Contrary to circulating reports, Amazon clarified that they are not abandoning their private labels. Although it's evident that some slow-moving items were slashed, all of Amazon Basics and other of their private label brands' best-sellers are still available.
Slashing private label items was an action resulting from David Clark's business review. This situation led Amazon to focus on its best-selling commodity goods rather than offer an extensive range of items.
Marketplace Pulse's research showed that Amazon hasn't gotten rid of any successful private label brands or products. For the past two years, Amazon still has the same number of best sellers on its list. For example, Amazon Basics has 1,350 best sellers today, almost identical to their numbers in 2020 and 2021.
Although they haven't slashed anything yet, they are trimming failed products from their inventories, a typical practice for retailers to reduce costs.
According to Amazon, the recently concluded Prime Day 2022 was the "Biggest Prime Day Event Ever" despite the inflation and challenging economic environment both sellers and buyers face.
What the data is saying:
Two defendants joined the federal prosecutors requesting the delay of the criminal trial they were in. This is related to the charges concerning bribing Amazon employees to guarantee an unfair competitive advantage worth more than $100 million.
The grounds for postponement request
The trial was originally scheduled for October 24, 2022, but both parties are asking to move it to February 21, 2023. Some reasons for this request include the overwhelming amount of discovery, the complexity of the case, and possible special accommodations needed for the personal information and sensitive materials found on the evidence.
In September 2020, this indictment charged six people:
This case involved a massive amount of discovery which resulted in over 200,000 pages of reports, financial records, warrants, and other materials produced by the government. Additionally, the investigation included searches of over 50 email and cloud storage accounts and seizure of over 75 electronic devices.
But a plea deal for the remaining defendants might be possible. This is because the defense counsel required more time to review the evidence with their clients, conduct follow-up investigations, and consult with experts to provide effective representation.
With this possibility, Amazon would be among those relieved to avoid a trial. Nevertheless, the government planned to call Amazon representatives and other online service providers to testify during the trial, which could last several weeks.
A Reddit user shared in a previous post how user-generated content (UGC) used as creatives for Amazon video ads helped increase their client's sales. Other sellers were quick to follow suit, asking for details on how to collect affordable UGC.
Use of creator aggregators
One strategy they mentioned used creator aggregators or middlemen sites, like Billo or Trend.io, where advertisers pay $100 to $150 per piece. While these tools have been helpful for many sellers, keep in mind that you may receive content requiring several revisions/customizations. These tools only act as intermediaries; you cannot directly contact the creators, which could potentially interfere with your timelines.
Work with UGC agencies.
Another option is to pay a fixed monthly fee from top-tier UGC agencies, like Konstant Kreative or Creative Milkshake. These agencies deliver high-quality content in a more reasonable timeframe, so you get what you pay for. If you have a limited budget, consider running a campaign exchanging free products for UGC content.
Use Twitter to look for better prices
OP suggested that other sellers and marketers use Twitter to look for newbies or small-time creators who actively post and promote their services. On their profile, you can find their email address, a link to their bio, a portfolio of previous works, and pricing, which typically ranges from $100 to $300.
Because of their eagerness and hunger for work, they can create high-quality videos, which you could also find on TikTok accounts or portfolios. As a seller, you can maximize their skills and efforts to reap the benefits of UGC.