A group of seven-figure Amazon sellers is planning a one-day ad boycott as payment changes squeeze cash flow

In a post on X, the co-founder of Million Dollar Sellers, Eugene Khayman, said sellers are planning coordinated action in response to recent policy changes. “A one-day boycott of Amazon ad spend on April 15” is being considered “because sellers want to send a message,” he wrote.

The proposed boycott coincides with the date Amazon plans to begin automatically deducting advertising costs from sellers’ proceeds rather than allowing them to pay with credit cards.

It’s unclear how many sellers will ultimately plan to participate in the boycott. In total, Amazon’s marketplace includes about 2 million sellers. In a comment posted 15 hours ago on his original X post, Khayman said he “reached 100 members in support of this.” He continued, “Everybody will post screenshots to prove zero ad spend on April 15th.”

Sellers previously told Modern Retail the new change regarding advertising payments could significantly strain their finances. The new policy is hitting sellers at the same time as changes to how sellers are paid, a new fuel surcharge and higher fulfillment costs, further pressuring merchants’ margins. 

Khayman did not immediately respond to a request for comment. Amazon also did not respond to a request for comment by press time.

For years, many sellers used credit cards to finance their advertising, allowing them to delay payments and earn rewards that helped offset other business costs. Under the new system, ad spend will be deducted directly from sellers’ earnings before those funds reach their bank accounts.

The change, sellers say, comes at a time when advertising is crucial for success on Amazon. Brands must spend on ads to maintain visibility, defend search rankings and launch new products, making the loss of payment flexibility particularly painful.

“Now that cushion is disappearing,” Khayman wrote, referring to sellers’ ability to fund ad spend on credit cards.

In a poll of more than 100 founders conducted by Million Dollar Sellers, a majority said the combined impact of Amazon’s advertising payment changes and delayed payouts would reduce their available cash by more than $100,000. More than a quarter estimated losses exceeding $250,000. Nearly eight in 10 respondents said the policy changes would affect at least a quarter of their available cash.

Some sellers have begun publicly backing the boycott. Molson Hart, founder of Austin, Texas-based toy company Viahart, said he plans to participate.

“I will be boycotting Amazon’s advertising next week to protest the company’s greed,” Hart wrote in a LinkedIn post.

Others are more skeptical.

Jon Elder, founder and CEO of consultancy Black Label Advisors, which works with about 100 brands, warned that turning off ads could hurt sellers more than Amazon. In a LinkedIn post, he said brands risk losing search rankings and market share to competitors who continue spending.

“Amazon will ding your rankings, and you will have to scrape them back in the coming months,” Elder wrote.

He also raised concerns that Amazon could identify which sellers participate in the boycott and potentially retaliate, though he did not provide evidence of such actions. In a separate email statement to Modern Retail, he said sellers who participate in the boycott are “naive.” 

Still, he acknowledged that Amazon’s bevy of new fees and policy changes is hurting sellers. He said the changes likely eroded a couple of percentage points of sellers’ margins. “It’s catastrophic,” he added. 

The boycott underscores the difficult position many small- to medium-sized Amazon sellers find themselves in as they remain heavily reliant on the platform for sales while growing more frustrated with rising costs and changing policies.

Similar tensions have surfaced before. In 2024, Amazon delayed the rollout of a controversial inventory fee after widespread backlash from sellers. Sellers participating in the April 15 boycott are likely hoping for a similar outcome.