We have recently seen a dramatic fall in our sales going from turning over above £2000 a day on Amazon to a couple of hundred pounds so this is very significant to our business.
We have spotted that Amazon are selling products that we sell and are doing so at a greatly reduced price that nobody can compete with (plus they get the buy box nearly all the time) . We know for a fact that they have bought directly in huge quantities from the manufacturers in USA which is throttling the supply chain as distributors are out of stock. It is clear to see from what the UK distributor has ordered from the manufacturer and having not received has ended up being sold by Amazon. I see that they have put pressure on the manufacturer to take priority diverting stock to themselves with total disregard for UK businesses.
Of the shops in my industry that are still runnng through this crisis many have reported a huge drop in sales and lack of stock of this particular brand. These are peoples’ livlihoods.
I do feel that Amazon uses businesses that rely on this platform to create a “go to place” for products, then Amazon identifies those products that are most popular and sells them at a price that nobody can compete with because of fees and postage.
I would be interested to know who thinks that (although not illegal) Amazon’s practice is unethical and purposefully damaging to UK small and medium businesses.