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Is Amazon a friend or a foe of small businesses?


According to recent statistics, Amazon accounts for nearly 38% of U.S. ecommerce sales. Hence, saying it's thriving is an understatement—it's dominating and reshaping the retail scene.

For big brands, selling on Amazon is a win-win for their growth strategy. But for 56% of small brand owners, Amazon is a threat to their success in the ecommerce arena.

❓ But what really is Amazon to small businesses?

A dependable friend?

In all fairness, the retail giant invests in programs that empower small businesses. After all, they account for 60% of sales on the platform. 🔥

Aside from this, Amazon serves as:

  • A reliable fulfillment partner that handles retail grunt work, such as shipping and product returns/exchanges;
  • An on-call customer service provider that offers centralized customer support; and
  • A bridge to a lot of customers200 million Prime members, to be exact.

Or a secret enemy?

Of course, the perks above come with a price. And ICYMI, Amazon plans to roll out updated seller fees in 2024.

Beyond these fees, there are also 'bullying' issues in the past, such as:

🧑‍⚖️ The verdict

While Amazon presents a lucrative business opportunity, its complex ecosystem creates a tough environment for small players to thrive independently.

So, before you decide to keep or start selling on the platform, ask yourself: Are you willing to face the hurdles in exchange for Amazon's unparalleled reach?


How to become an influencer-recommended brand

Did you know 82% of consumers are quickly smitten by micro-influencers' product recommendations? That's why many big brands are leveraging the charisma of these social media users to scale their businesses.

And you know who can find you the best influencer for your brand? Stack Influence!

👀 Who's Stack Influence?

They're the leading micro-influencer platform that connects brands with over 11 million micro-influencers. Trusted by big brands like P&G, Unilever, and Magic Spoon, they can help you:

  • Run managed campaigns;
  • Find micro-influencers who can provide authentic user-generated content;
  • Increase engagement and sales; and
  • Boost your brand's popularity!

Even better, you get to enjoy these perks at virtually no cost! Stack Influence lets you pay micro-influencers with products.

🚀 Ready to level up your brand?

Step into the world of influencer marketing without the hassle. Sign up with Stack Influence today!



Amazon sues 27 refund scammers

Last December 8, Amazon filed a lawsuit against 27 individuals who stole millions from Amazon's online stores through illicit refunds. The defendants are members of REKK, a group that runs a global refund fraud scheme.

🕵️‍♂️ According to the lawsuit:

  • REKK facilitated more than 100,000 fraudulent refunds from different retailers, including Amazon.
  • It promotes its services on social media sites like Reddit, Discord, and Telegram.
  • REKK operators use phishing attacks to manipulate the system and falsely log returns that never occurred.
  • The customers pay them part of the items' costs to get refunds while keeping the products they bought

What's even worse is that some Amazon employees were part of the scam, too! One was accused of accepting a $3,500 bribe for approving 76 returns worth over $100,000; another got $5,000 for approving 56 fake returns that cost over $75,000.

🛡️ Still NO place for fraud on Amazon

Dharmesh Mehta, Amazon's VP of Seller Partner Services, assured everyone that the company has strong prevention protocols against refund fraud. The lawsuit strongly conveys that Amazon doesn't have a 'holiday spirit' for scammers.

As sellers, you shouldn't have one, too! You should be on high alert this holiday season. Be extra careful who you talk to online to dodge fraudsters who want to steal the 'merry' from your Christmas.


3 things you need to launch your hero product

Hero products, a.k.a. your best-sellers or flagship items, can contribute up to 30% of your revenue. But how exactly do you launch and grow them?

🦸 A recent case study by The Business of Fashion listed 3 things that can help you build your hero product:

  • Quality control. Best-sellers come from a combination of good product quality and “rabid consumer loyalty.” Do note that to achieve the latter, you must consistently deliver high-quality items and be transparent in your marketing campaigns to avoid misleading claims. 
  • Timing. Business success doesn’t come overnight—it requires the perfect strategy at the perfect time. For this, you should take advantage of customer and market data to continuously improve your products and business strategies.
  • Calculated risks. Most business leaders advise taking high risks to get high rewards. But if you’re just starting out, the smart way is to take calculated ones. Better stay on the safe side first to practice your decision-making skills for bigger challenges in the future.

Bonus factor: Eagle-eye focus

If you’re thinking of overhauling multiple products at once to maximize your sales—don’t. Focus on only one flagship product to represent your brand. ICYDK, having undivided attention is the key to rising the tide that can lift all your offerings. 🌊

Author : SellerBites
Faith began working on SellerBites in 2021, a weekly newsletter that provides sellers with the latest news and updates in FBA. With first-hand experience in managing various seller and vendor accounts, she understands what sellers face on this platform. Her background led to the conception of SellerBites, which main goal is to help people become better, more informed entrepreneurs in the Amazon marketplace.
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