[ BDSN ] 🤝🏽 Shocking truth about Amazon agencies

Tired of watching valuable customers disappear after a single purchase on Amazon?

Marketing Misfits Kevin King and Norm Farrar are unveiling something shocking this Thursday.

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⏰ TIME’s UP for TIKTOK - WHAT’s NEXT?

TikTok and TikTok Shop has been the shiny object a lot of sellers have been chasing lately. There’s no doubt it has changed social shopping and had a major impact on e-commerce, but as the chart below show it pales in comparison to Amazon as far as overall economic impact.

TikTok’s total US product sales for ALL of 2024 were less than Amazon’s on a single day: Black Friday ($10.8 billion ). TikTok did collect another estimated $12 billion in ad revenue in 2024.

Creators who made a living on it and sellers using it to push products will move on if it disappears, or may stick around if it morphs into something else.

Here is what you need to know what what is about to happen, or may happen:

Key Facts:

1. TikTok's Status in the U.S.:

   • TikTok is not shutting down entirely but may face restrictions, including no updates or downloads in the U.S. It will still work after January 19.

   • The Supreme Court heard arguments on January 10, showing skepticism toward a full ban but leaving room for regulatory actions.
     

2. Who Might Buy TikTok?

   • If ByteDance is forced to sell TikTok, potential buyers could include U.S.-based tech giants like Microsoft, Oracle, or private equity firms.

   • Analysts estimate a potential sale price of $40–$60 billion based on TikTok’s massive user base and ad revenue potential.
     

3. TikTok's Impact on Creators and Sellers:

   • TikTok Shop is a small but growing competitor to Amazon, with lower commission rates and higher engagement-driven sales.

   • U.S. creators and sellers are worried about payments if operations are disrupted. They should be fine.

   • Brand partnership contracts are shifting to accommodate uncertainties, with some creators opting for upfront payments.
     

4. TikTok’s Global Expansion:

   • Despite U.S. challenges, TikTok Shop is expanding in other markets. For example, Mexico will open TikTok Shop in February 2025, requiring a Mexican entity and offering 0% commission for the first 90 days.

5. ByteDance's Lemon8 Strategy:

• Lemon8, ByteDance’s sister app, is being promoted as a "refuge" for creators, using TikTok's algorithm for content discovery.

• Downloads spiked 150% in December, driven by U.S. users, as ByteDance subtly steers users toward this alternative.

• A ban would affect all ByteDance-owned apps, including Lemon8, not just TikTok.

The next few week will be pivotal for TikTok’s future, but ByteDance's continued innovation and global strategy suggest it’s not going down without a fight.

📃  NEW PRODUCT TITLE POLICY a WEEK AWAY 

Amazon's new product title policy, effective January 21, 2025, introduces significant changes to standardize listings and improve the shopping experience.

The key requirements are:

1. Character limit: Most product categories must have titles no longer than 200 characters, including spaces.

2. Special characters: The use of !, $, ?, _, {, }, ^, ¬, and ¦ is prohibited unless they are part of the brand name.

3. Word repetition: Titles may not contain the same word more than twice, with exceptions for prepositions, articles, and conjunctions.

What sellers need to do:

1. Review and update non-compliant titles before January 21, 2025.

2. Use the "Manage All Inventory" or "Review Listing Updates" tools in Seller Central to fix any issues.

3. Brand owners will receive correction suggestions and have 14 days to act before Amazon automatically updates titles.

Penalties and enforcement:

1. Non-compliant titles may lead to listing suppressions.

2. After the grace period, Amazon will automatically adjust non-compliant titles.

3. Listings will remain active during the update process, but sellers may lose control over their titles if they don't act promptly

🛠️ PACKAGING DESIGN MADE SUPER EASY

This is a really cool tool that generates stunning package designs and photography in seconds.

Once you’ve come with your dream design (after testing with PickFu or Productpinion of course!), they can connect you to packaging suppliers worldwide who can make your gorgeous creation for you.

🐍 CHINESE NEW YEAR 2025 SHUTDOWN TIMELINE

Chinese New Year Eve celebrations begin on January 28, so suppliers will begin slowing down or stopping production a week or so before. Ask your suppliers when their offices and factories will be closed throughout the holiday.

Below is a rule of thumb schedule for the Chinese New Year holiday:

• Mid-January: Suppliers will begin to stop production.

• End of January: Employees begin leaving the factories.

• January 28: All employees have left the factory.

• January 29: Chinese New Year.

• Early to mid-February: Employees begin arriving back at the factories.

• February 17: Most employees have returned.

• February 26: Operations are almost back to normal.

🤖 WALMART DEBUTS RUFUS-LIKE SEARCH on APP

Dream 100 member Vanessa Hung says Walmart has unveiled its new Rufus-like GenAI-powered search feature at CES 2025, now available for iOS users via the updated Walmart app.

Powered by OpenAI tech, Walmart aims to eliminate endless scrolling and searches, much like Amazon’s approach. For sellers, this highlights the growing importance of optimizing product listings for contextual relevance, as the AI prioritizes products that align with customer use cases.

Additionally, ads are integrated into the results, making it crucial for sellers to understand how AI-triggered advertising works to remain competitive.

The competition between retail giants is heating up, and sellers are advised to adapt quickly to this new AI-driven shopping landscape.

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🧮 CONVERSION RATE vs UNIT SESSION % on AMAZON

Amazon Conversion Rate and Unit Session Percentage (USP) are two essential metrics for evaluating the performance of your Amazon product listings.

Amazon Conversion Rate

Drivers of Conversion Rate:

• Listing Quality: High-quality images, clear descriptions, and A+ Content.

• Competitive Pricing: Price that appeals to the audience.

• Customer Reviews: Quantity and quality of reviews.

• Search Relevance: Properly optimized keywords.

Unit Session Percentage (USP)

Drivers of USP:

• Bundles: Offering kits or multi-packs.

• Volume Discounts: “Buy 2, Get 10% Off.”

• Product Type: Essentials or consumables that encourage bulk buying.

Key Differences

Example Scenarios to Compare

1. Low Conversion Rate, High USP:
   Fewer buyers, but those who purchase tend to buy in bulk.

   • Example: A wholesale product where only businesses are buying.

2. High Conversion Rate, Low USP:
   Many buyers, but each buys only one unit.

   • Example: A premium item, like a single-use gadget.

3. High Conversion Rate, High USP:
   Ideal scenario: Many customers buying in bulk.

   • Example: Household staples, like cleaning supplies in multi-packs.

Learn more and go into detail here

✌🏼 See you again Thursday …

The answer to today’s STUMP BEZOS is
Indonesia at $200/month has the lower average monthly labor cost