Most Amazon sellers spend Q4 running hardāpushing deals, maxing out ad budgets, and hustling through the busiest season of the year.
Then Q1 hits, and many brands make a huge mistake: they coast.
But the reality is, Q1 isnāt a slow seasonāitās a strategic season. The moves you make in January, February, and March can set the pace (and profitability) for your entire year.
In this post, weāll dive into insider tactics that the most successful Amazon sellers use to turn Q1 from a recovery period into a momentum builder.
š§ Why Q1 Matters More Than You Think
Hereās what makes Q1 so important:
- Returns spike after the holidays, impacting your metrics and margins
- Inventory levels are often off balanceāeither overstocked or out of stock
- Ad costs drop, opening the door for efficient customer acquisition
- Competition is lower as sellers take a break or regroup
- New year buying habits emerge as shoppers refocus on fitness, organization, budgeting, and self-improvement
If you play your cards right, Q1 gives you the chance to fine-tune operations, build rank, and grab market share while your competition is sleeping.
Letās look at how to do it.
1. š¦ Master the Post-Holiday Return Season
Returns in January are inevitable. But if you manage them well, they donāt have to sink your metrics or morale.
ā Tactics to Handle Returns Strategically:
- Use removal orders wisely
Create removal orders for unsellable items to avoid long-term storage fees. - Monitor return reasons
Look for patterns: is it sizing? Misleading photos? Low perceived value? Use insights to update listings or product packaging. - Update your FBA return settings
Consider changing auto-return settings for FBM to manually approve returns during Q1 and minimize unnecessary refunds. - Appeal unfair returns
Use Amazonās return dispute tool if you spot abuse or violations.
š Pro tip: Track your return rate and customer feedback weekly. If a specific SKU is being returned more than 10ā12%, investigate ASAP.
2. š ļø Refresh Your Listings (While Traffic Is Cheaper)
Q1 is the perfect time to audit and upgrade your product listings. The cost-per-click (CPC) on Amazon typically drops post-Q4, so you can afford to test changes while still acquiring customers.
ā Areas to Focus On:
- Main Image: Test different angles or lighting styles (within TOS) to increase CTR.
- Titles: Include seasonal keywords like ānew year,ā āJanuary sale,ā or fitness-related terms where appropriate.
- Bullets: Tighten your copy for clarity and benefits. Cut fluff.
- A+ Content: Add modules that showcase product value, comparisons, and usage tips.
- Reviews: Request reviews from recent Q4 buyers using Amazonās āRequest a Reviewā button or follow-up email automation.
š” Pro tip: Use Amazonās āManage Your Experimentsā tool to A/B test titles and images if you’re Brand Registered.
3. šÆ Adjust Your PPC Strategy for Early-Year Efficiency
Q1 is often the cheapest time to run ads. Why? Many competitors scale back their budgets after the holiday rush. That opens the door for lower CPCs and higher ROASāif you know how to play it.
ā PPC Tactics for Q1:
- Audit and pause underperforming Q4 campaigns
Donāt assume the same keywords will convert post-holidays. Shift focus to new seasonal demand. - Launch campaigns for Q1 themes
Focus on keywords tied to New Yearās resolutions, health, organization, budgeting, or self-care. - Use Sponsored Display to retarget Q4 traffic
Shoppers who browsed your listings but didnāt buy are warm leads. Retarget them while itās fresh. - Bid strategically
With less competition, you may not need to bid aggressively. Test lower bids while maintaining performance.
š Pro tip: Monitor your TACoS closely. A drop in ad spend with steady sales is a good sign your organic rank is climbing.
4. šļø Clean Up Your Catalog and Inventory
Many sellers use Q1 to launch new products, but before you add more to your plate, itās wise to clean up whatās already there.
ā How to Optimize Inventory and Catalog:
- Get rid of dead SKUs
Identify slow movers, stale products, and SKUs that havenāt sold in 60+ days. Liquidate, bundle, or remove. - Replenish top performers
Donāt wait until stock gets low. Review Q4 data to reorder best-sellers before lead times catch up. - Forecast seasonality shifts
For products that sell well in spring (e.g., garden, fitness, outdoor), begin prepping now. - Improve IPI score
Stay above the 400 threshold by managing stranded inventory, shipments, and excess stock.
š¦ Pro tip: Use tools like SoStocked or Inventory Planner to streamline forecasting and replenishment.
5. š§Ŗ Start Testing New Offers, Bundles, or Variations
Q1 is an ideal time to test new ideas. Lower ad costs and smaller customer demand make it a safe environment to experiment.
ā Experiment With:
- Bundling products
Combine complementary items into gift sets or value packs. This can increase AOV and differentiate your offering. - Launching variations
New sizes, colors, or materials can help capture untapped demand with little risk. - Introductory pricing
Use coupons or lower launch pricing to test market response on new SKUs.
š Pro tip: Track results in 14-day windows and use Helium 10ās tools to measure ranking, conversions, and reviews on test products.
6. š„ Leverage Seasonal Trends in Q1
Seasonality isnāt just a Q4 thing. Q1 has its own buying patternsāand savvy sellers align their marketing with them.
ā Q1 Shopper Trends:
- Fitness & health (exercise gear, supplements, planners, home gym equipment)
- Organization & home improvement (storage, cleaning, decor)
- Self-care & productivity (journals, skincare, electronics, desk tools)
- Tax season (home office gear, shredders, software, calculators)
- Winter gear (cold-weather clothing, auto accessories, heaters)
Use these trends to guide:
- Keyword targeting
- Ad copy and images
- Social media and influencer marketing
- Email campaigns or Amazon posts
šÆ Pro tip: Use Brand Analytics and Amazonās Search Query Performance dashboard to identify emerging keyword volume.
7. š§ Strengthen Backend Operations
While sales may be slightly lower than Q4, Q1 is the perfect time to streamline operations so youāre ready to scale again.
ā Backend Tasks to Prioritize:
- Update SOPs (standard operating procedures) for product launches, PPC, and customer service
- Review and renegotiate supplier contracts to improve margins
- Set up replenishment workflows to prevent future stockouts
- Organize your ASIN-level profit tracking with tools like Sellerboard or InventoryLab
š§ Pro tip: Build a reporting dashboard that lets you see SKU profitability, ad performance, and inventory status at a glance.
8. š± Lay the Groundwork for Product Launches
If you plan to launch a new product in spring or summer, Q1 is the time to prepare:
- Finalize product design and packaging
- Create your listing copy and graphics
- Begin keyword research and build your PPC plan
- Order samples and run early tests with influencers or content creators
- Begin collecting pre-launch content and reviews
š” Pro tip: Use Amazonās Vine Program to seed reviews quickly for new products once theyāre live.
āļø Final Thoughts: Use Q1 to Get Ahead, Not Catch Up
While most sellers slow down after the holidays, the smart ones double down in Q1. This is the quarter where you lay your foundationāoptimize listings, improve margins, test ads, and organize your catalog.
Instead of treating Q1 as a lull, treat it like a launchpad.
Itās not just about what you do during the busy seasons. Itās what you do before them that makes the difference.
Need help optimizing your listings, ads, or Q1 planning strategy?
At Marketplace Valet, we help brands grow on Amazon with a smart, data-driven approach to advertising, inventory, and conversion.
š© Letās talk about how we can help you start strong in Q1.
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