact how you run your Amazon business. Keep reading to stay up-to-date and adjust your strategy as needed.
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Amazon-Owned Ad Inventory: Simplified Campaign Management
Amazon is simplifying how advertisers access inventory with its new Amazon Owned and Operated Inventory feature.
Starting January 15, 2025, this update automatically consolidates Amazon’s first-party inventory, including ad space across Amazon.com, Fire TV, IMDb, Alexa, Twitch, and other Amazon-owned platforms.
Benefits of this feature
- Simplified Campaign Management: By consolidating inventory sources, advertisers no longer have to manually select which Amazon properties to target; instead, all eligible inventory will be included in the campaign by default.
- Expanded Reach: This change allows sellers to reach a wider audience across Amazon’s various platforms, including its physical retail environments.
- AI Optimization: Amazon’s machine learning tools will optimize campaigns based on real-time data, helping advertisers achieve their goals more effectively.
For example, an advertiser looking to promote a product could run ads across Fire TV and Twitch, as well as Amazon.com and IMDb, ensuring they connect with potential customers at multiple touchpoints throughout their day. The automatic inclusion of inventory means sellers can access Amazon's premium first-party inventory without needing to adjust for each platform individually.
TikTok’s Future, Meta’s Big Bet, and the Shifting Advertising Landscape
In a twist of fate, President Donald Trump has granted TikTok a 75-day extension, buying the app crucial time to navigate a ban aimed at separating it from its Chinese parent company, ByteDance.
This move, which seemingly gives TikTok a lifeline, also highlights how the app has revolutionized the advertising world—one that Meta (Facebook) is eager to capitalize on, even if it means offering hefty sums to TikTok influencers for exclusive content.
As the social media landscape shifts, sellers and marketers need to stay on top of these developments.
TikTok Ban Update: Trump’s Executive Order
- Purpose of the 75-day Extension: The order grants TikTok additional time to comply with the law, which requires the platform to be sold to an American company or face a ban.
- Potential for a Joint Venture or Sale: Trump’s executive order also opens the door for discussions around a potential joint venture, with Trump proposing a 50-50 partnership between ByteDance, TikTok’s Chinese parent company, and US entities like Oracle, Amazon, or even tech mogul Elon Musk.
- Negotiations Ahead: The move sets the stage for complex negotiations that could potentially reshape TikTok’s future in the US, keeping the platform alive while addressing national security concerns regarding Chinese control over American user data.
Despite legal uncertainty in the US, TikTok’s influence on advertising continues to grow. Competitors like Instagram Reels and YouTube Shorts have quickly followed suit, adopting similar short-form video formats that prioritize entertainment over traditional branding.
Meta’s Push for TikTok Creators
As TikTok faces mounting pressure, Meta is making a bold move to lure creators away with lucrative deals.
According to leaked contracts, Meta is offering up to $50,000 per month to influencers with more than a million followers, asking them to create exclusive content for Instagram Reels. The platform’s hope is that these creators can draw their TikTok audiences to Instagram, thus expanding its reach and competitive advantage.
This strategy illustrates Meta’s response to TikTok’s rising influence. However, the move also highlights the growing importance of short-form video content in digital marketing. The trend shows no signs of slowing, with brands increasingly turning to creators on these platforms to reach younger, more engaged audiences.
As TikTok’s legal challenges unfold and Meta pushes to dominate the short-form content space, one thing is clear: online advertising is more dynamic than ever. The platforms that succeed will be those that prioritize creativity, authenticity, and speed.
Regulatory Scrutiny Intensifies on Amazon’s Pricing Policies
The Federal Trade Commission (FTC) is ramping up its scrutiny of Amazon’s pricing practices, with a particular focus on how the ecommerce giant’s policies may impact both domestic and international sellers.
The investigation, which is part of a broader antitrust probe, involves inquiries into whether Amazon penalizes merchants for listing lower prices on competing platforms. This pricing scrutiny could have major implications for sellers across the market, especially as platforms like Temu gain prominence in the US market.
Temu at the Center
The FTC’s scrutiny also extends to Temu as part of its inquiry into how international platforms interact with US pricing policies. The FTC raised questions after discovering that identical products were listed for lower prices on Temu compared to Amazon.
Impact on Sellers
If the FTC finds merit in these allegations, sellers who list products on Amazon could face changes in how they manage pricing across multiple platforms. Currently, many sellers list their products at competitive prices on Amazon, but lower their prices on alternative sites like Temu, which offers steep discounts and directly sources goods from China.
If Amazon enforces stricter policies on cross-platform pricing, sellers might have to adjust their strategies to comply with new regulations or risk penalties.
Other Amazon Seller News This Week
- UK Drone Deliveries Begin: Amazon’s first UK Prime Air drone delivery hub will be in Darlington, marking a major step in automation and fulfillment innovation.
- Amazon Closes Quebec Warehouses: The ecomm giant is shutting down all Quebec operations, cutting 1,700 jobs and sparking labor rights debates after becoming the only unionized location in Canada.
- Amazon Must Notify Customers of Dangerous Products: A new ruling requires Amazon to inform buyers about recalled or hazardous items, issue refunds, and post safety alerts.
- Amazon Sustainability Accelerator Returns: Startups selling eco-friendly products in the EU, UK, or Switzerland can apply for grants, mentorship, and growth support until March 7, 2025.
Winning Strategies for Sellers in a Shifting Ecommerce Environment
With new advertising tools, shifting regulations, and increasing international competition, sellers must stay nimble—seizing opportunities and minimizing risks with a strategic mindset.
Here are a few actionable strategies to help you navigate the latest Amazon seller updates and broader industry developments.
- Leverage new Amazon DSP tools for better performance: Start integrating Brand+ into your existing DSP campaigns to enhance your targeting, and use Amazon’s O&O inventory for seamless, broad-reaching campaigns across Amazon properties.
- Stay ahead of TikTok’s influence on advertising: Invest in short-form video production and start using platforms like TikTok and Instagram Reels to enhance your brand’s visibility. Experiment with influencer partnerships and paid ads to expand your reach.
- Boost your ads with Carbon6 tools: Combine DSP Prime with PixelMe for a powerful ad strategy. DSP Prime uses Amazon’s first-party data to target high-intent audiences, while PixelMe drives external traffic to boost your organic rank and unlock Amazon’s Brand Referral Bonus. Together, they optimize ad spend, increase visibility, and maximize ROAS for a competitive edge.
- Stay informed about FTC pricing policy on Amazon and other platforms: Regularly monitor pricing trends and use automation tools to track price changes across platforms, ensuring your listings remain competitive while complying with potential new rules.
For nearly four years, we’ve kept sellers informed with our Amazon FBA Newsletter, publishing over 200 issues packed with policy changes, announcements, and community events. Subscribe or share with your team to get these insights delivered weekly.
