UPS to Cut Amazon Shipments by 50%: What It Means for Sellers

Welcome to our weekly newsletter, Hunter's Insights!

In this special edition, we bring you essential Amazon updates and industry insights to keep you ahead in the fast-paced world of e-commerce:

🌐 New Off-Amazon Placement Options for Sponsored Products

📦 UPS to Cut Amazon Shipments by 50%: What It Means for Sellers

👥 Amazon Tests New “Customers Mention” Widget in Search Results

🆕 Amazon Streamlines Listings with New Auto-Fill Feature

🤖 Amazon Introduces AI-Generated Insights in Business Reports

↩️ Amazon Introduces “Lower Return Rate” Badge – What It Means for Sellers

⛔ Amazon Policy Update: Editing Certain Listing Attributes is Restricted

🌐 New Off-Amazon Placement Options for Sponsored Products

Amazon Ads has introduced new ad placement settings for Sponsored Products (SP) campaigns, allowing advertisers to control how their ads appear on external websites. These options can be found in the Campaign Settings tab.

Key Updates:

• Maximize Reach (Default): This setting expands reach by increasing impressions and visibility on external sites.

• Minimize Spend: This option focuses on cost control by reducing ad frequency and optimizing budget allocation.

• Higher Exposure vs. Lower Cost: Advertisers can choose between gaining visibility or maintaining a more controlled spending approach.

• Default Setting Alert: The Maximize Reach option is applied automatically, so sellers should review their campaign settings.

Since Maximize Reach is the default setting for existing campaigns, advertisers are encouraged to review their settings to ensure they align with their goals. Those prioritizing brand awareness may benefit from this option, while those focused on cost efficiency should consider switching to Minimize Spend.

📦 UPS to Cut Amazon Shipments by 50%: What It Means for Sellers

UPS has announced plans to reduce its shipping volume for Amazon by 50% by 2026, which means stepping away from millions of packages. This decision reflects a strategic shift towards higher-margin shipments and long-term profitability, rather than simply handling large order volumes.

What Sellers Need to Know:

• More sales don’t always mean higher profits: High-volume, low-margin strategies can be unsustainable.

• Rising costs impact profitability: Shipping, ads, and returns can eat into profits if not optimized.

• Amazon is expanding its logistics network: The company is reducing reliance on third-party carriers and refining its fulfillment model.

This shift indicates a broader trend in e-commerce: prioritizing efficiency and profitability over sheer scale. Sellers who optimize fulfillment processes and maintain healthy profit margins will be better positioned for long-term success.

👥 Amazon Tests New “Customers Mention” Widget in Search Results

Amazon is currently testing a new feature in search results called “Customers Mention,” which highlights key product features based on positive customer reviews. This feature is visible only in Incognito mode and offers shoppers quick insights into what other buyers value most about a product.

Key Takeaways:

• Feature highlights: Shows commonly praised aspects from customer reviews.

• Search result placement: Appears directly in the SERP for quick insights.

• Limited visibility: Currently in testing and only visible in Incognito mode.

This feature could significantly impact conversion rates for sellers. To prepare for a potential wide rollout, sellers should focus on optimizing their product listings and encouraging satisfied customers to leave detailed reviews.

🆕 Amazon Streamlines Listings with New Auto-Fill Feature

Amazon has released an update to simplify the product listing process. When you list a new product in a category you already sell, Amazon's system will automatically pre-fill relevant attributes for you.

Key points:

• Auto-filled Attributes: This feature reduces manual data entry, saving sellers' time.

• Accuracy Check: Prefilled attributes, highlighted in light yellow, should be reviewed carefully to avoid listing errors.

• Efficiency Boost: The update enables faster listings, allowing you to focus on growing your business.

This update is particularly beneficial for sellers managing multiple SKUs. However, it remains essential to verify the accuracy of each attribute to prevent potential issues.

🤖 Amazon Introduces AI-Generated Insights in Business Reports

Amazon continues to incorporate AI into Seller Central, and its latest feature is an AI-generated summary in Business Reports. This new tool offers sellers instant insights into their sales, traffic, and performance trends - eliminating the need for manual analysis of raw data.

Key Updates:

• Automated Performance Summary: AI generates a concise overview of key sales metrics.

• Year-over-Year Comparisons: It highlights percentage changes in revenue, units sold, and traffic.

• Actionable Business Insights: This feature helps sellers quickly assess their strengths and weaknesses.

This AI-driven enhancement is a significant step toward automated business management within Seller Central. As Amazon expands its AI capabilities, sellers can anticipate more intelligent insights, and possibly even a real-time AI assistant to help optimize performance.

↩️ Amazon Introduces “Lower Return Rate” Badge – What It Means for Sellers

Amazon has quietly introduced a new badge on product listings highlighting items with lower return rates. Labels such as "Customers usually keep this item" and "This product has fewer returns than average" could significantly impact conversion rates.

Key takeaways:

• Return rates as a selling point: Listings with this badge appear more trustworthy to customers, making them more likely to complete a purchase.

• Competitive advantage: If a competitor's product has the badge and yours does not, their item may appear to be a safer choice.

• Focus on long-term customer retention: High return rates could negatively affect your product's visibility and sales. Therefore, it's crucial to ensure accurate product descriptions and high levels of customer satisfaction.

This update shifts the emphasis from simply making a sale to ensuring that customers are satisfied enough to keep the product. It also raises questions about whether return rates might impact search rankings in the future.

⛔ Amazon Policy Update: Editing Certain Listing Attributes is Restricted

Amazon has reinforced its policy regarding locked attributes, which prevents sellers from modifying certain key details after a listing has been created. This policy can affect how brands manage their product listings and make necessary corrections.

Here’s what you need to know:

• Locked Attributes: Certain attributes—such as size, color, or unit count—cannot be changed once the listing is live.

• Brand Owner Restriction: Even if you are the registered brand owner, these locked attributes remain uneditable.

• Only Solution: The only way to modify these attributes is to delete the existing listing and recreate it from scratch.

• Sales and Reviews Protection: While the listing is removed, the product reviews and sales history associated with the ASIN will remain intact. 

This policy ensures consistency across Amazon listings, but it can be frustrating for sellers who need to make even minor adjustments. To avoid disruptions, it's crucial to double-check all attribute details before finalizing your product listings.

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