OPEN LETTER TO AMAZON
Open Letter to Amazon
Firstly, I want to acknowledge the tremendous and historic opportunity Amazon has given me over these last eight years. I have been able to support my family, for which I am forever grateful. TG.
Recently, Amazon has been targeting long-time sellers, mainly resellers (sellers trading brands). These sellers are prompted to attend a video meeting where they are asked to provide the chain of custody for certain items to prove they are "suitable" (a euphemism Amazon uses for either stolen or suspect items, though no one really knows).
Even after providing the requested documentation, often after months of waiting and not knowing if Amazon will shut down their account, Amazon arbitrarily decides whether the seller can continue selling or not. They usually respond that they cannot verify the supplier and, under Section 3, they deactivate the seller's account (Deactivating an account includes seizing all the goods and funds.) because they provided documents from an "unverifiable supplier."
People who have been selling for many years, trying to eke out an honest living, find themselves seemingly at the whims of an algorithm. They wake up one day and find they are out of business, with all their money and inventory held. They have to fire their employees, they can't pay their vendors, they can't pay their loans, and they have inventory that cannot be sold. Then it impacts their personal lives: mortgages can't be paid, bills are delinquent, and their lives are ruined. Many years of work are eradicated in a moment, with no one to speak to. When calling Amazon help, often well-meaning employees are powerless to assist as it is beyond their scope.
This has put third-party sellers who have not been affected yet in a bind. If they buy from an "unverified supplier," they risk having their account deactivated, with money and inventory held. This essentially kills their business, which many people rely on.
Here are a few takeaways:
1. Firstly, it’s incumbent on Amazon to define a verified supplier.
2. I assume that Amazon is rightfully trying to weed out the bad actors. If that is the case, and amazon suspect one of our products comes from an ill-gotten source, we are happy to work with Amazon and the authorities to find the culprits. As opposed to ambiguously suspecting us to be the bad actor and holding my funds and inventory indefinitely.
3. In most cases, obtaining a supply chain is nearly impossible, mainly because the supplier risks losing business by divulging their source. Moreover, they are not legally obligated to provide their source. Just because a seller cannot prove the provenance of an item past two hands, does not mean it is not suitable.
4. Manufacture Malpractice; What also seems to be happening, even after providing documentation, is that manufacturers won't corroborate that these sellers are authorized because they are not on their list of authorized vendors. Moreover, we believe that manufacturers, in an effort to control prices, have weaponized Amazon’s policy by complaining to Amazon that the sellers which are competing on price, are bad actors who purchased from ill-
gotten sources. Even though there is zero evidence. This does not mean that the goods are stolen; it just means the manufacturers are unhappy. 5. If amazon has changed its policy, and wants to eliminate third-party sellers and have only authorized distributors or/and direct manufacturers on their platform, tell us! That way, we can part ways instead of luring more unsuspecting sellers into essentially a trap by allowing them to sell, build cash and inventory, and then one day turn off the spigot.
6. If this is the case and the deal market/third-party sellers are over, please make an official announcement with ample time for us to part ways amicably, with our money and inventory, so we can move on from Amazon, as opposed to holding our inventory and slowly depleting the funds left in Amazon by charging for storage, etc.
I speak for many long-time sellers affected by this latest purge, representing hundreds of millions of dollars in annual sales. Many of them have had their lives and livelihoods ruined by what seems to be an overcorrection. We are essentially victims of the bad actors, being cast in a broad net with them.
We would all love to continue selling on Amazon, and ultimately I believe Amazon and third-party sellers' interests are aligned. We want to work with Amazon to root out the bad actors and sources so we can clean up the marketplace.
In conclusion, we urge Amazon to work collaboratively with its sellers to establish clear guidelines and transparent processes. By doing so, we can protect both the integrity of the marketplace and the livelihoods of those who depend on it. Together, we can ensure that Amazon remains a trusted and vibrant platform for all.
OPEN LETTER TO AMAZON
Open Letter to Amazon
Firstly, I want to acknowledge the tremendous and historic opportunity Amazon has given me over these last eight years. I have been able to support my family, for which I am forever grateful. TG.
Recently, Amazon has been targeting long-time sellers, mainly resellers (sellers trading brands). These sellers are prompted to attend a video meeting where they are asked to provide the chain of custody for certain items to prove they are "suitable" (a euphemism Amazon uses for either stolen or suspect items, though no one really knows).
Even after providing the requested documentation, often after months of waiting and not knowing if Amazon will shut down their account, Amazon arbitrarily decides whether the seller can continue selling or not. They usually respond that they cannot verify the supplier and, under Section 3, they deactivate the seller's account (Deactivating an account includes seizing all the goods and funds.) because they provided documents from an "unverifiable supplier."
People who have been selling for many years, trying to eke out an honest living, find themselves seemingly at the whims of an algorithm. They wake up one day and find they are out of business, with all their money and inventory held. They have to fire their employees, they can't pay their vendors, they can't pay their loans, and they have inventory that cannot be sold. Then it impacts their personal lives: mortgages can't be paid, bills are delinquent, and their lives are ruined. Many years of work are eradicated in a moment, with no one to speak to. When calling Amazon help, often well-meaning employees are powerless to assist as it is beyond their scope.
This has put third-party sellers who have not been affected yet in a bind. If they buy from an "unverified supplier," they risk having their account deactivated, with money and inventory held. This essentially kills their business, which many people rely on.
Here are a few takeaways:
1. Firstly, it’s incumbent on Amazon to define a verified supplier.
2. I assume that Amazon is rightfully trying to weed out the bad actors. If that is the case, and amazon suspect one of our products comes from an ill-gotten source, we are happy to work with Amazon and the authorities to find the culprits. As opposed to ambiguously suspecting us to be the bad actor and holding my funds and inventory indefinitely.
3. In most cases, obtaining a supply chain is nearly impossible, mainly because the supplier risks losing business by divulging their source. Moreover, they are not legally obligated to provide their source. Just because a seller cannot prove the provenance of an item past two hands, does not mean it is not suitable.
4. Manufacture Malpractice; What also seems to be happening, even after providing documentation, is that manufacturers won't corroborate that these sellers are authorized because they are not on their list of authorized vendors. Moreover, we believe that manufacturers, in an effort to control prices, have weaponized Amazon’s policy by complaining to Amazon that the sellers which are competing on price, are bad actors who purchased from ill-
gotten sources. Even though there is zero evidence. This does not mean that the goods are stolen; it just means the manufacturers are unhappy. 5. If amazon has changed its policy, and wants to eliminate third-party sellers and have only authorized distributors or/and direct manufacturers on their platform, tell us! That way, we can part ways instead of luring more unsuspecting sellers into essentially a trap by allowing them to sell, build cash and inventory, and then one day turn off the spigot.
6. If this is the case and the deal market/third-party sellers are over, please make an official announcement with ample time for us to part ways amicably, with our money and inventory, so we can move on from Amazon, as opposed to holding our inventory and slowly depleting the funds left in Amazon by charging for storage, etc.
I speak for many long-time sellers affected by this latest purge, representing hundreds of millions of dollars in annual sales. Many of them have had their lives and livelihoods ruined by what seems to be an overcorrection. We are essentially victims of the bad actors, being cast in a broad net with them.
We would all love to continue selling on Amazon, and ultimately I believe Amazon and third-party sellers' interests are aligned. We want to work with Amazon to root out the bad actors and sources so we can clean up the marketplace.
In conclusion, we urge Amazon to work collaboratively with its sellers to establish clear guidelines and transparent processes. By doing so, we can protect both the integrity of the marketplace and the livelihoods of those who depend on it. Together, we can ensure that Amazon remains a trusted and vibrant platform for all.
71件の返信
Seller_7LrAV0m5llaI7
The wholesale supplier's source should be the brand owner. If they can't provide that information, then they aren't a brand authorized distributor, and they're selling counterfeit or grey market items, and you should go up the chain even more and pay less money for your inventory the closer you get to buying from the brand directly, because you're getting ripped off.
If you can't verify their source, how can you feel comfortable that the item ISN'T counterfeit? And yet you want to continue to sell those items and risk it? Come on....there are federal laws against this that you risk by continuing to sell unverified items.
Why wouldn't you be on their list of authorized vendors? The brand owner directs you to their wholesale distributor when you call them and set up an account for your business. If you don't have that documentation, then should you really be selling that brand?
Not sure what you mean by "deal market". That sounds like eBay, not Amazon.
But you gotta see it from an authorized third party sellers viewpoint. We spend years building our business. We spend money, fly to trade shows, do networking with brand owners, build relationships with sales reps, help them expand and promote their brand, and actually spend the time to build our business properly, investing in warehouse space, employees, advertising, etc.
And then Amazon has sellers that come in and do retail arbitrage/online arbitrage without a valid supply chain. They will get a deal from a retail store blowing out their inventory, or buy at a damaged/lost goods auction. They are selling grey market items to Amazon's customers that no longer carry a factory brand authorized warranty since they purchased it retail or at auction. They can not guarantee that the item is completely brand new in any way, shape or form. (It could have been opened, someone could have returned it to store already, etc)
Take this stuff to eBay and keep it off Amazon! Amazon customers want new, genuine supply chain items! They don't want items that have changed hands a few times before they buy it if they're paying full Amazon price!
All those sellers care about is making a buck. How do you think that brand authorized resellers feel about that after investing all that time and money into their business? How do you think the brands feel about that? We all know that Amazon doesn't honor MAP pricing policies but then all of a sudden you get sellers selling way cheaper than they should, which can make a Brand feel cheap or make it feel like a discount brand now compared to what it should be.
Seller_lo3gKtsoiSWzz
Firstly, we get our inventory through many different channels: end of life, closeouts, surplus, etc. All these deals end up on the "street." These are coveted sources, and no one wants to give away their supply. There are ways to make sure your suppliers are legit. Firstly, with references; secondly, you can call the manufacturer with the serial number and check. Amazon can do the same.
If you are suggesting we shut down this market of third-party sellers finding deals, that’s fine. You are clearly taking the position I wrote about in point number 6. So, you are suggesting Amazon take the position that there should be no competitive deal market. That’s fine, but let’s be clear about that. What has made Amazon unique is that it is a competitive marketplace, not just another Best Buy. But if that has changed, I would appreciate some clarity.
Seller_7LrAV0m5llaI7
There hasn't been any rule change. They're just enforcing the rules that were already there that lots of sellers took advantage of when they weren't enforcing the rules.
No, what makes Amazon unique is next day or two day free prime delivery and free shipping.
Seller_lo3gKtsoiSWzz
Please enlighten me on exactly what rule they are enforcing. Please read what I wrote again. I don't think you understand. Again, you are suggesting Amazon cease being a marketplace. If MAP is enforced, it is not a competitive marketplace. Yes, I'm sure brands don't like when their inventory is sold below what they would like. This is, in fact, one of the beauties of Amazon. Sellers compete, and customers win. Counterfeits and misrepresented quality of goods, as well as warranties, can all be verified by Amazon. They have the inventory in FBA and can pull a few samples. This is NOT the issue. They are suggesting goods are stolen. The way they verify this is by invoices. They arbitrarily decide if a supplier is verified or not, then they seize your goods and inventory. If, in fact, they do not want a competitive market like you suggest, that is fine, but let it be clear.
Seller_7LrAV0m5llaI7
Sure, it's under the Supply Chain Standards Policy:
https://sellercentral.amazon.com/help/hub/reference/GGA969XZCZZPEVY5
You also want to look at the Unsuitable Inventory Investigations Policy:
https://sellercentral.amazon.com/help/hub/reference/GH4YYXNDRW9BSZEN
and the Amazon Anti Counterfeting policy:
https://sellercentral.amazon.com/help/hub/reference/G201165970
and your Amazon Business solutions agreement:
https://sellercentral.amazon.com/help/hub/reference/G1791
Seller_lo3gKtsoiSWzz
.im assuming your referring to this
"Your documents should be able to trace your products to the original manufacturer even if you did not purchase them directly from the xoriginal manufacturer. This may require requesting additional invoices or supply chain documentation from your supplier if you are not sourcing directly from the manufacturer."
A. There is a typo in "xoriginal," which indicates to me it was recently hastily added.
B. This is not a requirement to sell; it's only after they suspect you have "unsuitable goods." Hence, my point about Amazon clarifying...
C. I know from other sellers who have submitted invoices that Amazon accepts some and not others, which do not trace back to the manufacturer. All I'm asking for is clarity.
D. Being that you are most likely a hired gun (your store is non-existent, you are biased towards Amazon, your prompt replies, your intimate knowledge of their policies are a dead giveaway LOL), Amazon, please take my concerns up the chain.
E. Obviously, I do not agree with this policy. It makes no sense; you can't buy from long-time reputable suppliers? (They are in no way obligated to provide such documentation.) There are companies that buy from Amazon FBA, like 888LOTS... is this unverified? There are retail arbitrage companies that buy from Best Buy... are they not verified? But again, we are at the mercy of Amazon. We sign our lives away. We want to be compliant. If the gig is up, make it official. Close all listings and allow sellers to bow out intact.
Seller_lo3gKtsoiSWzz
this is your store under the name you are writing.
https://www.amazon.com/s?i=merchant-items&me=A13WNJJIX1IQHH
Clearly, this is the end of third-party sellers. They are only allowing brand-authorized sellers. Unless you are a selected authorized re-seller with exclusivity on brands (a very few select group of people), there is no money to be made. if you can even find a manufacturer that will sell to you.
Amazon should not allow any sellers unless they are pre-approved by the manufacturer to sell. If I were still selling and found out only direct manufacturers can sell, I would pull my inventory.
Also, it seems like you have inside knowledge of who is and isn't authorized. You are confidently telling me that an item sold by Amazon overstock cannot be resold on Amazon or an item from a major retailer is not verifiable (like Best Buy).
With that said, at least do me the courtesy of getting my money and inventory back from Amazon. That would be great.
Seller_DcjK2AwQUmomL
So, bottom line, you clearly seem to have some inside knowledge of Amazon's new direction (I hope you're wrong). Amazon is effectively killing third-party resellers.
(PS: Those screenshots are meaningless; you can find them with a quick Google search. Again, a moot point. I just hope some important people at Amazon are reading this so they can get real-life feedback from sellers.)
I gave you a bunch of examples of ways one can buy goods legitimately—which will be difficult to trace back to the manufacturer. You're getting hung up on Best Buy, but there are many retailers looking to liquidate, which is a perfectly legitimate and legal form of business. Just not brand authorized. It is 100 percent legal. This is the space where legitimate sellers like myself operate. We have been selling on Amazon for years with an excellent track record. Brands do not like us because we do not adhere to MAP. That doesn’t make us bad actors who need to be shut down.
In your first response, you tell me to view it through the lens of the brands. I tell you to look at it through our lens. On the opportunity/deal end, we also fly to shows, build our network, etc. We actually serve a vital part of the business. Where do you think the brands sell their overstock, excess, and end-of-life products? To guys like us. We spend millions taking risks buying this inventory. When we provide invoices, Amazon says it's from an unverifiable supplier. They hold our money and inventory. If your reaction is, "Well, you signed up for this," either you are heartless, a bot, or a hired gun.
So if Amazon doesn’t want us in the business anymore, and they only want brand-authorized sellers, effectively killing this market, let us bow out intact. I personally do not think Amazon is taking this position; I think it’s an overcorrection. Hence my responses to you. (I'm hoping they read it.)
There are many ideas on how to overcome this hurdle. one idea is creating a database of verified suppliers and pre-approved wholesalers, so we can buy with confidence.
Amazon, if you’re reading this, I have more ideas like these.
I actually have ideas and would love a meeting (I have done tens of millions in sales and I’m in a network of sellers representing hundreds of millions annually), so I know a thing or two about how this space works. So whoever you are, please pass this up the chain for them to reach out to me.
Seller_8sP6ffckcRn6v
I understand how you feel. However the platform became flooded with counterfeits. Each time there is a complaint, Amazon must request a complete supply chain or get in hot water themselves.
I understand that you are a long time seller and made a living without having to buy directly from the brands. But time has changed. You should no more ship products to FBA that are your are uneasy about.
You will have to place larger orders when buying from the right source but at least you will be able to sleep at night.
Grey market products may be legal. But it is deceptive. There is a family owned store in my neighborhood. They have brand name soaps that all the information is in Spanish. I understand that the product was intended to be sold in Costa Rico. I may decide to purchase them anyway.
But I would be very upset if I order on Amazon and receive such a product.
We once got a defective shipment of one of our products. The manufacturer used the wrong grade of stainless steel We discarded the whole shipment. Several pallets of it.
Somehow someone got hold on some of them on their way to the recycling plant. They ended up for sale on Amazon.
We designed the product. The factory makes them to our custom specification using custom dies, molds, and tools that we paid for. We invested huge amounts of time, money, and sweat in the product.
When those defective products showed up for sale by a third party we were were mote than "just unhappy." That seller is ruining our good name.
We got some compensation from the factory. We still took a great loss throwing away the shipment, only to have some dubious characters trading our discards and trying to profit from them.
I reported the seller only after asking them to remove their listing and was ignored.
I ignored them when they asked me to retract our complain.
Atlas_Amazon
Hello @Seller_lo3gKtsoiSWzz
Thank you for the information provided. I have forwarded your feedback on to the appropriate teams. I do want to provide some insight into how this all occurs.
As mentioned by @Seller_7LrAV0m5llaI7, it is important to ensure that each aspect of your supply chain can be verified to ensure that all of your products are authentic and authorized for sale. Have you experienced a concern like this recently?
Due to the laws surrounding the sale of inauthentic or unauthorized product, our team will have to verify your supply chain set up if there is doubt about the origination of your product. If they cannot verify the information, they cannot allow the product to be sold and they may not be able to release the funds.
We do encourage you to continue to share your feedback on this concern as it is much appreciated.
Best,
Atlas
Seller_U2iypJCercyzc
Amazon refused to release inventory to me in Amazon Japan because someone said it was counterfeit. They had all the paperwork to prove I purchased the license and had the goods manufactured on our dime.
When I chose to stop doing business with Amazon Japan, they refused to ship the merchandise to the Salvation Army in Japan because they claimed it was counterfeit.
That was roughly 10 years ago. We abandoned the merchandise and closed our account in Japan.
I have other stories which are true, seemingly incredible and more abominable. I'm happy to see more people catching on. By the way, Trustpilot gives Amazon Seller Central a 1.4 star rating out of 5.
Seller_qgkaa9vNYZ46q
Your biggest miscalculation is thinking amzn [Moderator Edit: removed inappropriate commentary] about what you think. Only when big shareholders and board of directors begin complaining about sinking profits will the winds of change blow in. I'd say....we're still 2-3 years away from those types of c-suite convos, then 1-2 years of begging sellers to jump back on board, we're sorry we really want you back as a seller. blah blah blah. All of this will coincide with a new kid on the block stealing amzn's market share to the point where they actually feel it. You read it here first.
