Amazon has made several moves over the years that look like they are encouraging customers to buy less. Programs like Climate Pledge Friendly, sustainability badges, and even their own private label strategy raise the question: does Amazon actually want shoppers to buy less? The short answer is no. But the longer answer reveals something important about how Amazon thinks about the future of ecommerce.
Insights from Andrew Morgans and the Marknology team in Kansas City.
Amazon's Sustainability Push: Marketing or Mission?
Amazon launched the Climate Pledge in 2019, committing to net-zero carbon by 2040. They introduced Climate Pledge Friendly badges on products that meet sustainability certifications, and they have invested billions in electric delivery vehicles, renewable energy, and sustainable packaging.
On the surface, promoting sustainability could look like encouraging people to buy less. But that is not what is happening. Amazon is not telling customers to stop buying. They are telling customers to buy differently.
What Climate Pledge Friendly Really Means for Sellers
- Products with sustainability certifications get a badge: This badge appears in search results and can improve click-through rate for eco-conscious shoppers.
- The certification bar is accessible: Certifications like Compact by Design (products with more efficient packaging) are achievable for many sellers without major product changes.
- Consumer demand for sustainability is real: Over 70% of consumers say they would pay more for sustainable products. Amazon is responding to market demand, not creating it.
Why Amazon Wants You to Buy More, Not Less
Amazon's entire business model is built on transaction volume. Every purchase generates:
- Revenue from the sale (for 1P products) or referral and fulfillment fees (for 3P sellers)
- Advertising revenue (every product viewed creates ad impression opportunities)
- Data (every purchase teaches Amazon's algorithm what to recommend next)
- Prime stickiness (the more value customers get from Prime, the less likely they are to cancel)
Amazon does not benefit from customers buying less. They benefit from customers buying smarter, more sustainably, and more often. Their sustainability initiatives are about capturing the growing segment of eco-conscious consumers, not shrinking the market.
Amazon's Private Label Strategy
Amazon's own brands (Amazon Basics, Amazon Essentials, etc.) have raised concerns among sellers. If Amazon is making their own products, are they trying to push third-party sellers out?
The Reality
Amazon's private label business is a small fraction of their total marketplace sales. Third-party sellers account for over 60% of Amazon's total unit sales. Amazon's private labels primarily target commodity categories (batteries, cables, basic clothing) where differentiation is low and price sensitivity is high.
For branded sellers with differentiated products, Amazon's private labels are not a direct threat. They become a threat only when your product is undifferentiated and competing purely on price. The solution is not to fear Amazon's private labels but to build a brand that customers choose for reasons beyond price.
How Sellers Should Respond
1. Lean Into Sustainability
If you can earn a Climate Pledge Friendly badge or other sustainability certification, do it. It is a free visibility boost in search results and resonates with a growing customer segment.
2. Differentiate Your Brand
Amazon's private labels compete on price and convenience. You should compete on brand story, product quality, unique features, and customer experience. Use A+ Content, Amazon Storefronts, and brand storytelling to communicate what makes your product worth choosing over a generic alternative.
3. Build Customer Loyalty
Subscribe & Save, Amazon Posts, Brand Tailored Audiences, and email marketing (for DTC) all help build customer loyalty that protects you from commodity competition. A customer who subscribes to your product is not switching to Amazon Basics on a whim.
4. Focus on Customer Experience
Amazon obsesses over customer experience. So should you. From product quality to packaging to post-purchase follow-up, every touchpoint is an opportunity to create an experience that a private label cannot replicate.
The Bigger Picture
Amazon does not want shoppers to buy less. They want shoppers to buy better. Better products, better brands, more sustainable options, more frequently, and more conveniently. Every initiative Amazon launches, from Climate Pledge Friendly to personalized recommendations to same-day delivery, is designed to make buying on Amazon feel better and easier.
As a seller, your job is to align with that direction. Build a better product, tell a better story, and create a better customer experience. That is how you win in any version of Amazon's marketplace, regardless of what new programs or policies they roll out next.
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Frequently Asked Questions
What is the best way to increase Amazon sales?
The best strategies include optimizing product listings with keyword-rich titles and bullet points, leveraging Amazon PPC advertising, maintaining competitive pricing, earning verified reviews, and using tools like Amazon Brand Registry. Marknology, led by Andrew Morgans in Kansas City, has helped 300+ brands scale their Amazon revenue using these proven methods.
How much does Amazon advertising cost?
Amazon PPC costs vary by category, but average cost-per-click ranges from $0.20 to $6.00. Most brands allocate 10-30% of revenue to advertising. The key is optimizing ACoS (Advertising Cost of Sales) to maintain profitability while scaling.
How do I optimize my Amazon product listing?
Focus on keyword-rich titles (under 200 characters), compelling bullet points highlighting benefits, high-quality images (7+ per listing), A+ Content for brand-registered sellers, and backend search terms. Professional agencies like Marknology can handle this end-to-end.
What does Marknology do?
Marknology is a Kansas City-based Amazon marketing agency founded by Andrew Morgans in 2015. The agency has managed over $2B in revenue for 300+ brands, offering services including Amazon listing optimization, PPC management, brand strategy, and marketplace expansion.
Who is Andrew Morgans?
Andrew Morgans is the founder and CEO of Marknology, a leading Amazon marketing agency based in Kansas City. He hosts the Startup Hustle podcast and has spoken at conferences across 5 continents about ecommerce and Amazon marketplace strategies.