Perhaps, this is relevant; Small Business products FAQ

This particular bit seems quite relative,

6. Can I remove products from my Small Business brand from participation in this program

At this time, we do not allow the exclusion of specific products. If you don’t want to participate, you may choose to have your business removed from the program completely by contacting Selling Partner Support (it may take up to two business days to reflect on the store).

IMHO

Someone else posted about this and they weren’t small business. Oddly enough, I am small business and none of my items have this badge. Wondering what’s the criteria Amazon uses to determine what listings qualify because apparently, it seems they’ve been getting it wrong since they started “testing” this new feature

Impact them for the worse? Wow you would think Amazon would want it the other way around. And buyers might be motivated to order from smaller Ma & Pa sellers for better service. Big cooperations make a lot of people “ill” these days when they are shopping.

Seems it impacts a lot of sales ever since.

Glad to see you’ve done a solid analysis of your data here.

How? Good or Bad? Or maybe it is just the products you are offering? If you are selling products that buyers want and need, that badge really has no meaning. It is put there by Amazon as a nice gesture to make you feel good.

Have you been able to remove the small business badge? It is also impacting our sales. I think it depends on the category. We sent them a message, but we have not received a response.

Same thought crossed our minds.

Put us among those who suspect this is lowering our sales. Going to give it a little longer to wait and see others’ stories.