[ BDSN ] The IRS is coming after Amazon Sellers

Grab your ticket for next week’s Live BDSS 12 - August 19-21

STUMP BEZOS

Nearly 70% of TikTok’s user base is under 35 and 50% have purchased from a TikTok Live. What is the most popular type of content favored over reviews and personal stories?

[ Answer at bottom of email ]

💰 HOW to MAKE HIGH CONVERTING COMPARISON CHARTS

In an increasingly crowded marketplace where shoppers have countless options at their fingertips, the Intellibrand newsletter says the ability to quickly communicate your product's value proposition has never been more critical.

This is where comparison charts become your secret weapon. They transform confusion into clarity, and clarity drives conversions.

Yet most Amazon sellers either skip comparison charts entirely or create generic, uninspiring tables that fail to influence purchasing decisions.

Why Comparison Charts Matter More Than Ever

The modern Amazon shopper is sophisticated and informed. They research products extensively, read reviews, and compare features before making purchasing decisions. A well-crafted comparison chart serves multiple purposes:

Building Trust Through Transparency: When you present honest comparisons, you position yourself as a helpful advisor rather than just another seller pushing a product.

Reducing Decision Fatigue: By organizing information clearly, you help overwhelmed customers make confident choices faster.

Highlighting Your Competitive Advantages: Strategic comparisons allow you to showcase what makes your product superior without appearing overly promotional.

Improving SEO and Discoverability: Rich content with structured data helps your listings perform better in Amazon's search algorithm and in AI search.

The AI Advantage in Creating Comparison Charts

With the rise of artificial intelligence tools like ChatGPT, creating professional-quality comparison charts no longer requires hours of spreadsheet work or extensive market research. AI can help you understand buyer psychology, structure compelling comparisons, and optimize content for different devices and contexts.

Here's how to leverage AI to create comparison charts that actually convert.

Step 1: Understanding Your Buyer's Mind

Before building any chart, you need to think like your customer. What factors actually influence their purchasing decisions? Don't rely on assumptions. Let AI help you understand buyer psychology.

Start with this foundational prompt: "List the 10 most important decision-making criteria buyers care about when comparing [your product type] on Amazon. Focus on what influences buying decisions."

For example, if you're selling water bottles, AI might identify these key factors:

  • Capacity and size options

  • Material safety (BPA-free status)

  • Temperature retention capabilities

  • Leakproof reliability

  • Ease of cleaning and maintenance

  • Portability features

  • Warranty coverage

  • Weight considerations

  • Design and color variety

  • Value for money

Step 2: Structuring Your Comparison

Once you understand what buyers care about, transform these insights into a structured comparison table.

Use this prompt: "Create a product comparison chart with the features above, comparing my product vs. 2 main competitors. Format it as a markdown or HTML table for easy export."

To make your chart more educational and customer-friendly, add context with this follow-up: "Add a column for 'Why it matters' that explains each feature in customer-friendly language."

Step 3: Choosing Your Positioning Strategy

You have two strategic options for your comparison chart, each serving different goals:

The Trust-Building Approach: Create a neutral, unbiased comparison using this prompt: "Make this a fair, unbiased comparison using data from top Amazon listings." This approach builds credibility and positions you as a helpful advisor.

The Competitive Advantage Approach: Subtly highlight your product's strengths with: "Make this comparison highlight the advantages of my product in a subtle way, without making the competition look bad." This strategy guides customers toward your product while maintaining professionalism.

Both approaches can be effective depending on your market position and brand strategy. New sellers might benefit from the trust-building approach, while established brands can leverage competitive positioning more aggressively.

By Caroline Han on Behance

Step 4: Visual Optimization for Maximum Impact

Remember that Amazon shoppers don't read every word, they scan for relevant information. Converting your comparison table into a visually appealing graphic significantly improves engagement and comprehension.

Use this prompt to create a design brief: "Turn this comparison table into a visual layout description for a designer. Include which colors to use for highlights, icons to include, and what emotional tone to convey (trust, innovation, etc)."

Step 5: Mobile Optimization Strategy

While detailed comparison charts work well on desktop screens, mobile shoppers need condensed information that's easy to digest on smaller screens.

Nearly 70% of Amazon traffic comes from mobile devices, making mobile optimization crucial for conversion success.

Create a mobile-friendly version using this prompt: "Summarize this comparison chart into a short, mobile-friendly version with only the top 3–5 key points."

Implementation Tips for Success

Start with Your Strongest Competitors: Focus your comparisons on the most relevant alternatives customers are actually considering, not just the biggest brands in your category.

Update Regularly: Product features and competitive landscapes change. Review and refresh your comparison charts quarterly to maintain accuracy and relevance.

Test Different Versions: A/B test different chart formats, feature selections, and positioning strategies to see what resonates best with your specific audience.

Integrate Across Touchpoints: Use your comparison insights not just in charts but throughout your listing copy, A+ Content, and even PPC ad copy.

🌎 INTERESTING STATS 

🕹️ SHOPIFY LAUNCHES AGENTIC COMMERCE AI AGENTS

The retail giant introduces native shopping capabilities for AI conversations, transforming how consumers interact with e-commerce

Shopify has unveiled its ambitious entry into agentic commerce, bringing native shopping functionality directly into AI conversations. The new platform allows AI agents to search, recommend, and facilitate purchases across hundreds of millions of products from Shopify's vast merchant ecosystem.

How Agentic Commerce Works

The system operates through three core components that work seamlessly together:

Shopify Catalog enables AI agents to search across the entire Shopify merchant network using natural language queries. When a user asks their AI assistant to "find lightweight running shoes," the agent can instantly access products from multiple merchants, with results clustered by Universal Product Identifier to avoid duplicate listings.

Universal Cart allows shoppers to add items from different merchants into a single, unified cart experience. The system automatically groups items by merchant while maintaining buyer information and calculating combined totals across all purchases.

Checkout Kit provides the final purchasing experience, securely rendering each merchant's customized checkout while maintaining the AI agent's branding for a seamless user experience.

Shopify's approach leverages Model Context Protocol (MCP) servers to connect AI agents with shopping capabilities. Developers can integrate the platform using authenticated API endpoints that require authorization tokens provided to approved agents during the early access period.

The platform includes rich web components that agents can render directly in conversations, providing interactive product previews, cart summaries, and checkout interfaces. These components can be customized with CSS to match any application's design language.

Currently available through an invitation-only early access program, Shopify is selectively partnering with AI agents and platforms to test and refine the system. Companies interested in integration can apply through Shopify's early access portal.

This launch positions Shopify at the forefront of conversational commerce, potentially transforming how consumers discover and purchase products online. By embedding shopping directly into AI interactions, Shopify is betting that the future of e-commerce will be increasingly driven by AI-mediated conversations rather than traditional browsing experiences.

 🔗 BDSN MYSTERY LINK of the DAY 🔗

🧾 IRS RAMPS UP ENFORCEMENT AGAINST E-COM SELLERS

The IRS has made e-commerce sellers a top enforcement priority for 2025, signaling a major shift in how the agency approaches online income reporting. If you're selling on Shopify, Etsy, Amazon, or other digital platforms, it's time to get your tax house in order.

The agency is deploying enhanced data analytics and expanding 1099-K reporting requirements to identify underreported income across digital platforms. What was once considered "low-risk side income" is now under intense scrutiny, with self-employed online vendors facing increased audit risk.

The IRS is particularly focused on sellers who use multiple payment platforms or have inconsistent filing histories. The agency is also partnering closely with third-party processors like PayPal, Stripe, and Venmo to cross-reference transaction data with reported income figures.

Many sellers receive unexpected 1099-K forms showing higher amounts than anticipated. Here's the catch: these forms often include refunds, shipping fees, and canceled orders, amounts that may not represent actual taxable income.

However, the burden falls on sellers to prove what constitutes legitimate business income versus gross payment volume.

Tax resolution experts warn that even small vendors are being caught off guard by these discrepancies, potentially triggering audits or unexpected tax bills.

Immediate Steps:

  • Review all 1099-K forms carefully and reconcile with actual sales

  • Ensure all business income is properly reported, regardless of platform

  • Maintain detailed records of refunds, fees, and canceled transactions

  • Consider consulting a tax professional if you've been inconsistent with filings

The days of treating e-commerce income casually are over. With the IRS leveraging sophisticated data matching capabilities, sellers who haven't prioritized tax compliance face significant risk. The key is proactive preparation: accurate record-keeping, consistent reporting, and professional guidance when needed.

Reach page 1 on Amazon simply by sending free products to Micro-Influencers 

Use the platform Stack Influence to automate Micro-Influencer product seeding collaborations at scale (get thousands of collabs per month) and increase your Amazon ranking, generate UGC, and boost up your recurring revenue like never before.

Top Amazon brands like Magic Spoon, Unilever, and MaryRuth Organics have been able to get to #1 page positioning on Amazon and increase their monthly revenue as high as 13X in as little as 2 months.

  • Pay influencers only with products (stop negotiating fees)

  • Increase external traffic Amazon sales (get to top page rankings)

  • Get full rights image/video UGC (build your brand with authentic content)

  • 100% automated management (don’t lift a finger to get influencer collabs at scale)

Don't believe it? Check out the results from the Blueland Micro Influencer campaign which generated a 13X ROI scaling up influencers on Amazon.

After successfully raising investment on Shark Tank, Blueland turned to Stack Influence to boost their Amazon sales and become a top selling listing using Micro Influencer marketing.

Increase your Amazon listings ranking for targeted keywords and multiply your organic recurring revenue in 2025!

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😍 EYE CONTACT COULD BOOST CONVERSION by 30% or MORE

Here's a simple tweak that could significantly improve your ad results: strategically directing your model's gaze based on what you're selling.

For pleasure-focused products (luxury items, home decor, beauty products, entertainment): Have models look away from the camera.

For functional products (tools, software, problem-solving items) or sensitive topics: Have models look directly at the viewer.

Researchers ran five different experiments and found some eye-opening results:

When models looked away from the camera:

  • A sunhat ad generated 30% more sales

  • A luxury watch ad scored 19% higher in ratings

  • Anti-smoking campaigns saw 40% more sign-ups (jumping from 53.8% to 75.2%)

When models made direct eye contact:

  • Functional cafe ads (highlighting location and convenience) performed 12% better than when models looked away

Looking away = Easy identification. When a model isn't making eye contact, viewers can more easily imagine themselves in that person's place. For pleasure purchases, this mental substitution is exactly what you want: customers picturing themselves enjoying your product.

Direct eye contact = Trust and separation. Eye contact creates credibility and trustworthiness, making it perfect for explaining functional benefits. It also maintains healthy psychological distance for sensitive topics where you don't want viewers identifying too closely with negative scenarios.

Pleasure-focused products to test:

  • Home decor and furniture

  • Fashion and accessories

  • Beauty and skincare

  • Hobby and craft supplies

  • Luxury or premium items

Function-focused products to test:

  • Tech gadgets and tools

  • Health and safety products

  • Business services

  • Educational courses

  • Problem-solving software

Start A/B testing this approach on your highest-performing ads first. The cost to reshoot or find alternative creative is minimal compared to the potential upside.

Consider your product's primary selling point: if customers buy it to feel good, look away. If they buy it to solve a problem or get specific results, look directly at them.

Remember, this applies to video ads, static images, and even email marketing creative: anywhere you're using human models to sell your products.

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📛  AMAZON LAUNCHES CHAT BOT for SELLERS

BDSS Dream 100 member Mansour Norouzi noticed over the weekend Amazon has launched into beta it’s own ChatGPT style bot to help sellers inside Seller Central.

It’s called Seller Assistant, and these are some of the things it says it can do:

  • Seller account setup & health

  • Listing creation & optimization

  • Inventory tracking & FBA management

  • Sales analysis & Buy Box strategies

  • Shipping, ads, promos, & A+ Content

  • Customer service & review management

  • Compliance, IP, and policy guidance

  • Troubleshooting & tech support

  • Reporting & analytics

🥃 PARTING SHOT

“It’s no longer the big beating the small, but the fast beating the slow.”

Eric Pearson

✌🏼 See you again Thursday …

The answer to today’s STUMP BEZOS is
62% of TikTok users prefer tutorials