Winning back churned Amazon marketplace sellers on a tight budget
Company: Amazon
Role: Product Manager
Category: Product / Decision Making
Difficulty: medium
Interview Round: Other
Some sellers have stopped selling on Amazon. As a product manager, how would you bring them back while keeping spending tight? Take "sellers" to mean third-party businesses that sell on Amazon's marketplace. Walk through how you would find out why they left, which of them to pursue and what you would do to win each group back.
```hint Not all lost sellers are alike
Sellers leave for different reasons and are worth different amounts to Amazon and its shoppers. How would you find the groups that are both worth winning back and likely to return, and which of their reasons can be fixed without paying them more?
```
### Clarifying Questions
- What makes a seller "lost": a closed account, no active listings, no sales for a set period, or a large drop in volume? Over what time window?
- Is the loss concentrated in particular categories, countries, seller sizes or fulfillment methods (orders shipped by Amazon versus by the seller)?
- Does keeping spending tight mean no new money at all, or a small budget that has to pay for itself within a set period?
- Which loss matters most here: the selection shoppers can no longer find, the fee revenue, or both?
### What a Strong Answer Covers
- A precise definition of a lost seller and a sizing of the loss by segment, by value to Amazon and by selection that shoppers can no longer find on the site.
- A diagnosis of why sellers left, drawn from data Amazon already has (sales and fee trends, support cases, closure reasons, policy actions) and from talking to sellers.
- Remedies matched to each cause, favoring low-cost levers such as better support, tools, policy clarity and an easy way back over broad fee cuts or cash incentives.
- A prioritization of which sellers to pursue first, based on their value and how likely they are to return, with a test-and-learn rollout.
- Metrics for lasting reactivation and its cost, with guardrails on shopper experience and fairness to the sellers who stayed.
### Follow-up Questions
- The most common reason in the data is that fees were too high. How do you respond without cutting fees for everyone?
- Some lost sellers were suspended for policy violations. Would you try to bring any of them back, and on what terms?
- How would you spot sellers who are about to leave, so you can act before they are gone?
Overview: A problem-solving product question about winning back third-party sellers who left Amazon's marketplace while keeping spending low. It tests defining and sizing seller churn, diagnosing causes across the seller lifecycle, matching low-cost remedies to each cause, prioritizing which sellers to pursue and measuring lasting reactivation.