E-commerce operators are encountering stricter regulations as Amazon recently unveiled its 2023 "Listing Completeness Scorecard." This comprehensive evaluation system, resembling a detailed product health check, aims to standardize seller product information and enhance user experience. However, what appears as a well-intentioned assessment may become another heavy burden for cross-border sellers.
Upgraded Listing Optimization: More Stringent Standards
Amazon's new scorecard represents more than minor adjustments—it's a complete overhaul. The updated version introduces three critical metrics: improving listing title quality, completing optional attributes, and enhancing image quality and compliance. Additionally, existing metrics have been refined with optimized content and scoring weights to more accurately assess listing quality.
The scoring system categorizes ASINs (Amazon Standard Identification Numbers) into six tiers. While high scores are desirable, sellers in lower tiers face greater urgency. ASINs missing 4-5 core attributes will suffer significant visibility and conversion rate impacts, requiring immediate improvement.
More concerningly, ASINs with compliance issues or missing all key elements will receive a zero score and be prohibited from appearing in search and browse results—effectively making products invisible to consumers. Sellers must therefore vigilantly monitor their listings and implement timely optimizations.
Notably, the new rules place unprecedented emphasis on optional attributes. Completing these fields—such as length or occasion—can earn sellers up to 25 bonus points. These system-recommended attributes help buyers find products through more precise searches while encouraging sellers to provide comprehensive product information.
Prior to releasing the listing standards, Amazon also clarified its "account suspension criteria" and protection measures for the first time. The platform now uses account health scores with green, yellow, and red indicators to help sellers monitor account status and mitigate risks. These measures collectively signal Amazon's intensified focus on standardizing seller operations.
Multiple Challenges for Sellers: Rising Costs and Tighter Regulations
As peak season approaches, Amazon's significant reduction of seller storage capacity has delivered a harsh blow. Some sellers report weekly capacity cuts, with inventory limits plummeting from over 9,000 units to just 2,000, creating severe stocking and shipping challenges that amplify operational uncertainty.
Market rumors suggest Amazon may soon overhaul its capacity policies, replacing quantity-based restock limits with volume-based storage restrictions. Simultaneously, IPI (Inventory Performance Index) assessments could shift from quarterly to monthly evaluations, with corresponding limits updating monthly and expiring after just thirty days. These changes would force sellers to constantly adjust inventory strategies.
Further speculation indicates Amazon might introduce paid storage capacity options, potentially adopting an auction-style model similar to its advertising system. Such a policy would undoubtedly increase operational costs.
Since 2022, Amazon has implemented multiple small but steady increases to FBA (Fulfillment by Amazon) storage and fulfillment fees. Over two years, FBA costs have risen 30%, while advertising expenses continue climbing annually. Data shows advertising's share of total seller costs grew from 1.1% in 2016 to 4.6% in 2021, with average CPC (cost-per-click) jumping from $0.85 in 2020 to $1.20 in 2021—steadily eroding profit margins.
Sellers Diversify: Multi-Channel Strategies Gain Momentum
Escalating costs and stricter platform rules are driving sellers toward diversification. A 2022 Capterra survey of Amazon sellers revealed that while only 31% currently sell on other e-commerce platforms, 99% plan to expand to additional marketplaces in 2023—demonstrating widespread efforts to reduce single-platform dependence.
As sellers explore alternatives, Amazon's dominance in the U.S. e-commerce market shows signs of weakening. Meanwhile, Chinese platforms like Temu and SHEIN are rapidly gaining market share, with AliExpress also prioritizing U.S. expansion. Cross-border sellers now enjoy more options than ever, enabling them to distribute risk across multiple platforms tailored to their specific needs.
Amazon's new listing requirements undoubtedly intensify operational pressures. In this environment of fierce competition and evolving regulations, sellers must continuously enhance their operational capabilities while actively expanding sales channels to maintain competitiveness in the global e-commerce landscape.