[ BDSN ] Top AI expert: This can kill Amazon search

🤖 HOW CHATGPT RANKS YOUR PRODUCTS

OpenAI’s ChatGPT just rolled out built-in shopping features — and it’s already influencing how people discover products.

But unlike Amazon or Google, ChatGPT ranks and displays products based on a new kind of logic driven by user intent, memory, and AI reasoning.

Here’s what sellers need to know:

🔍 How ChatGPT Selects Products:

• User-Centric Search: Products are chosen based on what ChatGPT thinks the user really wants — using cues from the query, saved preferences (e.g., dislikes or budget), and any custom instructions.

• Structured Data: Product info like price, description, and reviews comes from third-party providers — not directly from brands or Amazon.

• AI Interpretation: Before showing results, the model decides what matters most (e.g., affordability, ease of use, design).

• Filtered by Relevance: Products match the perceived needs. If a user mentions "budget," price matters most. If not, design or popularity might win out.

• Safety First: Products must pass OpenAI's internal safety checks to be shown.

🧠 Not Ads — Just AI Choices

• Results are generated independently — ChatGPT does not accept paid product placements or advertising.

• Products shown may not be complete, up-to-date, or include the best price — but users can refine the results through chat prompts.

🖼️ How Products Are Displayed:

• Visual Carousel in Chat: Includes an image, price (from first listed seller), simplified description, and a link.

• AI Labels: Tags like “Budget-friendly” or “Most popular” may appear, but aren’t verified.

• Review Summaries: Some listings show AI-generated pros/cons and ratings pulled from third-party sources.

🏪 How Merchants Are Chosen:

• Data Comes From External Sources (not OpenAI directly).

• Order Is Pre-Set by Providers: ChatGPT doesn’t re-rank merchants based on price, shipping, or policies.

• No direct merchant uploads or optimizations, but you can submit to be indexed.

💡 Why It Matters:

ChatGPT is now a discovery engine — not just a Q&A bot. While the system is still early, sellers should start thinking about:

• Structuring product data clearly across marketplaces.

• Building a strong presence across third-party platforms where OpenAI may pull info.

• Positioning products based on user intent (e.g., budget-conscious, trending, best reviewed).

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CLICK for TODAY’S MYSTERY

🛑 AMAZON’S AI is WATCHING - EVEN OFF AMAZON

Amazon is now using advanced AI to monitor your product claims outside of its platform—including your brand’s own website and other marketplaces.

Demian Lazurko recently wrote on Linkedin that a seller buddy of his recently received a compliance warning from Amazon. The reason? Not their listing—but a non-compliant health claim found on their DTC website. The kicker? It was automatically flagged by Amazon’s AI, not a human.

Amazon’s compliance bots are scanning:

• 🕵️‍♂️ Brand websites

• 🛍️ Other marketplaces (Walmart, etc.)

• 🖼️ Product images (with AI-based text recognition)

• 💬 Marketing claims & compliance violations

• 💲 Pricing inconsistencies

Amazon has made it clear—off-Amazon content can now trigger on-Amazon penalties. That includes delistings and account warnings. Be sure to align your messaging, claims, and pricing across all sales channels to stay protected.

Audit your website and product imagery the same way you would your Amazon listings. If your content isn’t compliant with Amazon’s policies—anywhere—you’re at risk.

🗜️ THE STATE of SEO in MAY 2025

Glen Allsopp published a very detailed article last week about the state of Search Engine Optimization (SEO) admits a rapidly changing marketing landscape. AI, shifting algorithms, and declining organic visibility are dramatically changing how SEO works in 2025.

Here's what matters for e-commerce brands:

⚠️ Major Headwinds in SEO

• AI Overviews = Fewer Clicks: Google’s AI Overviews are slashing organic CTRs — by 20–35% depending on the study.

• Dominance by Big Brands: 80% of top Google results are controlled by “Digital Goliaths” (e.g. Hearst, Dotdash, Vox).

• Independent Content Sites Are Fading: Blogs, forums, and small content publishers are seeing sharp traffic drops — many with no recovery in sight.

• SEO Job Market Down: SEO job listings are down 37% YoY, reflecting industry uncertainty.

• Link Building Gets Harder: Fewer independent content creators = fewer backlink opportunities.

✅ Positive Signals for E-Com Brands

• Search Still Dominates Traffic: A March 2025 study shows 43.8% of site traffic comes from search, while AI bots deliver just 0.1%.

• Success Stories Exist: Startups like Chatbase (+68% organic traffic) and Beehiiv show SEO still works with smart, consistent effort.

• Discover Feed Expansion: Google Discover is rolling out to desktop — a potential new traffic source for brands creating engaging content.

• Search Volume Still Growing: Google now processes 5 trillion+ searches per year, and volume is still rising.

🧠 AI Is Reshaping the Search Game

• Superior Answers from AI Agents: ChatGPT and Perplexity often provide better answers than Google — with no click needed.

• LLMs Taking Shelf Space: SEO is no longer just about keywords. It's about training AI models to choose your products over others.

• Platforms Evolve: Semrush and Ahrefs are diversifying into analytics and AI content tools — hinting at a shift away from traditional SEO.

💡 Implications for E-Commerce Sellers

• Diversify Traffic Sources: Don’t rely solely on organic search. Build audiences via email, social, communities, and even AI shopping agents.

• Focus on Brand & Content Quality: E-E-A-T (Experience, Expertise, Authoritativeness, Trust) is more important than ever — especially with AI sourcing content.

• Optimize for AI Overviews: Structured data, FAQs, and concise answers may increase visibility inside AI-generated responses.

• Monitor Forums & UGC Platforms: Reddit and Quora still rank — sometimes with questionable content. You can compete with better answers.

SEO is far from dead, but it’s no longer the same game. E-commerce brands must evolve, build multiple traffic streams, and prepare for a future where AI decides what sells — not search alone.

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Ad costs are rising. Clicks aren't converting like they used to. And ROAS? It's all over the place.

Here's the thing: ad spend will always be part of your mix. But it doesn't have to be your only lever.

Levanta's Affiliate Shift Calculator helps you model what could happen if you reallocated a portion of your ad budget into affiliate marketing — a channel that only charges when it drives actual results.

It's not a generic tool. Your scenario is reviewed by an affiliate expert and built around your real inputs.

You'll get a custom forecast with projected ROAS, revenue lift, and estimated efficiency.

😱 WALMART PREPARES for NEWEST CUSTOMER: AI AGENTS

Online retail is on the brink of a major shift—and the Wall Street Journal reports Walmart is getting ready right now. As AI shopping agents like OpenAI’s Operator begin to take over tasks from human buyers, retailers must adapt fast.

Walmart is already developing its own in-app AI agents to help users handle tasks like reordering groceries or planning events.

But it's also preparing for a world where third-party agents shop on behalf of consumers—choosing products, applying preferences, and even completing checkout.

AI Agents Change Everything: These bots don't care about beautiful images or emotional triggers. They respond to data, accuracy, structure, and price.

• Traditional SEO/Ad Tricks May Fade: Agents bypass the usual hooks. Your product info must be optimized for AI parsing, not just human appeal.

• Price and Visibility Wars Begin: Agents can make instant buying decisions, comparing thousands of products in seconds. Expect split-second pricing dynamics to matter more.

• Retailer Control is Slipping: If customers shop through AI agents, platforms like Walmart and Amazon could lose direct customer touchpoints—and so could you.

Walmart expects that industry-wide agent-to-agent communication protocols will emerge, where bots negotiate with bots. But until then, sellers must prepare by:

• Structuring listings for clarity and logic

• Keeping prices competitive

• Anticipating a new buyer: the bot

This future isn’t here yet—but it’s coming fast. Ignore it at your peril.

💰  HOW SELLERS are FIGHTING THE GREAT MARGIN MASSACRE

The new wave of tariffs isn't just "another increase" - it's a full-scale assault on your bottom line.

Thousands of sellers are watching their margins evaporate overnight.

But here's what's interesting ...

A small group of veteran Amazon sellers aren't just surviving this crisis - they're actually increasing their bottom-line by completely rewriting the rules of sourcing, manufacturing, and pricing.

On Tuesday, May 20 at 10 AM PST / 1pm EST, four of the most successful Amazon operators alive are revealing their exact "Margin Defense" blueprint:

• Steve Simonson (Built multiple 8-figure Amazon brands)
• Burak Yolga (Supply chain genius behind 100+ successful brands)
• Chad Rubin (Scaled to $20M+ despite 3 major market crashes)
• Rob Hahn (The sourcing expert big sellers have on speed-dial)

For the first time ever, they're sharing their actual strategies for protecting (and growing) contribution margin during this tariff tsunami.

Click Here To Save Your Seat (and your margins)

This is a no-pitch, no-fluff roundtable. Just battle-tested tactics for keeping your business above water while others crumble.

✌🏼 See you again Thursday from Accelerate in Salt Lake City …

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