Amazon undercut seller and take over products
Hello, We have recently experienced that since last few days Amazon is selling the products that we are selling for last 4 years and we added the product to Amazon catalogue. This product was one of top selling and we are souring it directly from Manufacturer and hold brand owner (manufacturer) authorisation to list and sell the product on Amazon.
Amazon is selling at very unrealistic price. We have checked with manufacturer and they confirmed that the price amazon is selling is not not possible for even manufacturer to sell on amazon considering the FBA fees, seller fees and VAT to be paid. It looks that Amazon is undercutting all sellers by abusing the FBA fess. FBA fees may not be applicable for item sold by amazon but all third party sellers are liable for various fees and cannot go below certain amount.
Has anyone experienced similar? Isn't is abuse of FBA fees by amazon by undercutting all sellers who build the product reputation over years and now kicking all sellers out by selling at the price no third party seller can afford?
Can this be reported as violation to anywhere?
25 replies
Seller_Rvj1153dOprkQ
I have the same issue.
A certain SKU I am the cheapest price and Amazon have my stock for FBA but they Amazon are the box box even though they £0.22p more expensive and I am not.
I decided at the start of the month that I am phasing out Amazon to concentrate just on eBay.
Amazon make their own rules, have unfair policies and customers are getting worse on here.
As a small business, I don't need to the stress or more importantly loss.
Seller_76AUwmqvSyRIM
As you have seen for yourself, this is Amazon's Modus Operandi. This is how they have become what they are. From day 1, since they opened the marketplace to other sellers, they have been looking at sales data and picking off high selling goods. Their purchasing power is immense and get very low prices and have no issue in initially selling at a loss to get rid of other sellers.
Not much you can do other than continue selling the item at your normal price and wait until they go out of stock. You will get sales until they restock.
I suggest that you do not undercut them. It will end in tears.
Seller_Fg2fqaWOnEtha
And what about when they do this? Sell a product for a silly amount and get the BB even when they are eternally out of stock.
Seller_Mrso42lCWrN3m
From 1st May (I believe), Amazon have been told by the courts that they are no longer able to do this. They have to treat sellers the same as them selves for anti-competition rules when it comes to who has the buy box.
Seller_d8YGbIjNqwFxn
The announcement says that the changes will be implemented in May.
Nothing has changed so far.
Read the full detail of the commitments on the CMA website and you will see there is a lot of detail in there about what the changes are.
In your example where you are cheaper than Amazon on FBA you should get a fairer share of the buy box post changes.
Seller_7kfT0W2FtCImX
Yes I have had this too over the years on several items I sell. Really p*sses me off that I am in competition with the company I'm paying to help sell my product. £25 per month and 14% fee per sale is bad enough let alone stealing the actual sales
Seller_pG54VfsKolMUm
This has happened on around 80% of my products. Amazon are selling well below the price I have to sell them at
Seller_n33KwLeg9XOvi
Amazon dont charge themselves commission or FBA fees - so if your product listing is FBA - they could be buying from your listing - if they get any orders on their listing. Have you enabled Amazon to buy your FBA products?
Seller_PqRORvCSLAuUn
In the past 365 days Amazon have purchased 524 items from my company. They have undercut me on those items so it seems people are buying from Amazon and Amazon are buying from me at a higher price than their customer paid.
Amazon would be making a big loss from selling products and price matching. Amazon price match to Argos and Very's clearance prices. Looking in to the products Amazon are undercutting me on they matched prices on items Argos and Very lowered to clear and have sold out.
Seller_JkJ5Wu8mvvXN6
I by a product which is a parcel about 700g, amazon charge £3 delivered, it costs me £2 just to buy the product.
In have loads like that too
