50000 Chinese seller accounts have disappeared from Amazon
More than 50000 Chinese seller accounts have been banned on Amazon due to pay-for-praise and other policy violations
In May Amazon shuttered some of its largest sellers from China over violations of platform rules, including using fake reviews and incentives to solicit positive reviews from customers.
The crackdown drove China’s online exporters into a panic, and as it turned out, it wasn’t a one-off ambush from Amazon but a prolonged war, writes Techcrunch.
According to the Shenzhen Cross-border E-Commerce Association, more than 50000 Chinese retail accounts have lost their place on the platform lately, resulting in lost sales of $15.4 billion, reports Bloomberg. Punished accounts are suspended, with their goods withheld and deposits frozen by Amazon.
It indicates that Amazon now wants quality and design over generic products that compete solely on price and manipulation of ranking. For instance, it will begin paying customers up to $1000 for claims of property damage or personal injury under $1,000 caused by defective products, reports Theverge. The new policy begins on September 1st.
The Chinese government has taken note of the incidents. An official from the Ministry of Commerce compared the wave of store closures as Chinese exporters being “fish out of water”.
Nevertheless, many Chinese merchants are expected to carry on at Amazon, writes South China Morning Post. According to Wang Xin, executive chairman of Shenzhen Cross-Border E-Commerce Association, they’re opening hundreds of new accounts on Amazon, even though it will significantly increase its costs in terms of compliance and accreditation.
More Amazon news
Amazon offers a 75% discount on storage fees for best-selling items
Amazon asks sellers to send it more stuff Amazon is offering its third-party sellers discounts on storage fees as part of its plan to fulfill speedy shipping promises. According to Business Insider, Amazon now offers a 75% discount on storage fees at its...
Amazon is using astrology to sell its products
Amazon is using horoscopes for targeted marketing Amazon has been shipping monthly horoscopes to its Prime members in its Insider newsletter. Amazon states on its horoscopes page that readers can consult the readings to identify “which Prime benefits are...
Lost or damaged inventory at Amazon FBA warehouse
How to get reimbursement for items lost in transit to Amazon FBA When you ship items to Amazon.com, you expect them to be delivered and received into your inventory with no problems, but this isn’t always the case. Items (and sometimes boxes or shipments)...
