Amazon's New Initiatives and Legal Challenges Impacting Sellers

We’re back with another episode of the Weekly Buzz with Helium 10’s Senior Evangelist, Shivali Patel. Every week, we cover the latest breaking news in the Amazon, Walmart, and E-commerce space, talk about Helium 10’s newest features, and provide a training tip for the week for serious sellers of any level.

Amazon Multi-Channel fulfillment (MCF) can now automatically fulfill orders placed on social commerce channels like TikTok, Instagram, and Pinterest using your FBA inventory.

You can now offer Subscribe & Save and Reorder coupons on an ASIN at the same time. With this change, you can now offer both Subscribe & Save and Reorder coupons on an ASIN at the same time.

Effective September 30, 2024, if Amazon requires you to submit product compliance documents, these must be submitted and approved before you can list the product.

Amazon Pharmacy customers can have their medications pre-sorted into packets using this new PillPack feature
https://www.aboutamazon.com/news/retail/amazon-pharmacy-pillpack-feature

Inbound shipping is now easier with the Amazon Partner Carrier Program’s smart carrier options
https://sell.amazon.com/blog/announcements/partner-carrier-program-smart-carrier-options

Amazon marketplace sellers sue Walmart
https://www.nwaonline.com/news/2024/oct/01/amazon-marketplace-sellers-sue-walmart/

Amazon seller-fulfilled heavy and bulky returns
https://channelx.world/2024/10/amazon-seller-fulfilled-heavy-and-bulky-returns/

Amazon’s recyclable packaging push
https://www.packaging-gateway.com/news/amazons-recyclable-packaging-push/

Digital Domain Teams Up with AWS to Scale Autonomous Virtual Human Technology and Introduces Generative AI-Powered Features
https://press.aboutamazon.com/aws/2024/9/digital-domain-teams-up-with-aws-to-scale-autonomous-virtual-human-technology-and-introduces-generative-ai-powered-features

Amazon is launching its own Shark Tank where winners get to be Amazon sellers
https://www.theverge.com/2024/9/30/24258276/amazon-buy-it-now-show-trailer-shark-tank-jb-smoove

With the holiday season approaching, we arm you with strategic insights to capitalize on events like Prime Big Deals Day, including essential tips on using Cerebro for effective keyword research. Tune in and stay ahead with these buzzing news and strategies that help your business thrive in the competitive e-commerce landscape.

In this episode of the Weekly Buzz by Helium 10, Bradley covers:

• 00:49 - MCF Expands to Social
• 02:04 - Dual Coupon Boosts Promotions
• 03:28 - Compliance Deadline Approaching
• 04:17 - Holiday Peak FBA Fees Set
• 05:48 - Pharmacy PillPack
• 07:00 - Smart Carrier Options Introduced
• 08:19 - Sellers x Walmart Lawsuit
• 09:54 - Updated Returns for Bulky Items
• 11:51 - Sustainable Packaging
• 12:58 - AWS Powers Autonomous Virtual Humans
• 15:04 - Shark Tank but for Prime
• 16:30 - Training: Finding Keywords Your Competitors Top Keywords

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Shivali Patel:

Amazon's MCF fulfilling orders for popular social channels, incoming holiday peak fulfillment fees and, finally, that dual coupon feature you've requested being implemented. This and more on this week's episode of the Weekly Buzz.

Bradley Sutton:

How cool is that? Pretty cool, I think. Hello everybody, and welcome to another episode of the Serious Sellers Podcast by Helium 10. I am your host, Bradley Sutton, and this is the show. That is our Helium 10 Weekly Buzz, where we give you a rundown of all the new stories that are going on in the Amazon, Walmart and e-commerce world. We highlight the latest new feature alerts from Helium 10, and we review a training tip of the week that will give you serious strategies for serious sellers of any level in the e-commerce world. Today, our host is going to be Shivali Patel and so Shivali, take it away and let us know what's buzzing.

Shivali Patel:

First up, we have a few news pieces directly from Seller Central News To start. An exciting enhancement to Amazon's Multi-Channel Fulfillment, or MCF. Amazon's MCF now enables sellers to automatically fulfill orders from popular social commerce platforms like TikTok, Instagram and Pinterest using your Fulfillment by Amazon inventory. This means, for those of you that were perhaps manually fulfilling orders up until now for TikTok shop can now transition to more effortlessly expanding your brands, maintaining accurate inventory tracking and quicker order processing. Or imagine just running a promotion on Instagram knowing that your orders are being handled seamlessly through Amazon's system. This can help you capture even more sales opportunities across different channels, keeping you ahead of your competitors. To streamline this process, amazon recommends that you utilize tools like Webby LingSing or Connector by Silk. These platforms can help you connect your social media accounts to your Amazon Seller Central with ease and, in my opinion, a great strategic move to enhance your order fulfillment capabilities, position your business for growth and encourage you to meet customers where they're most active, and that is social channels.

Shivali Patel:

Then we have Amazon actually just announced its new dual coupon feature that many of you have been requesting. You can now offer both subscribe and save and reorder coupons on the same ASIN. Previously, sellers could only use one coupon per ASIN, which limited promotional strategies, and now eligible customers can choose between a 10% off free order coupon for a one-time purchase or a 20% off subscribe and save coupon for those who want to subscribe for regular deliveries. I can see this making a dent in impacting the quantity of repeat purchases and facilitating brand loyalty, as well as, if you are a seller, the ability to now cater to different purchasing behaviors. This will help you effectively engage your audience. For instance, if a customer is hesitant to commit to a subscription, that reorder coupon can persuade them to try your product without long-term commitment. Meanwhile, customers who value convenience can opt for the subscribe and save option, benefiting from a greater discount. Remember, guys, at the end of the day, promotions are a really great way for you to attract new customers and retain existing ones. By leveraging these dual coupon offerings, you can enhance your marketing efforts, drive sustained sales growth and, at the end of the day, it's about making your customers feel valued and giving them the options that suit their needs.

Shivali Patel:

Okay, moving on, let's talk about an important compliance update that you need to be aware of, effective September 30th 2024, which is already passed, amazon will now require that any product needing compliance documentation to have these documents submitted and approved before it can be listed in order to uphold the highest safety standards for products sold on Amazon. This is just one additional way for them to ensure that customers are really receiving safe and compliant items. While existing product listings will remain unaffected, new listings cannot go live until the proper documentation has been approved. So make sure that you guys manage this process through your manage all inventory dashboard on seller central and, since they can ask for additional information to verify product safety and compliance at any time, you'll want to check back time to time.

Shivali Patel:

Speaking of time, as we gear up for the holiday shopping season specifically, there are upcoming 2024 holiday peak fulfillment fees for FBA that you will need to be aware of. From October 15th to January 14th of 2025, you're going to see these seasonal fees applied to all products, reflecting the increased fulfillment and transportation costs during this busy period. This fee structure is similar to what other major carriers charge and it will be consistent across items within the same size band, and this will affect US FBA, Canada FBA, north America remote fulfillment, us multi-channel fulfillment and buy with Prime. I recommend that you guys factor these fees into your pricing strategy. Okay, and especially during the holiday season, when consumer spending typically peaks. The average holiday peak fulfillment fee will remain consistent with last year. However, a new peak fee will apply to products priced below 10 USD. This is for US FBA specifically. While these fees might seem like a hurdle, I want you to keep in mind that Amazon's average FBA fulfillment fees are still about 70% lower than the comparable two-day shipping options offered by third-party logistic providers. And, if needed, the new section does have the detailed rates linked by size and weight on the relevant help pages. So check it out to plan out your inventory and maximize sales during the holiday rush, if you have not already.

Shivali Patel:

In other news and in an exciting expansion of its services, amazon Pharmacy is enhancing the way that customers manage their medications with the introduction of a new pill pack feature. This service allows customers to have their eligible medications three or more pre-sorted into convenient pill packets, which will then be delivered straight to their door. This updated offering continues the service from PillPackcom acquired by Amazon in 2018, but introduces new savings and a simplified sign of process. Each PillPack is organized and labeled by date and time, making it easier for individuals to adhere to their prescribed routines without the hassle of multiple pill bottles. I don't think any of us like that. Plus, customers can enjoy fast, free delivery right to their homes. I wanted to mention this as part of this week's buzz because, while perhaps it's not directly relevant to you as an e-com seller or service provider, this new service from Amazon Pharmacy could open avenues for partnership or product integration, especially if you offer health-related products. Later down the road, by keeping an eye on how the service evolves, perhaps you'll be able to identify opportunities to align your offerings with Amazon's growing healthcare initiatives.

Shivali Patel:

What else we also have? Amazon introducing new smart carrier options for sellers using FBA and Amazon Warehousing and Distribution, known as AWD, giving sellers more choice and flexibility when sending inventory to the Amazon network. Available through the Amazon Partner Carrier Program, these options allow sellers to choose their preferred partner carrier and transport method based on dynamic freight-ready dates and cost estimates. This update aims to help sellers like you and I optimize our logistics and expenses, and these new features are integrated into step four of both the send to Amazon workflow and send to Amazon warehousing and distribution workflow. That is a tongue twister when you're trying to say it all in one sentence For less than truckload and full truckload shipments. The Amazon partner carrier program, known for offering reliable shipping services, includes small parcel delivery, LTL, FTL and intermodal shipment options, with savings of up to 25% lower compared to alternatives. So sellers can benefit from lower costs, while those delivering to AWD received additional discounts of 25% on storage and 15% on processing and transportation. I hope that you guys can see this as a valuable opportunity to streamline your inventory management and reduce costs, improving efficiency.

Shivali Patel:

Okay, then, we have a significant legal development. Four Amazon Marketplace sellers have filed a class action lawsuit against Walmart, seeking $5 million in damages. The lawsuit alleges that Walmart has enabled organized retail crime and racketeering through its third-party vendors by not sufficiently vetting its Marketplace sellers. The complaint filed on September 17th, as written here in US District Court for the District of Delaware, claims that certain third-party sellers on Walmart's platform are engaging in fraudulent practices, buying and reselling products from Amazon vendors in a sophisticated scheme. This practice harms legitimate sellers and allows Walmart to profit from the fees that it collects from these sellers. So I think that this case really underscores the ongoing challenges in maintaining marketplace integrity and the responsibilities of platforms and managing selling ecosystems. So I hope that you're able to recognize, with this case, the importance of just being transparent and ethical in your business practices. It's vital that you guys keep up with the guidelines that these platforms have, and this way you can really protect your brand but also contribute to a healthier marketplace overall. Walmart has until October 10th to respond to a summons that was issued on September 19th and in their statement they indicated they're reviewing the complaint. So, regardless of the outcome, the lawsuit serves as a reminder of the potential risks and the need for the platform to maintain a robust vetting process.

Shivali Patel:

Reporting hot from channel x. Starting on October 30th 2024, we also have amazon updating the seller fulfilled returns policies for heavy and bulky items in Germany, France, Italy and Spain stores. This aligns with changes already implemented in the UK since August of 2024, and heavy and bulky items are defined as those that weigh over 31.5 kg or have a longest side exceeding 175 centimeters when packed. Sellers will now be required to offer a prepaid return label and home collection service for these returns, along with issuing refunds to customers, while the responsibility for covering return shipping costs remains unchanged. The refund amount will depend on the return reason and timeline, in line with Amazon's existing returns policy. So the introduction of home collection for heavy and bulky item returns aims to provide a consistent returns experience for customers across all those stores. As the service is already available for FBA and seller flex returns, amazon recommends that we review our carrier contracts to ensure that home collection is included and make any sort of necessary updates.

Shivali Patel:

As a seller, you may want to offer partial refunds or part replacements as an alternative to home collection, provided that it's shared the tracking ID of the replacement part with the customer and that you close out the return request with the reason code return request canceled. To avoid A to Z guarantee claims or impacts on order defect rates, sellers must authorize or deny return requests within 48 hours where the auto is not auto authorized. You also have these additional things to keep in mind, but as you can see here, you can just pause the screen and have a read. Otherwise you can reference this channel X article. I'd love to know do you guys think this will help reduce unnecessary customer claims and improve seller performance across amazon's European stores? Let me know in the chat. We do have just a few more things here.

Shivali Patel:

It's been a packed week of news as the e-commerce industry continues to expand. Concerns about packaging waste have come to the forefront, prompting amazon to take significant steps towards sustainability. And, in response to the mounting pressure from environmental groups and regulatory bodies, amazon's introduced various recyclable packaging initiatives, one of those being the Frustration-Free Packaging Initiative, designed to ship products in easy-to-open, recyclable packaging, often eliminating the need for additional boxes. Since its launch, amazon reports having removed over 1.5 million tons of waste. I mean that is impressive and it shows a tangible effort for them to reduce waste. Amazon has shifted towards recyclable materials, introducing paper-based mailers that can be easily recycled, curbside, and this shift is part of Amazon's broader commitment to achieve net zero carbon emissions by 2040. As a seller, you can adopt sustainable packaging practices to align with Amazon's initiatives, but also appeal to eco-conscious consumers who prioritize environmental responsibility.

Shivali Patel:

Up next, we have an article directly from Amazon. According to Amazon's press center, digital Domain, a leader in visual effects and virtual human technology, has announced a collaboration with Amazon Web Services, AWS, to migrate its autonomous virtual human AVH technology to the cloud. This partnership aims to expand the reach and capabilities of AVH technology across industries such as entertainment, gaming, healthcare, hospitality and commercial applications, leveraging AWS's advanced cloud infrastructure, including Amazon's Bedrock for high-performing foundation models, amazon Polly, amongst others, for voice enhancements and for facial recognition. Digital domain is really poised to enhance real-time interaction with virtual humans. Aws's robust security and compliance features will also ensure the integrity and scalability of the AVH platform. This collaboration represents a significant milestone for digital domain following the success of Zoe in 2022. And, with the support of AWS and its cloud infrastructure, I think it's really going to offer AVH technology greater speed, efficiency and global accessibility in many sectors.

Shivali Patel:

This collaboration does offer potential relevancy for Amazon sellers, particularly in enhancing customer engagement and support For sellers who operate in industries such as e-com, hospitality or any customer-facing business. Integrating virtual human technology can revolutionize how we interact with customers, and so Amazon sellers can really leverage AVH technology for real-time, ai-driven customer interactions, offering personalized and immersive experiences similar to virtual concierge services. This can help improve the efficiency, manage inquiries, provide product recommendations, offer after-sales support. Even so, by utilizing this advanced technology, we can really, as sellers, go in and enhance our brand experiences, boost customer satisfaction and stay competitive in this growing market where AI and machine learning are really taking on a very pivotal role in customer interaction. Lastly, I figured you guys could also appreciate some fun news how many of you have ever watched Shark Tank and how many of you have seen the new trailer for Amazon Prime videos, buy it Now, hosted by JB Smoove?

Shivali Patel:

The Verge reports that in this unique competition, you're going to have contestants having the opportunity to present their product ideas to a panel of investors and an audience known as the 100, representing potential customers. If a contestant's product is well-received, it's going to be featured in a new section of the Amazon store called Buy it Now. The panel actually includes celebrity guests like Gwyneth Paltrow, Jamie Siminoff, who's the CEO of Door.com, serving as the resident judge, and others. Each episode features a $20,000 prize for one contestant, adding an exciting incentive to the competition. Viewers can access the buy it now store via a QR code shown during the episodes, allowing them to purchase featured products directly. The first three episodes will premiere on October 30th, with a total of 13 episodes airing weekly until January 8th of 2025. Additionally, a companion podcast this is Small Business Behind the Buy will be available starting the day after the show's launch. This initiative not only engages viewers, but also aims to drive sales on Amazon, showcasing products with greater transparency about their origins, their names, their brand story, and creating buzz and excitement around new product launches as the holiday shopping season approaches.

Shivali Patel:

With that. That is it for this week's news. And, by the way while I didn't mention it, since Bradley's already talked about this in a previous episode Amazon's Prime Big Deals Day sale is also coming up on October 8th and 9th. So I hope that you guys are all squared away to rank at the top of all the keywords you hope to generate sales from. In case you're not, let's just run through one strategy that you can use to capitalize during this time. Let me show you how you can find keywords where your competitors are outranking you. Let's say you're ranked on one of the lower pages, like pages four, five or even just the bottom of page one. Sure, customers searching for niche specific items like coffin shelves underneath the keyword gothic decor may ignore irrelevant results and focus only on the similar products. But also, most people don't even really scroll to page two, which is a clear indicator of why you would want to pay attention to the keywords where your direct competitors might be outperforming you and where you may want to tweak your strategy if you care to be listed at the top half of page one, where all that traffic is. Here's how You're going to want to pay attention to your relative rank against competitors. You can find this metric inside of Cerebro, which is our reverse ASIN keyword research tool, and you are going to begin by putting in a multi-ASIN search. So find a bunch of the Amazon standard identification numbers inside of your niche and go ahead and click get keywords.

Shivali Patel:

The second thing you're going to do is set a minimum for search volume. I went ahead and inputted in 300. Now the product I'm looking at is actually this automatic chicken water cup. In doing so, I can now filter out those keywords that don't have a lot of search volume associated. There's no right or wrong number for search volume. You can put in something that you feel is good for your niche. The next thing I'll do is input in a relative rank. I went ahead and added in three for minimum, and this is telling me that and this is basically saying that I'm at least number three amongst my competitors. Then go ahead and input in anything else you want and click apply filters. I actually added in a minimum for word count as well as the phrases containing chicken, because I was seeing some additional terms here.

Shivali Patel:

In doing so, I had a output of 38 filtered keywords and you guys can scroll all the way over to the right hand side and check out the relative rank. If you hover over the number for relative rank, it's actually going to showcase to you where you are stacked up next to your competitors as well as what ranking you are at. For example, for this particular keyword, which is automatic chicken watering system, you can see that our relative rank is position number six compared to our competitors. This means that your product ranks sixth in relative rank for this keyword, and this is the sort of thing that can help you identify keywords where competitors are ahead and make adjustments like increasing sponsored ad spend to improve your ranking, or adding that keyword to your title to rank a lot faster, to prepare for a day like Prime big deals day, or even just put in a CPR campaign into motion where you're selling those products at a discounted rate to rank. Happy sales, you guys.