Amazon talked about the ban storm again, emphasizing the encouragement of Chinese sellers to develop branding

Wen 丨 "Late Finance" Lin Guangying

Amazon China held a 2022 strategy meeting in Shanghai on the 11th with the theme of "Global Selling", emphasizing its hope to help "Chinese sellers build global brands", while also recalling last year's suspension storm, saying that the blocked accounts repeatedly violated the rules and ignored the platform warnings. Amazon says similar compliance management won't stop. There is no further explanation of the details of the deduction after the merchant's account is suspended, the progress of the refund, etc.

According to Marketplace Pulse data, in September 2021, the proportion of Chinese sellers in Amazon's top merchants fell to 38%, slightly lower than the 40% before the compliance storm at the beginning of the year. According to the data of early 2021, 75% of new sellers are from China.

Chinese sellers and amazon platforms have always been in a "mutually beneficial" relationship. In the past, it may have been a "low-price explosion", but now Amazon's more urgent need may be "branding + emerging markets" to cope with challenges from different types of e-commerce such as Shopee, Shopify, SHEIN and so on. Therefore, whether it is a compliance adjustment or a brand upgrade, Chinese sellers will be Amazon's number one "target".

For compliance, Amazon says:

The platform has stricter compliance requirements, and the investment threshold has not changed:

The compliance adjustment has no impact on the overall Chinese sellers, and in the past year, the number of new sellers in China has maintained double-digit growth, with the number of sellers with sales of more than $1 million increasing by more than 50% year-on-year, and the number of sellers with sales of more than $1 million for the first time increasing by more than 20% year-on-year;

The relevant compliance management will not stop, it will continue.

For promoting Chinese sellers to sell goods on Amazon overseas sites:

Still vigorously attracting Chinese sellers, the new direction is branding and emerging markets;

Encourage Chinese sellers to build brands, shift from low-priced explosive models to differentiated innovation, support the development of sellers who pursue long-term development and serve users first; believe that the core advantages of Chinese sellers are agile marketing and agile manufacturing, which can provide users with corresponding goods faster;

Encourage Chinese sellers to enter emerging markets, such as the Middle East, Singapore, India, etc.; emphasize that although emerging markets are smaller, multi-site operations can help sellers resist the uncertain risks of the external environment and improve the global competitiveness of products;

Amazon will launch 100 analysis tools and services, set up localization teams in more than 10 cities such as Beijing, Shanghai, Shenzhen, Hangzhou, Nanjing, Qingdao, etc., and set up the first seller training center in the Asia-Pacific region in Hangzhou;

It also cooperates with local governments, such as signing a memorandum of cooperation with the Jiangsu Provincial Government, one is to help enterprises transform exports, the other is to introduce advantageous enterprises and form industrial clusters, and the third is to continue to invest in local teams.