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#172 - E-Commerce is Back to Its COVID Peak, With New FBA Inventory Policy, and more

Amazon employee
Welcome to issue 172 of the FBA Monthly Newsletter! As we step into a fresh month, it’s time to look ahead with confidence and strategy. In this edition, we'll explore key market developments, share expert tips, and highlight opportunities you shouldn’t miss. Whether you’re aiming to fine-tune your listings or expand your reach, we’ve got the insights to help you stay ahead. Let’s make this a month of progress and achievement—welcome aboard!

Hot News

Five years after COVID-19 shocked the world into digital shopping, U.S. e-commerce has finally crawled back to the summit it briefly scaled in the spring of 2020. According to the Census Bureau’s latest quarterly report, e-commerce now represents 16.3% of total retail sales – the exact same peak it hit during the lockdown chaos of Q2 2020.

marketplacepulse.com

Amazon introduces new inventory ownership rules affecting seller reimbursements for damaged FBA goods, transferring liability burden from marketplace to merchants. Amazon has implemented a significant policy change affecting millions of marketplace sellers who rely on the Fulfillment by Amazon (FBA) service. The e-commerce giant announced on December 10, 2024, that it would introduce the FBA Damaged Inventory Ownership program, fundamentally altering how the company handles damaged inventory within its fulfillment network.

ppc.land

Over the past years, Amazon has generated increasing revenue in the European region, challenging domestic players and quickly becoming the leading e-commerce company in several EU countries. The U.S. behemoth of e-commerce is the leading marketplace in Europe, with a gross merchandise volume dwarfing other established platforms like eBay or Zalando.

statista.com


Good to Know

Pattern’s IPO filing this month presents a fascinating counterpoint to the Anker playbook for Amazon-native success. While both companies achieved billion-dollar scale starting from Amazon, they chose radically different strategies. Anker built brand equity and diversified beyond marketplaces, while Pattern perfected the reseller model through exclusive partnerships and technology infrastructure. Pattern’s public debut will test whether sophisticated reselling can command the public market valuations traditionally reserved for brand builders.

marketplacepulse.com

Launched in 2006, FBA is the most recognized third-party fulfillment option on this list owing to its close association with the company’s marketplace. FBA’s most important feature may be exposure. Items sold on the Amazon Marketplace and fulfilled through FBA display the Prime badge on Amazon.com. The badge is important because about 75% of U.S. Amazon shoppers are Prime members and likely filter for Prime-eligible products.

practicalecommerce.com

Sales drop 60-80% year-over-year as marketplace veterans cite economic uncertainty, increased costs, and platform algorithm changes affecting third-party merchants. Multiple Amazon sellers reported dramatic sales declines across marketplace forums between May and August 2025, with many experiencing drops between 60-80% compared to previous years.

upgradedpoints.com

While most of the world sleeps, a different kind of economy comes alive on Amazon. In the quiet hours between midnight and dawn, when human sellers are offline and customer traffic is minimal, an intricate dance of repricing algorithms unfolds. This is the 3 AM price war—a phenomenon that reveals the true nature of automated e-commerce competition.

startup.info

Amazon is facing fresh legal trouble after being accused of deliberately manipulating prices in an effort to hold up prices and prevent discounting while also bullying marketplace suppliers where they can sell their goods. The Association of Consumer Support Organisations (ACSO) has filed opt-out collective proceedings on behalf of more than 45 million UK customers, alleging that Amazon’s marketplace pricing policies forced consumers to pay more for goods sold by third-party sellers

channelnews.com.au

EVRi is now available as a shipping carrier option for your Amazon international Fulfilled by Merchant (FBM) orders to European destinations to help you affordably expand within the UK and EU. If you haven’t started international shipping yet, go to Amazon Global Selling to explore new business opportunities.

channelx.world

Amazon Business launched in 2015 to cater to business customers that have procurement processes and policies in place that consumers don’t have to abide by. By 2017, Amazon Business had over a million business customers in the US, 85,000 business sellers, and offered business-only pricing on millions of products.

ecommercebytes.com

Amazon expands control over seller supply chain through new portal featuring approved manufacturers across seven product categories. Amazon recently introduced Manufacturing Central, a portal connecting sellers with manufacturers in India, according to company communications sent to marketplace vendors. The program launched in August 2025, initially covering apparel, furniture, home decor, home linen, kitchen products, luggage, and office supplies.

ppc.land


Tips and Tricks

Alex Yale, founder of Uncle Todd's, a seven-figure Amazon seller, attributes his success to distinct packaging and an Amazon-to-retail strategy. Yale noticed that many cleaning products lacked clear descriptions, so he placed the use case front and center on his packaging. He also created eco-friendly packaging to differentiate his products. His brand is now on the shelves of over 3,000 retail stores.

ainvest.com

A great idea often sparks a new business. You might have invented something innovative, added a fresh twist to a classic product, or spotted a trending item with market potential. But what if you don't have a specific product in mind yet? Finding a product to sell when starting from scratch might seem challenging, especially when the online marketplace seems saturated. That's where product research comes in.

shopify.com

Selling on Amazon in 2025 is more competitive than ever before. Millions of sellers are fighting for the attention of the same group of buyers. Simply listing your product is no longer enough to stand out. You need a smart approach that helps your products rank higher in search results, attract clicks, and convert those clicks into sales. This is where Amazon listing optimization services play a major role.

vocal.media

Solve blind spots in Amazon category data to unlock smarter growth, forecasting, and competitive strategy. For too long, brands have been making major Amazon decisions in the dark. You may know how your ASINs are performing. You might even have search trends and pricing data. But without a trustworthy, top-down view of your market category, you’re left guessing at answers to high-stakes questions.

junglescout.com

Becoming an Amazon FBA seller is one of the most interesting, unique businesses you can start. FBA stands for Fulfillment by Amazon, and it’s a program offered by Amazon to third-party merchants that allows you to get your products on Amazon’s website and leverage its global fulfillment network to scale your e-commerce business.

upgradedpoints.com


Podcasts

Vince Montero, former senior product marketing manager at Helium 10 and now CEO and Founder of Evinced Digital, joins us to uncover the transformative updates in Amazon advertising that are revolutionizing campaign management for sellers. Vince breaks down the latest innovations, including the game-changing keyword harvesting update in Helium 10 Ads, which clears the path for more efficient and focused advertising by eliminating redundant keyword suggestions.

helium10.com