Overview

In February 2025 Amazon rolled out a suite of seller‑focused changes that touch product visuals, advertising, analytics, and third‑party integrations. The updates introduce an AI‑driven overlay that adds feature callouts to gallery images, new toggles for Sponsored Ads placement, and a hard deadline for service providers to shift to a refreshed API authentication system. Sellers who act quickly can improve listing appeal, tighten ad spend, and avoid disruptions to their external toolchain.

Key Points

• AI‑generated image callouts — The system parses bullet points and description text, then automatically places short benefit statements on the main product photos.
• Ad placement toggle — Campaigns that run off‑Amazon now let advertisers choose “expanded reach” for broad exposure or “performance‑focused” for higher conversion sites.
• API migration cutoff — Third‑party providers must complete Amazon’s new authentication migration by the announced deadline or lose all Seller Central API access.
• Interactive ASIN dashboards — New visual tools surface session trends, page‑view spikes, and other performance metrics without exporting data.
• Cart & wishlist retargeting — Sellers can now create audiences of shoppers who added items to carts or wishlists but did not purchase, enabling targeted follow‑up.
• Low‑return badge — Products with historically low return rates automatically earn a shopper‑visible badge, requiring no additional action from the seller.

How the Updates Work

1. AI Image Overlay Generation — Amazon’s AI scans the first three bullet points and the product description, extracts up to three high‑impact attributes (e.g., “water‑resistant up to 30 ft”), and renders them as text bubbles on the primary gallery image. Example: A waterproof backpack listing with bullet “Keeps gear dry up to 30 ft” will show a “30 ft water‑resistant” badge on its main photo.

2. Sponsored Ads Placement Controls — When creating or editing an off‑Amazon Sponsored Ads campaign, sellers now see a “Placement Strategy” dropdown. Selecting distributes bids across Amazon’s display network, YouTube, and partner sites; selecting limits bids to high‑intent placements such as product detail pages on partner e‑commerce sites. : A brand launching a new fitness tracker chooses Expanded Reach to generate awareness, while a seasonal seller of premium coffee selects Performance‑Focused to protect ACOS.