SmartScout's Voice of the Amazon Seller 2025: Rising Costs, Competition, and Uncertain Profitability

New Survey Uncovers Key Trends and Challenges for Amazon Sellers in a Shifting Marketplace

SmartScout, the leading eCommerce analytics software suite, today released “Voice of the Amazon Seller Report,” which reveals a changing landscape for Amazon sellers, as rising fulfillment fees, increased competition, and growing concerns over account suspensions reshape the marketplace.

The report, based on a survey of 325 sellers across all business sizes, highlights how profitability pressures and policy changes are impacting Amazon entrepreneurs.

Below is a snippet of the survey’s findings

• Profitability Pressures Mount – Over 50% of sellers reported being less profitable in 2024, squeezed both by fees and international competition.
• Higher Fees, Higher Prices, Less Profit – 67% of sellers raised prices in 2024 due to Amazon FBA fee hikes, but nearly 60% of sellers who raised prices still reported lower profits in 2024.
• Suspensions on the Rise – 35% of sellers have experienced an account suspension, with mid-sized sellers ($100K-$1M) being the most affected.
• Declining Seller Sentiment – Almost 2/3rds of sellers believe that Amazon is not a fair marketplace, though wholesalers are the most optimistic (40%).
• Support Falling Short – Nearly 46% of sellers report that Amazon’s seller support has worsened in the last two years, with 60% stating it actively holds back their business.
• AI’s Limited Impact – Despite Amazon's increasing AI-driven tools, only 15.6% of sellers say they’ve seen any positive impact on their business. Even more said it actively hurts their business (16.6%)
• Prime Deal Fatigue Sets In – 38% of sellers participate in Prime shopping events, but many report growing concerns about discount pressure and declining profitability.

About SmartScout

SmartScout is the leading eCommerce analytics software suite. SmartScout takes a birds eye view allowing your Amazon product research to become deep market research. Its suite of tools give large brands, agencies, and operators the ability to do deep market research, competitive analysis, optimize product pages and advertising, calculate profitability, graph traffic, and more.

For more information, visit https://www.smartscout.com/.

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