☠RIP Amazon Resellers 📉
What a brutal week for resellers on Amazon! I get a ton of heat for reminding my audience that if they're not building their own brand, they are dying a slow death.
Let me be crystal clear. Reselling on Amazon is a glorified garage sale and that's being nice.
You have no control of the listings, no idea if Amazon will crush you the next day, and zero exit potential. I think the model is good for building up initial startup capital but that's about it.
So, what happened? More like what DIDN'T happen!?
1. Amazon slammed the hammer on resellers of Lego products through increased restrictions.
Many got a notice from Amazon that all of their Lego listings would be removed and blocked from selling any and all Lego products. This came as a huge blow as some sellers invested hundreds of thousands of dollars in Lego for Q4. eBay to the rescue?
2. Ugly bundles are out!
No more combining random products from different companies. that game is up. Starting October 14, only manufacturer-created bundles will be allowed. This means that sellers can no longer mix and match products from different brands or offer custom bundles under a generic or their own brand.
I applaud this move by Amazon as search results were getting pretty ridiculously ugly in the grocery, pet, and beauty categories. The race to stay compliant is on! You have until "late Q4 2024" to comply and Amazon will give you 30 days’ notice through email and the Account Health dashboard when they identify non-compliant bundles that are scheduled to be suppressed.
💡 Stop chasing easy money and rip the bandaid off. It's time to focus 100% of your attention on building your omnichannel brand. It's time to put your big boy pants on and never look back.
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P.S.
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