[ BDSN ] 🤖 Amazon Inspire is Gone: Rufus Takes Over

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STUMP BEZOS

Shopify has 875 million unique shopper buying from its merchants. What percentage share of the US e-com market does Shopify hold?

[ Answer at bottom of email ]

🤖 AMAZON’S INSPIRE FIZZLES OUT, RUFUS TAKES OVER

For years, Amazon had been quietly experimenting with Inspire, its TikTok-style shopping feed that was meant to revolutionize product discovery. The idea was simple: swipe, watch, buy.

It was Amazon’s big bet on social commerce, an attempt to capture the impulse-buying behavior that made TikTok Shop and Instagram Reels so lucrative.

But as of this late last week, Inspire is gone. No announcement. No farewell. Just … gone.

What happened?

Amazon’s decision to shutter Inspire suggests one thing: it didn’t work. Despite its flashy, vertical video format, the feed failed to drive the kind of conversions Amazon expected.

Shoppers weren’t coming to Amazon for mindless scrolling—they were coming with intent. Unlike TikTok, where users might be convinced to buy a trending gadget while watching dance challenges, Amazon users log in already knowing what they want. Inspire, in the end, was an awkward fit.

Instead of doubling down on social commerce, Amazon is pivoting hard into AI-driven product discovery. And at the center of that strategy is Rufus, Amazon’s AI shopping assistant.

Why is Amazon betting on Rufus?

Unlike Inspire, which tried to mimic TikTok’s viral discovery model, Rufus takes a different approach. It’s built into the Amazon app, using AI to act as a personalized shopping guide. The data suggests it’s already outperforming Inspire in helping customers find what they need.

Here’s why Rufus is shaking up the Amazon playbook:

  • Beyond Keywords: For years, Amazon search revolved around keywords, rankings, and badges like “Best Seller” and “Amazon’s Choice.” Rufus changes that by factoring in broader signals—including reviews, brand websites, and even internet presence—to recommend products.

  • A New Discovery Model: Unlike Inspire’s passive browsing, Rufus proactively suggests products based on past purchases, search history, and even price sensitivity.

  • The End of Traditional Rankings? Early testing suggests that Rufus prioritizes personalization over traditional ranking factors. That means big review counts and high keyword relevance may no longer be enough.

For brands, this shift could be huge. Selling on Amazon has long been a game of SEO-style optimization—winning the keyword algorithm, getting the right reviews, and securing the best rankings. But now, if Rufus becomes the primary driver of product discovery, sellers will have to rethink their entire strategy.

What does this mean for brands and influencers?

  1. Social commerce on Amazon isn’t dead, but it’s evolving. While Inspire is gone, Amazon still values content—especially video reviews and influencer recommendations. Those elements will likely integrate into Rufus’s recommendations rather than living in a separate feed.

  2. Rufus favors well-branded, content-rich products. If Amazon’s AI is pulling in signals beyond the marketplace, brands with a strong internet presence and high-quality content could gain an edge.

  3. Traditional Amazon rankings may become less relevant. If Rufus overrides traditional keyword-based search results, brands will need to optimize for AI-driven recommendations rather than the old-school search algorithm.

The bottom line: Amazon is all-in on AI, and the shutdown of Inspire is just another sign that the future of shopping is shifting away from traditional ranking and toward AI-driven, hyper-personalized discovery.

Inspire was a fleeting experiment. Rufus, on the other hand, might just be Amazon’s next big thing.

The Amazon AI Product Discovery Matrix

 A massive shift is happening on Amazon.

And it's about to make most products unsearchable.

AI shopping assistants like Rufus aren't just reading your keywords anymore.

They're analyzing your listings through an entirely new "discovery matrix."

One that most sellers don't even know exists.

Products that don't speak this new "AI language" are becoming invisible.

But help is on the way a webinar I am co-hosting with Amy Wees this Wednesday, Feb 19.

This Wednesday you'll discover:
• The VLT framework that AI agents use to evaluate products
• Why traditional optimization is now working against you
• How to make your listings visible in this new paradigm

Plus how to …
• Optimize specifically for Rufus
• Align with Alexa's new shopping brain
• Future-proof for upcoming AI agents

Register Now: The New World Order In Product Discovery

🌎 INTERESTING STATS 

🔭 RUFUS is X-RAYING YOUR PRODUCT IMAGE STACK

Andrew Bell says Amazon Rufus has been enhancing the shopping experience by integrating Optical Character Recognition (OCR) and image-based interactions into its conversational AI system.

1️⃣ Extracting Text from Images – Rufus scans product images, including lifestyle photos, packaging, and infographics, using OCR to pull out essential details like specifications, instructions, and key benefits that may not be in the text description.

2️⃣ Embedding Product Images in Chat – Instead of relying solely on text, Rufus integrates product images directly into conversations, allowing users to see what they’re discussing in real time.

3️⃣ Contextualizing Product Information – By analyzing both image content and extracted text, Rufus provides deeper insights into product features, helping shoppers make more informed decisions.

ProductPinion has a tool called ImageChek that lets you quickly check how Rufus might interpret your images.

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🛍️ AI SHOPPING AGENTS: NEXT BIG SHIFT for SELLERS

The Rise of AI Shopping Assistants

OpenAI's new Operator AI shopping agent is set to disrupt retail in a way similar to how Amazon transformed e-commerce says Kiri Masters


Instead of shoppers manually searching for products on retailer websites or marketplaces, AI agents will handle the entire purchasing process—comparing prices, checking stock, and placing orders based on personal preferences.

For routine purchases like groceries, household goods, and personal care, consumers may never visit a traditional retail site again. Instead, they will rely on AI to make optimized decisions, potentially bypassing Amazon’s search and sponsored ad system.

How This Impacts Amazon Sellers

Retail media—the billion-dollar industry built on paid placements and ads—could become obsolete for these types of transactions. If an AI agent controls purchasing decisions, the focus shifts from getting a human shopper’s attention to ensuring AI algorithms prioritize your products.

  • Amazon SEO Will Evolve – Instead of optimizing for human-driven search, brands will need to ensure their products are AI-preferred through structured data, competitive pricing, and quality signals.

  • Advertising May Shift – Sponsored ads may become less effective as AI bypasses them. The future might involve paying AI platforms for premium recommendations rather than Amazon PPC.

  • New "Digital Shelf Wars" – Just as brands once resisted selling on Amazon but later had to adapt, companies might initially push back against AI shopping agents but eventually find themselves paying for visibility within AI-driven ecosystems.

What Sellers Should Do Now

  1. Prepare for Algorithmic Optimization – AI shopping agents will prioritize products based on pricing, availability, and data quality. Ensuring your listings are well-structured and competitive will be key.

  2. Leverage Brand Loyalty – If AI systems factor in consumer preferences, strong brand affinity (e.g., subscriptions, loyalty programs) could become a major advantage.

  3. Diversify Beyond Traditional Ads – Explore AI-friendly marketing strategies, such as ensuring product feeds are structured correctly for AI-driven marketplaces.

Much like the shift to Amazon's marketplace in the 2000s, this next evolution in shopping is inevitable. The sellers who adapt early will have a major advantage.

😱 HOW to FIND NEW PRODUCT OPPORTUNITIES

Here’s a cool way to use Helium 10's Black Box Brand Analytics to identify product opportunities by analyzing keywords with high demand but poor conversion rates.

Here's how it works: 

Say a bamboo product manufacturer wants to expand their product line within the bamboo niche. Use Black Box Brand Analytics to search for keywords containing "bamboo."

The search yielded 2,183 keywords. To focus on keywords where the top three clicked products have a high click share, input a minimum of something like 50% for ABA Top 3 ASINs Total Click Share and combine it with a low conversion share (less than 20% of sales) to indicate people are clicking the products but not purchasing them.

In doing so, Brand Analytics will reveal click and conversion shares for the top products. If products have high click shares but significantly lower sales, it suggests unmet customer needs or dissatisfaction with current options.

As an example, below - "no tools bamboo shades" has high click rates but no conversions, meaning customers are interested in the category but are not finding suitable products.

Filtering by these criteria narrowed 2,183 keywords down to 215 actionable opportunities. These keywords reveal potential gaps in the market for new product offerings.

This technique can help you identify underserved markets, giving you a unique way to find product opportunities that most other users likely haven’t explored.

Go give this a try!

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📛  ANOTHER WAY to FIND the NEXT BIG NICHE on AMAZON

Matt Tudor spent TWO MONTHS searching for his first product.

Then he discovered something strange ...

A hidden database of 120,000 rising search terms that completely transformed his research process.

He found THREE profitable product opportunities in a single weekend.

One supplements sellers is even using this to beat Chinese sellers to market ... launching products while others are still waiting for samples.

🎈 JOIN BDSS at MDS INSPIRE NEXT MONTH!

I got BDSN readers hooked up with a complimentary networking pass to MDS Inspire right before The Prosper Show next month. BDSS will be exhibiting, so come say hello!

🔥 MORE HOT PICKS 🔥

🥃 PARTING SHOT

“Sometimes the best way to grow big is to start small. It’s not the biggest fish that wins—it’s the smartest.”

✌🏼 See you again Thursday …

The answer to today’s STUMP BEZOS is
Shopify has 12% of the US e-commerce market share