Are you bleeding profits because you hired the wrong agency? Next time, watch out for these red flags when hiring an Amazon agency before signing any contract.
Every Amazon seller knows how tough this platform really is, especially the ones who’ve been in the game for a while now. When the pressure builds, most turn to an agency hoping for real solutions and less stress.
But for many, hiring an agency only adds fuel to the fire. That’s why knowing how to spot a bad one can save your store, your margins, and your sanity.
We put this guide together to help both new and experienced sellers avoid costly mistakes. With the right agency on your side, selling on Amazon doesn’t have to feel like a never-ending battle.
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How a Bad Amazon Agency Could Hurt You
It’s not just about the money you lose. Hiring the wrong agency can set your brand back months or even years. Time, momentum, and visibility get wasted while your competitors pull ahead and scoop up the customers that should have been yours.
Poor strategy leads to weak listings, sloppy ad performance, and neglected brand protection. The damage can snowball quickly, and customers will notice when something feels off.
When communication breaks down, you’re left in the dark while your brand suffers. No clear updates, no proactive game plan, just missed opportunities and growing frustration on your end.
Red Flags to Watch for When Hiring an Amazon Agency
An Amazon agency is supposed to help you with the challenges, but when you hire the wrong one, you’re not solving problems; you’re adding more. That’s why spotting the red flags early matters.
Here are 12 signs that an agency might cost you more than it’s worth.
1. Cookie-Cutter Strategy
If the agency is pushing Bronze, Silver, and Gold packages or reusing the same plan across brands, your business isn’t being taken seriously. You deserve a plan tailored to your product, category, and goals, not a recycled checklist.
2. Overpromising and Underperforming
If you hear big promises like “10x your sales in 30 days” but see no proof, that’s a red flag. Trust the agencies that set honest expectations and have case studies to show they can actually deliver.
3. Ad Spend Over Results
If their pricing model is tied to how much you spend rather than how much you earn, they have no incentive to improve your profit. Smart agencies focus on efficiency, not just on spend volume.
4. No Accountability When Mistakes Happen
Mistakes will happen, but if the agency can’t own up to them or blames Amazon, that’s a bigger problem. A good partner will be transparent, take responsibility, and work fast to fix what’s broken.
5. Too Cheap To Be True
If you’re paying $100 a month, don’t expect white-glove service. Cheap rates often mean cutting corners, slow response times, and little to no strategic thinking.
6. Flashy Packages With No Real Strategy
When agencies sell shiny bundles filled with random services, they’re selling a product, not solving your problems. Your business doesn’t fit neatly into a tiered box, and the agency shouldn’t act like it does.
7. Vague About What They Do
If they talk in circles or say things like “we use proprietary methods” without details, they’re either hiding something or have nothing real to show. You should always know what work is being done and why.
8. Vanity Metrics Obsession
Impressions, clicks, and spend might sound impressive, but they don’t mean anything if sales aren’t improving. The right agency tracks what matters, profit and growth, not just noise.
9. Overloaded Account Managers
If your point of contact is managing 50 or more clients, your account is just another number. A good strategy takes time, focus, and consistency, you won’t get that if your manager is stretched too thin.
10. Terrible Communication
If they’re slow to respond, miss scheduled meetings, or only send automated reports, you’re not being treated like a partner. Clear, fast, and honest communication is non-negotiable.
11. The “Set It and Forget It” Lie
If they launch your campaigns or listings and disappear, you’ve got a babysitter, not a growth partner. Amazon is constantly changing, so your account needs regular attention, testing, and optimization.
12. Reports Filled With Fluff
Ten-page reports with colorful graphs mean nothing if they don’t show what’s working and what needs to change. You should be getting action items and clear insights that actually move the needle, not just data dumps.
What the Right Amazon Agency Looks Like
You now know the red flags when hiring an Amazon agency. The next step is knowing what to look for so you can find an agency that’s worth your money and trust.
Proven Results With Real Brands
The right agency shows proof, not promises. Look for client wins, case studies, and testimonials that clearly demonstrate sales growth and account improvements.
Run by Amazon Sellers
Agencies run by ex-sellers (or current ones) get it. They’ve felt the pain of stranded listings, broken flat files, and account shutdowns, so they’ll know how to fix them fast.
Real Team of Experts
Great agencies have specialists across all areas: SEO, design, catalog, PPC, and more. If one person is doing everything, you’re not getting expert-level service.
Proactive Problem Solvers
Amazon throws curveballs every week, such as suppressed listings, account flags, and policy changes. The right agency stays ahead of problems and knows how to resolve them fast without excuses.
Technological Proficiency
The best agencies use tools that give them deeper insights into your account and automate time-wasting tasks. If they’re not tech-savvy, they’ll fall behind fast.
Strong Client Retention
If brands are sticking around, there’s a reason. High retention usually means the agency delivers consistent wins and solid communication.
International Expertise
Selling across multiple Amazon marketplaces requires more than just translation. The right agency understands currency shifts, tax rules, and localization that actually converts.
Cultural Alignment
This one’s underrated but critical. If an agency doesn’t align with your team’s values and working style, it’ll always feel like a bad fit, even if they get results.
Tips for Choosing the Right Amazon Agency
Choosing an agency isn’t just about who looks best online; it’s about finding a long-term partner who can deliver real results. Here are some tips to help you make a smart, no-regret decision.
1. Define Your Goals First
If you go in without a clear idea of what you want, you’ll waste time chasing the wrong fit. Create a checklist of goals, like boosting PPC ROAS, fixing listing issues, or expanding to international marketplaces, so you can quickly tell if an agency can help.
2. Don’t Rely on Their Website Alone
Any agency can make itself look good on its own site. Check third-party platforms like Google Reviews and Trustpilot to see what past clients are saying when the agency isn’t controlling the narrative.
3. Schedule a Consultation
Get on a call with them. This gives you a feel for their communication style and whether they can clearly explain how they’ll meet your goals, not just throw jargon at you.
4. Review Their Proposal Carefully
Don’t just skim their pitch. Look for actual strategy, not fluff, and make sure the deliverables, timeline, and pricing are spelled out with no guesswork required.
5. Talk to More Than One Agency
Even if the first agency seems perfect, don’t stop there. Talking to multiple agencies gives you options and makes it easier to spot overpromises or underwhelming offers.
What to Ask Before Signing With Any Amazon Agency
When you’re talking to an Amazon agency, it can quickly turn into a sales pitch about how great they are. That’s why having a solid list of questions ready is key.
Below are questions you should ask to figure out if the agency is the right fit for your business:
- Have you (or your leaders) actually sold on Amazon before?
- Can you show proof, such as real results or case studies, of brands you’ve helped grow?
- Do you specialize in my product category or industry?
- Who’s actually going to be managing my account?
- What’s your full list of services, and how do you execute them?
- What’s your communication style and frequency?
- How do you track and report performance?
- What’s your pricing structure, and are there any surprise fees?
- Do you have any current clients I can talk to?
- What’s your client retention rate and average contract length?
Frequently Asked Questions
What are the biggest red flags when choosing an Amazon agency?
If they guarantee sales, avoid showing case studies, dodge your questions, or lock you into long contracts with no clear reporting.
Can working with a one-man agency be risky?
Sometimes. If one person handles SEO, PPC, catalog, and design, there’s a risk of burnout or limited skill depth. Make sure they’re not stretched too thin.
Is it a red flag if the agency won’t give me access to my Seller Central account?
Yes. You should always maintain ownership and access. If they refuse, they’re likely hiding something or trying to keep control.
Is it worth it to hire an Amazon agency?
Yes, if they know what they’re doing. A good agency can save you time, improve your rankings, and boost sales. But if they overpromise or push cookie-cutter strategies, it’s a waste of money.
What is the best Amazon agency for small businesses?
The best agency for a small business is one that’s transparent, affordable, and doesn’t lock you into long contracts. They should offer flexible service packages and focus on educating you, not just taking over everything behind closed doors.
Don’t Let the Wrong Amazon Agency Drain You
Hiring an Amazon agency is one of the smartest moves you can make when your business starts to feel overwhelming. But if the agency itself becomes another source of stress, you may have partnered with the wrong one.
Learning to spot red flags early can save you time, money, and a ton of headaches. This guide was built to help you figure out when it’s time to walk away and when it’s time to find an agency that actually supports your goals.
Tired of wasting time and money on the wrong agency? Talk to a team that delivers by contacting our full-service Amazon agency today!