Amazon Digest - 08.10.25

I try to balance these emails between topic-focused perspectives and a digest of relevant Amazon news and updates.
Today’s edition leans toward the latter: a roundup of changes I think are worth your time.

And if you have a strong preference for certain topics or formats, I’d love to hear your feedback!

Amazon Ending FBA Prep & Labeling Services

Starting January 1, 2026, Amazon will no longer provide any prep or item-labeling services for U.S. FBA shipments- including inventory sent via AWD, AGL, Amazon SEND, or the Supply Chain Portal.

Shipments arriving after Jan 1st, 2026 date must arrive fully FBA-ready; units missing prep or labels won’t be reimbursed if lost or damaged.

Why the change?
Amazon launched these services in the early FBA days to help sellers get started. But usage has dropped, most brands now handle prep themselves. And Amazon, being in a full optimization phase is cutting any service that could inhibit its core value to customers - speed and spread of fulfillment network.

Who should pay attention:

• Brands without, or not eligible for FBA UPC/manufacturer code → Will need to set up in-house prep or work with a 3PL to avoid rejections or unprotected inventory.

• High-volume/omnichannel CPG brands → Must manage compliance-heavy prep for bundles, kits, fragile (glass), liquids, or expiration labeling.

• Brands using global Amazon logistics → Even with AGL or AWD, all products must arrive FBA-ready.

This news may be a small windfall for 3PLs. If you currently use Amazon labeling services for FBA, recommend to either build or outsource that before the deadline.

New Amazon Fee Explainer Tool

Amazon has launched a Fee Explainer to help sellers see exactly how charges are calculated on their account. It can be access via Payments → Transaction View

For each fee type, you’ll now get:

• A more clear definition (hesitant to say fully clear, it’s a lot more clear though)

• The attributes/variables that apply

• The calculation that determined the amount

Currently covered fees include:
Subscription, referral, variable closing, fixed closing, refund administration, customer return, high-return rate processing, removal, and disposal.
More fee types will be added later this year.

Why it matters:
More transparency into how (and why) Amazon charges what it does is key for CPG brands to understand its Amazon P&L, and see opportunities to lower or avoid fees

Get Vine Reviews Before Launch

It’s as much of a pre-launch party as it can get on Amazon!

Amazon now lets you collect authentic reviews before your product goes live by enrolling your FBA products in the Vine program right after creating the listing.

How it works:

• Vine Voices reviewers can receive and review your product pre-launch

• You can launch with up to 30 genuine customer reviews on day one

• In essence, it’s still a Vine program but with a valuable pre-live opportunity to get reviews

Why it matters:
If you’ve ever launched a product on Amazon, you know how much work it is to get traction in the beginning. This gives a stronger baseline to your launched product success when it becomes available for sale. Positive, credible reviews at launch accelerate ranking, and basically shorten the “cold start” period for new products.

New Comparative Insights in Business Reports

Amazon’s Detail Page Sales & Traffic by Child Item report now makes it easier to see how your product stacks up against competitors in your category.

What you can see now:

• Compare engagement, traffic, and sales against:
  - Top 10 ASINs
  - 25th, 50th, and 75th percentile ASINs

• Analyze key metrics like Ordered Product Sales, Total Orders, Page Views, Unit Session % (CVR), and Average Selling Price

• Spot patterns (ex. high traffic but low CVR) that explain performance gaps

Why it matters:
This data turns gut feelings into data-backed stories, helping you identify whether issues stem from pricing, conversion, positioning, or product-market fit. You can also use this to build reasonable, data-backed goals, vs. arbitrary numbers based on potential.

Saludos,

Irina