The company has laid off around 30 employees, which accounts for less than 5% of its staff in the Buy with Prime unit, TechCrunch reported Friday (Jan. 19).
“We regularly review the structure of our teams and make adjustments based on the needs of the business and, following a recent review, we’ve made the difficult decision to eliminate a small number of roles on our Buy with Prime team,” an Amazon spokesperson said in the report.
Launched in 2022, Buy with Prime offers Prime benefits to third-party merchants, according to the report.
The offering has gained strong adoption from merchants and positive feedback from customers, prompting Amazon to continue investing in the service, the report said.
Buy with Prime expanded its availability in early 2023, including more U.S. brands like BigCommerce and Sustainable Glam, per the report. The service has also introduced new features, such as order tracking through Amazon’s website and mobile app, as well as live chat with customer service.
“Buy with Prime is a top priority for Amazon, with strong adoption from merchants and positive feedback from customers, and we will continue investing significant resources in Buy with Prime to build on that momentum,” the Amazon spokesperson said in the report.
Amazon’s Buy with Prime started as a straightforward opportunity for merchants to sell listed products directly from their website but has morphed to include a powerhouse of possibilities for retailers who join the initiative, PYMNTS reported on Jan. 11.
The recent layoffs in Buy with Prime are part of Amazon’s broader restructuring efforts, according to the report. Over the past two years, Amazon has made its highest-ever number of layoffs, cutting 27,000 roles across various divisions, which accounts for 8% of its corporate workforce.
The company’s decision to downsize was reportedly driven by the need to reduce costs after a period of rapid expansion during the pandemic.