Is AI the wildcard that will keep investors in Amazon’s orbit? [MDSR #33]

Hot Off The Presses 📰

Halloween is looking slightly more trick than treat this year, as even the mass market retailers get a head start on holiday price cuts to win over the 55% of households who are stressed about money. 

And although it was technically Amazon's biggest October event — with some sellers managing to grow their sales 42% YoY across the latest installment of Prime Big Deal Days — sales growth outside Amazon fell 5% compared to 2023. 

So much for the Amazon halo effect on the rest of eCommerce, right? 

Not so fast. Marketplace sales are still growing at a faster rate than first-party eCom sales, and that’s despite the 43% of gen Z shoppers who prefer to buy directly from brands. 

And with new consumer-centric updates — from 5 new visual search tools to help shoppers find what they’re looking for, to a new January 2025 return policy that will give sellers yet another short end of the stick —  we can all agree that Amazon knows a thing or two about getting people to buy stuff.

Or at least, they know that consumers hate paying for return shipping more than they hate jury duty or a trip to the DMV. 

And while our favorite eCom giant did see a rare analyst downgrade last week as key voices suggested that Amazon’s cloud computing strength won’t be enough to offset other profit margin threats, some experts say AI is the wild card that will keep investors in Amazon's orbit. 

On that front, it seems like Amazon’s working overtime to deliver (and stay ahead in the arms race against Walmart) with the arrival of a new AI tool to help drivers find packages faster and rumors of AI agents that are hell bent on doing the shopping for you — not to mention, their Rufus AI chatbot that’s trained to not engage with direct asks for dupes. 

On the brand side, comfort levels with new AI tools vary despite Google and Meta’s best efforts for a gen AI holiday ad push. But something tells us retail media adoption will soar once PayPal starts pitching advertisers on its trove of transaction data and the staggering audience size made of Paypal accounts. 

And it’s a similarly positive outlook for social commerce adoption as TikTok and Youtube continue to collapse the shopping journey with a seamless pipeline from in-app product discovery to conversion. 

That said, there’s a new metric on the horizon for sellers to worry about — channel exposure and product availability combine to establish a brand’s “Feedprint”, which may or may not be the key to unlocking omnichannel growth…

Million Dollar Advice 💸 

Nobody said entrepreneurship would be easy. But it can be especially challenging if you’re transitioning from a service-based business to a product-based brand. 

From spinning up effective customer service to keeping product quality high at scale, David Ghiyam is living proof that small beginnings can be the perfect foundation for a nearly billion-dollar brand.

Quick + easy Halloween marketing ideas 🎃

Whether or not consumers are planning to splash out on spooky purchases quite as much as last year, Halloween comes with plenty of opportunities for seasonal marketing tactics to help brands stay top of mind to score more sales. 

The best part is, you don’t have to go all out to make a big impact.

So, we put our heads together on some low hanging fruit offers and marketing ideas to help sellers in any niche make the most of this fun little holiday: 

☑️ Create a time-sensitive Halloween offer to promote via email and socials to generate site traffic and boost conversions

☑️ Add a Halloween pop-up banner to offer shoppers an extra treat like free shipping or a little gift with purchase when they land on-site 

☑️ Use social media remarketing and targeted emails to re-engage last year’s shoppers — who already know and trust your brand — with an offer for early access to your sale or promotion 

☑️ If it works with your brand, consider using a print-on-demand service to spin up some Halloween-themed products without having to invest in inventory   

☑️ Curate some best-selling products for a special Halloween bundle available for a limited time

☑️ Lean into the holiday spirit by doing some content marketing on organic social channels — go beyond a simple graphic to promote your Halloween offer, and try to shake up your usual content with an authentic touch like showing off your team’s Halloween costumes 

☑️ Organize a Halloween giveaway or contest to drive traffic to your site and engagement with your brand — sellers in the pet category might consider a pet costume contest, while sellers in the home and kitchen contest could do a Halloween recipe contest — in exchange for a free item or gift card

Think this is helpful?

MDS-recommended Event: AMZ Innovate 🤝

As far as eCom events worth joining, MDS can’t recommend AMZ Innovate enough. With some of our top members on the roster of speakers this year, this event will be one to remember — and we hope to see you there!

Please note MDS does not organize AMZ Innovate. In order to attend, please register via this event link and make the most of our MDS event discount below: 

MDS Discount Code: $150 Off with Code MDS

This conference will offer attendees:

• Innovative Hacks & Hands On Experience

• AMZ Innovate Welcome Happy Hour

• Never Before Seen Tactics Delivered By Industry Leading Amazon Experts. All Of Which Are At Least 7 Figure Sellers.

• Opportunities to Network With Multiple 7 & 8 Figure Sellers With Over 5 Billion In Revenue For 2022.

• Social Dinner - Conclude with dinner for those who would like to join.

• Invaluable Tips You Can't Learn Anywhere Else

Register now!

Join MDS for a cocktail reception at AMZ Innovate 🥂

Heading to AMZ Innovate this year? Join us for an invite-only cocktail reception for MDS members and eCom entrepreneurs.

📅 October 28th, 2024 from 6:00PM - 8:00PM

📍The Tippler, 425 W 15th Street, New York, NY 

This is the way to make meaningful connections with like minded sellers and be a part of the conversations that will make your time in New York even more valuable. 

If you want to participate, don’t forget to register through this page:

Can’t make this one? Make sure you catch us at MDS Inspire 2025 ⬇️

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I just know somebody out there needs to hear this 🙏

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]