9 things #Amazon vendors are wrongly afraid of 👇 1- Cost Price Increases Amazon
By Martin Heubel · May 16, 2026 · Curated by George's Blog
9 things #Amazon vendors are wrongly afraid of 👇
1- Cost Price Increases
Amazon won't like conversations about cost increases, but Vendor Managers will accept them if your ASP has grown in the last 3-6 months. If your VM uses delaying tactics, consider pausing POs.
2- Amazon's Price Algorithm
Many brands assume that listing products on Amazon automatically leads to price erosion. But Amazon really just acts as the mirror of your distribution strategy. Amazon's price followership allows you to identify and close any leaks in your distribution setup, which leads to higher margins long-term.
3- Delisting Assortment
Amazon's business model is designed to favour its own margins, not yours. If you keep selling products that don't return a profit, consider delisting them. Removing products is also an effective negotiation lever with Vendor Managers.
4- AVS Service Quality
If AVS does not meet expectations, raise your concerns early and often. You don't need to wait for your next QBR or annual negotiation. Instead, ask to speak to an AVS Team Lead or your Vendor Manager. It's their job to ensure you're satisfied with the service and continue to invest.
5- Automation & Offshoring
Today, 1P brands have to own more processes than ever before. This gives you more control over achieving your targets with Amazon. Use this control to automate repetitive tasks and re-focus on strategic topics.
6- Exclusive Assortment
Vendors often avoid launching channel-exclusive selection because of the upfront development cost. However, they forget about the opportunity cost of inaction: paying for matching compensation, cost support agreements, etc. Make sure you add channel-exclusive items to your NPD pipeline with Amazon.
7- Annual Negotiations
Many vendor teams fear the annual negotiation process. It's transactional and often leads to sales interruptions with the online retailer. But it allows you to renegotiate your investments and improve your supply chain setup. Preparing for these commercial discussions early is critical to unlocking long-term value.
8- Quarterly Business Reviews (QBRs)
QBRs are an effective way to discuss the state of your business and allow you to raise any concerns about the performance of your account. Vendors who have QBRs in place tend to outperform their category peers.
9- Leadership Escalations
Many vendors view leadership escalations as a sign of weakness. But the opposite is true. If negotiations are stuck, the best way to reset the business relationship is to bring neutral stakeholders to the discussion. This also allows you to leave your Vendor Manager's short-term margin focus behind.
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What else would you add?
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#amazonvendor #amazonstrategy