Several top Chinese sellers have disappeared from Amazon
Amazon has blocked over a dozen Chinese sellers for alleged “suspicious behaviour”, including two of the biggest electronics Amazon-native brands out of China. The total sales by the suspended sellers exceeds $1 billion.
For over a week now, most Amazon listings from Aukey, a major Shenzhen-based electronics vendor, have been listed as “currently unavailable”, reports South China Morning Post.
Similarly, most products on Mpow, the main Amazon electronics store run by ByteDance and Xiaomi-backed consumer product firm Patozon, have not been available for purchase since late April.
The two companies are part of a growing wave of Chinese vendors turning to Amazon to reach international customers. Some of them are using grey area practices common in Chinese marketplaces. These include making up fake reviews and inflating sales numbers.
Amazon‘s recent action may be an effort to send a warning shot to bigger brands that the US platform will not tolerate such behavior.
The disappearance of product listings from Chinese brands coincided with a recent report from the antivirus site SafetyDetectives. They uncovered a database, exposing an organized fake reviews scam on Amazon. It contained the identities of over 200,000 users and vendors, involved in fake product review schemes.
The database, and messages contained therein, revealed the tactics used by dubious sellers. One method is whereby vendors send a customer a link to the items or products they want 5-star reviews for, and the customer will then make a purchase.
Several days after, the customer will leave a positive review and will send a message to the vendor, leading to payment via PayPal — which may be a ‘refund,’ while the item is kept for free. As refund payments are kept away from the Amazon platform, it is more difficult to detect fake, paid reviews.
While it is unclear who owns the exposed database, the data shows that the server is located in China.
More Amazon news
Why Did Amazon Block Sellers From Using FedEx?
Here's Why Amazon Won't Let Third-Party Sellers Ship with FedEx Earlier this week, Amazon announced that sellers on its site will not be permitted to use FedEx for deliveries to Amazon Prime customers. The Wall Street Journal reported a “decline in...
Amazon logistics keeps growing rapidly
Amazon is already delivering half of its packages Amazon has been steadily growing its logistics operations, and it now delivers more than half of all packages in the US, according to Morgan Stanley It means Amazon, which now operates its own freighters...
New Australian Amazon Fulfillment Center in Perth
New Amazon Fulfillment Center in Australia Opening of the new Fulfillment center in Australia is significant for merchants looking to use Amazon FBA in this country Amazon has opened a new fulfillment center in Perth on the Western coast of Australia. The facility...