Join our chat on Amazon’s new generative AI tool for merchants—a business game-changer!

Amazon has just unveiled its latest generative AI tool, Project Amelia, an innovation designed to transform how merchants operate within its ecosystem. The new AI assistant promises to streamline the daily operations of third-party sellers, offering personalized insights, inventory management tools, and creative assistance to boost sales. This move is part of Amazon’s broader strategy to strengthen its suite of AI-powered services, especially as it faces growing competition from rivals like Google and OpenAI.

A New Era for Amazon Merchants

Launched as part of Amazon’s continued expansion into artificial intelligence, Project Amelia is built using Amazon Bedrock, a generative AI platform designed to provide scalable access to cutting-edge foundation models. The AI assistant is positioned as a powerful business companion for Amazon’s vast network of third-party sellers, helping them optimize everything from product listings to sales strategy.

According to Matt Garman, CEO of Amazon Web Services (AWS), “Project Amelia is saving people time so they can focus on what matters most.” Garman emphasized that the AI tool is aimed at making the business of selling on Amazon more efficient, empowering sellers to analyze sales data, identify business opportunities, and provide strategic recommendations.

“Amelia is built to handle complex operational tasks,” Garman said. “Now a seller can rely on Amelia to gather and analyze sales data while offering valuable insights—all with just a few clicks.”

How Amelia Works

Project Amelia goes beyond basic data crunching; it brings a comprehensive, AI-powered approach to managing a seller’s business. Sellers can interact with the AI tool by asking a wide range of questions, from straightforward inventory updates to more strategic inquiries about market trends. For example, a seller might ask, “What are the top things I need to do to prepare for the holiday season?” Amelia will not only provide an answer but deliver personalized insights based on the seller’s business profile.

Swami Sivasubramanian, Amazon’s VP of AI and Data, highlighted Amelia’s ability to not just answer questions but to anticipate sellers’ needs. “Amelia is not just reactive; it’s proactive,” he explained. “It can provide real-time updates on metrics like sales and traffic, and it even compares current performance with historical data to offer valuable context.”

The assistant also taps into Amazon’s broader data ecosystem to generate creative content. From writing product listings to creating promotional videos, Amelia leverages generative AI to automate tasks that previously required significant manual effort.

Olivia Ma, Senior Manager of Product Management at Amazon, praised the potential of Amelia to transform how merchants approach their sales strategies. “The Amazon Seller mobile app, equipped with Amelia, is evolving into a more intelligent business companion,” she said. “We’ve listened to seller feedback, and this tool reflects their needs by integrating powerful, easy-to-use solutions that were previously labor-intensive.”

A Response to Competitive Pressures

The launch of Amelia comes at a time when Amazon faces increasing competition in the AI space. With companies like Google and OpenAI advancing their generative AI capabilities, Amazon has ramped up its AI efforts, introducing new tools like Rufus, an AI-powered shopping assistant, and Bedrock, a service for cloud customers. However, Amelia stands out for its laser focus on supporting Amazon’s merchant community.

Retail analyst James Callan noted that Amazon’s expansion into generative AI tools is not just about staying competitive but about enhancing the experience for both sellers and buyers. “Amazon has recognized that merchants, especially smaller ones, need more support to thrive in a highly competitive marketplace,” Callan said. “Tools like Amelia not only level the playing field but also create a more dynamic and efficient ecosystem for sellers.”

Reducing Complexity for Sellers

Running a business on Amazon involves managing numerous operational complexities—from ensuring proper inventory levels to optimizing marketing strategies and complying with regulations. Amelia simplifies these processes by offering personalized advice that reflects the unique needs of each seller.

According to Mary Beth Westmoreland, Amazon’s Vice President of Worldwide Selling Partner Experience, “Amelia acts as a personal AI assistant, always ready to help sellers manage their business more effectively and focus on growth.” She added that the assistant is capable of providing critical data updates and even resolving issues, like inventory discrepancies, in real-time.

For instance, if a seller notices a discrepancy in inventory data, they can ask, “I have 300 units on the way but don’t see them in the report. Can someone look into this?” Amelia can then not only investigate the issue but soon will offer to resolve it on the seller’s behalf.

What’s Next for Amelia?

Currently in beta, Amelia is only available to select U.S.-based sellers, but Amazon plans to expand access to more sellers globally in the coming months. This phased rollout will include additional language support and more advanced features.

“We’re just getting started,” Sivasubramanian said. “As sellers engage with Amelia, the AI will learn and evolve, becoming even more adept at meeting their needs.”

The potential of Amelia to revolutionize how sellers operate on Amazon has drawn praise from various industry insiders. Garman believes the tool will significantly reduce the time and effort merchants invest in daily operations, freeing them up to innovate and grow. “The goal is to make running a business on Amazon as seamless as possible, and Amelia is a huge step toward achieving that vision,” he said.

In the rapidly evolving world of e-commerce, where efficiency and personalization are paramount, Project Amelia could represent the next big leap for Amazon’s seller ecosystem, offering an invaluable assistant to help merchants succeed in a complex marketplace.