74% of brands say Amazon is table stakes for holiday sales 🤑 [MDSR #34]

Hot Off The Presses 📰

Misaligned economic sentiment and consumer behavior make for mixed signals in the holiday shopping forecast this year.

While nearly 4 in 10 parents expect to go deeper into debt over their kids’ Christmas lists, the ‘underconsumption core’ trend continues to proliferate. And new research from Deloitte predicts spending on traditional gifts to flatten as 16% more consumers YoY plan to prioritize giftable experiences this year. 

Not to mention, sellers shouldn’t hold their breath for any big ticket purchases until after the election. 

That said, a few things are certain in this climate: More brands are seeing Amazon as an important holiday sales driver this year (74%) than they did last year (48%) — and sellers who didn’t heed the holiday deadlines to get products into their fulfillment network are almost certainly looking at delays thanks to Amazon’s West Coast capacity constraints.   

But unless Santa decides to give us the early holiday gift of a crystal ball, the best thing sellers can do right now is make the most of new seller-friendly developments like better Amazon Ad solutions and tools for streamlining sales, shipping, and returns — plus, make sure any bundled listings are compliant with the new policy update — and try to pad their finances for holiday shipping increases in preparation for potential disruptions to peak shopping season cashflow.

On that front, some brands are focusing on out-of-home direct mail and print marketing to avoid higher digital ad rates leading up to the holidays and the election — but 69% of eCom decision-makers are still planning to double down on social media advertising to drive holiday sales. 

And though some brands are striving to offer value (think: convenience, rewards, product longevity, and enriching experiences) over low prices, Target is slashing another 2,000 prices for a total of 10,000 discounted items this year — as Amazon unveils the brandless commerce requirements for its forthcoming Low-Cost Store in the background. 

A digital dollar store selling the same goods shoppers have been buying from Amazon for years for less might not heal consumers’ trust issues — but the FTC rule banning fake reviews officially going into effect last week probably can. 

Holiday gold rush aside, remember that eCommerce success is a long game. And being an ethical Amazon seller is a better way to win. 

Million Dollar Advice 💸 

If this is how you’re thinking about pricing your next product launch —

I don’t need to think too much about my competitor’s pricing as long as my product costs a little bit less — I can always change my pricing after launch if I have to… 

Then you need to hear Ian Page’s wisdom on the danger of backpedaling, and why pricing, value, and quality are paramount to your next launch strategy.

2024 Amazon Seller Insights 💰

There’s never a dull moment in the world of Amazon — which is now made up of around 9.7 million sellers, by the way. 

According to the latest insights from Tech Business News, competition is fierce with nearly 60% of sales on the marketplace come from third-party sellers, but only 10% achieve yearly earnings over $100,000.

Here’s a short list of all the stats you should know:

• Market Growth: The global eCom market is projected to reach $6.4 trillion in 2024, with Amazon leading as a significant player.

• Revenue Analysis: Sellers saw an average revenue increase of 20% YoY, emphasizing the importance of leveraging Amazon’s marketing tools.

• Advertising Trends: Nearly 70% of sellers are investing more in Amazon Ads, with Sponsored Products driving higher visibility and sales.

• Sustainability Focus: Consumers are increasingly prioritizing sustainability, prompting sellers to adopt eco-friendly practices, which can enhance brand loyalty.

• Customer Experience: Enhancing customer service and utilizing AI for personalized experiences are critical for retaining buyers.

• International Expansion: 40% of sellers plan to expand into new markets, highlighting the need for localization strategies.

Key Takeaway: Navigating the Amazon marketplace requires a mix of time, financial investment, and strategic marketing. With over 48% of sellers leveraging AI tools, the future looks promising for those who adapt and innovate.

Get all the stats here

Think these takeaways are helpful? Feel free to pass ‘em along 🙂 

Write copy that rips ✍️

Copywriting is the secret ingredient to a company's success — and the fine folks at Snickers might even say it’s what defines your brand. 

Great copy sticks in your mind and resonates on a deeper level over time when it’s done right. In this masterclass with David Ferrell and Harry Dry, you'll compare ads that worked with ads that didn’t to learn how to craft copy that captivates and converts.

Here are 3 takeaways that stuck with us: 

1. Concrete, visual language stands out. For example, “The sun is shining and there isn’t a cloud in the bright blue sky,” resonates more with readers than “It’s a nice day out.”

2. Shoot for simplicity and specificity over the abstract to make your writing more memorable. In practice, saying “she reads on the train,” is better than “she is intelligent” because it paints a more tangible and detailed picture. 

3. The 3 rules of good copy are striving for all yeses when you ask yourself, “Can I visualize it?”, “Can I falsify it?”, “Can anyone else say this?” — for example, New Balance’s “worn by supermodels in London and dads in Ohio.” Who else can say that?

eCom Stock Watch 📊

We’re doing this a little differently now — click here or on the table below to view real-time data at full size.

MDS in the wild 🐾

What an incredible time we had at the MDS Denver Summit 2024 — the people. The community. The energy 🔥 

We came together to exchange ideas, build connections, and feel a renewed sense of inspiration. It was a powerful boost for everyone.

Huge thanks to our awesome community, members, and guests who made this year's event into such a success.

Interested in joining in the fun? Look no further than MDS Inspire 2025 — the biggest MDS event open to members and non-members alike. 

Did you see that post 📲

Don’t be afraid of the discount. The discount is your friend…

Until Next Time ✌️

As always, thanks for sticking with us until the end. 

If you’d care to share your thoughts on this newsletter, we’re all ears. Just hit reply to sound off. 

See you next time with more of the latest and greatest content you need to succeed this year 🔥

Sincerely, 

Looking for a mastermind community?

Million Dollar Sellers (MDS) is an exclusive community of 650+ like-minded Amazon and DTC sellers from all over the world. Collectively, our members generate more than 8 billion in annual sales and dominate some of the biggest categories on Amazon. MDS offers world-class events, chapters, industry discounts, resource libraries full of SOPs, templates, and video recordings of private trainings, workshops, events and so much more.

If you are looking for a business professional community made for ecom entrepreneurs, then consider applying today. 

*To qualify, you must be a full-time seller or brand owner and do at least 1 million in verified annual revenue. Will Amazon’s Returnless Resolutions solve the returns debacle? [MDSR #30]