Selling on Amazon in 2025 is more competitive and rewarding than ever before. Every eCommerce seller wants to grow their business, but the journey can be filled with policy challenges, compliance requirements, and the ongoing risk of account suspension. The stakes are real โ Amazonโs sale revenue exceeded 167 billion U.S. dollars in Q2 2025, making it the worldโs top marketplace, but also one of the strictest platforms for sellers.
A single policy mistake can cost you your shop, your reputation, and your income. Thatโs why every seller should understand Amazon seller policies, practice Amazon account suspension prevention, and stay current on compliance rules. Letโs go over the essentials to help protect your Amazon business in 2025.
What Are Amazon Seller Policies?
Amazon seller policies are official rules and requirements every seller must follow to run their business on Amazon. These cover product compliance, restricted products, intellectual property, customer reviews, advertising guidelines, and more.
They help keep Amazon a safe and fair shopping environment for everyone. As a seller, you also need to meet the Amazon seller code of conduct, which sets expectations for ethical business practices and customer interactions.
If you ignore any of these rules, you risk problems with your Amazon seller account health, listing take-downs, or even losing your account. Staying updated on Amazon Seller Central rules is essential if you want long-term success. For a closer look at making your listings shine, see our Amazon Listing Optimization guide.
The Risks of Non-Compliance: Account Suspension and Business Impact
Breaking Amazon seller policies can have major consequences. The biggest risk is account suspension. This can happen due to high Order Defect Rate, policy violations, or intellectual property complaints. During a suspension, Amazon may hold your funds, remove your listings, and hurt your brand's reputation.
The financial blow is real. You lose out on sales, spend money on ads that never reach shoppers, and may have to invest time and resources into getting your account back. Even suspensions that only last a few days can disrupt your cash flow and customer relationships. This is why Amazon account suspension prevention and ongoing Amazon account compliance are so important.
If you need guidance to safeguard your Amazon business, SalesDuo provides expert support to help keep your account in good shape.
Key Amazon Seller Policies You Must Know
Product Compliance and Restricted Products Policy
Amazon holds strict rules to make sure every product sold is safe and legal. Sellers must check that all products meet Amazonโs safety, labeling, and documentation standards. Some categories like supplements, electronics, and toys need extra certifications or approval.
The restricted products policy prevents the sale of dangerous materials, fake goods, and unauthorized medical devices. Violating these rules will often lead to Amazon removing your listing or suspending your account.
To stay compliant:
- Frequently check Amazonโs restricted products list.
- Keep all compliance paperwork updated.
- Use inventory management Amazon tools to monitor and review your listings.
For more tips on keeping your content compliant, read our Amazon Content Optimization Guide.
Understanding Intellectual Property and Product Review Guidelines
Amazon protects trademarks, copyrights, and patents with a clear intellectual property policy. Selling items that violate these rights will usually lead to a fast listing removal or even account suspension. In addition, Amazon takes its customer reviews policy seriously. Manipulating reviews or giving incentives in exchange for good feedback is not allowed.
To help your brand and listings:
- Register your brand with Amazon Brand Registry.
- Watch for unauthorized or counterfeit sellers.
- Always follow Amazonโs rules for customer reviews.
Learn more about boosting your products while staying within the rules with our Amazon SEO Services and Amazon SEO Best Practices.
Maintaining Account Health: ODR, LSR, and Performance Metrics
Amazon keeps track of seller performance with measures like Order Defect Rate (ODR), Late Shipment Rate (LSR), and Cancellation Rate. Itโs important to keep your ODR below 1%. Going over this level can lead to warnings or even a suspended seller account.
Other metrics include:
- Late Shipment Rate: Must stay below 4%.
- Pre-fulfillment Cancellation Rate: Should not go above 2.5%.
Review your Amazon account health rating often in Seller Central. Use available dashboards and tools to catch problems early and address them quickly. For a closer look at reporting, check our AI-driven sales reporting.
Shipping, Fulfillment, and Inventory Management Policies
Shipping and fulfillment play a huge role in customer satisfaction. Amazon expects sellers to have fast delivery times and update inventory accurately to avoid penalties. In fact, 86% of sellers use Fulfillment by Amazon (FBA) to increase sales, taking advantage of Amazonโs fast shipping network and easy returns.
Tips to stay compliant:
- Track your inventory so you do not oversell.
- Carefully monitor late shipment rate and cancellation rate.
- Follow the Amazon returns policy to ensure your customers have an easy returns process.
If you handle your own shipping, always match Amazonโs shipping standards and keep a high valid tracking rate. For more help, review our Amazon Full Account Management solution.
Fulfillment by Amazon (FBA) vs. Seller-Fulfilled: Compliance Differences
FBA sellers use Amazonโs systems for shipping, returns, and customer service, but must follow specific rules for inventory and labeling. Seller-fulfilled stores must manage their own logistics and are checked more closely on shipping speeds and tracking.
Choose the approach that matches your business resources and ability to stay compliant with Amazon seller policies.
Amazon Advertising and Marketing Policies
Amazon advertising guidelines require all ads to be truthful and match Amazonโs standards. Any violation may result in your ads getting paused or your account penalized. Be sure that all your ad images, claims, and listings meet the needed brand profile requirements, and do not make any false or misleading statements.
Some best practices are:
- Review Amazonโs advertising guidelines regularly.
- Watch your campaign performance for any issues that may cause violations.
- Use negative keywords and targeting to prevent accidental policy problems.
For advanced ad management, check out our Amazon PPC Management Agency and get a free Amazon PPC Audit.
Best Practices for Protecting Your Amazon Seller Account
Monitoring Performance Metrics Proactively
Watching your account metrics often is one of the simplest ways to stay compliant. Set up alerts for rises in Order Defect Rate, late shipments, or negative reviews. Use Seller Central dashboards or approved third-party tools to see trends and take care of issues before they hurt your performance.
Doing regular checks helps catch rule violations quickly, which lowers your risk of having your Amazon seller account suspended. For deep data insights, try our AI-driven sales reporting.
Delivering Excellent Customer Service for Policy Compliance
Great customer service keeps your account strong. Answer buyer questions quickly, solve their problems, and communicate updates, so you reduce negative reviews and lower your Order Defect Rate.
Sellers who focus on making customers happy are more likely to stay visible and face fewer policy issues. Put customer satisfaction at the center of your daily business to maintain Amazon account compliance.
Smart Inventory and Fulfillment Management Strategies
Good inventory management is vital for Amazon account compliance. Avoid running out of stock or overstocking, so you keep your profit margins and avoid penalties. Amazon uses an Inventory Performance Index (IPI) to measure how well you manage FBA inventory. Keeping this score high helps you maximize storage and lower fees.
Best practices for inventory management Amazon include:
- Forecast demand using real sales numbers.
- Use tools to sync and automate inventory levels across all selling channels.
- Check your inventory regularly with audits and reports from Amazon Seller Central.
For a step-by-step guide to inventory management in 2025, see this guide.
Preparing a Plan of Action (POA) For Seller Policy Violations
If you get a warning or suspension notice, a strong Amazon Plan of Action (POA) can help resolve the problem. Your POA should cover: what happened, what you did to fix it, and how you will prevent it in the future.
Tips for a solid POA:
- Keep your message clear and to the point.
- Attach any documents that support your case.
- Address every issue that Amazon flagged in their notice.
SalesDuo provides expert help for appeals and reinstating your account if you need personalized support.
Resources and Ongoing Learning for Sellers
Leveraging Amazon Seller Central Help, Seller University, and Expert Guidance
Amazon offers lots of resources to help you stay compliant and succeed. Seller Central Help gives you up-to-date answers on policies, while Seller University has videos and training on best practices for Amazon sellers.
Sellers who use these resources often are more likely to stay ahead of rule changes and improve their skills. If you want hands-on expert support, a partner like SalesDuo can make compliance simpler and help your business grow.
Conclusion
Summary: Staying Compliant and Future-Proofing Your Amazon Business
Staying compliant with Amazon seller policies in 2025 protects your account and sets the foundation for growth. By focusing on Amazon account compliance, monitoring your performance, and using the right support, you can build a long-lasting business on the worldโs biggest eCommerce platform.
As Amazon keeps changing, brands need more than just visibility. They need real results. At SalesDuo, we use data, strategy, creativity, and our own AI tools to deliver noticeable growth. With 85% of our full-stack team having Amazon experience and our unique AI dashboard, we have helped over 250 brands turn Amazon into their top sales channel. Want to see how? Book your 1:1 growth call today!
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About the Author
Meet Nandita Nair, an Associate Content Writer at SalesDuo, passionate about creating impactful content that helps Amazon businesses grow and thrive. When sheโs not writing, she finds joy in listening to music, exploring art, and getting lost in the world of novels.
