FTC warns Amazon of fake reviews

0



Amazon banned sellers of Chinese electronics brands earlier this month after a database leak that apparently linked some of these companies to fake reviews, which the world’s largest retailer claims to be banning.

However, a report by Recode on Thursday (May 20) said internal communications from the intelligence service show that at least one of these bans was triggered not only by Amazon but also pressure from the Federal Trade Commission (FTC).

Recode also notes that the communications “appear to reveal an inconsistent punishment system where employees require special authorization to suspend certain sellers based on their sales figures, while some merchants can continue to sell products to Amazon customers despite multiple policy and warning violations.” “

The internal news also shows some other recent examples of the FTC putting pressure on Amazon to crack down on fake reviews.

Recode said the FTC refused to comment on the report. Amazon spokeswoman Mary Kate McCarthy said company policies are “the same for every seller, regardless of size or location,” but didn’t answer multiple questions about whether every seller faces the same level of enforcement.

History notes that programs where Amazon merchants reward customers with refunds, cash, or gift cards in exchange for positive reviews have increased along with the company’s product choices.

The company has filed several lawsuits related to these systems over the past six years while the FTC has taken its own action against bogus appraisers.

Amazon announced earlier this month that a $ 700 million investment and the efforts of 10,000 employees had caused a massive blow to counterfeit sales on its website, which is part of the company’s 2020 Brand Protection Report.

According to the report, that work stopped 6 million attempts to stop selling accounts and more than 10 billion lists of suspects, and stopped sales of more than 2 million counterfeit products.

——————————

NEW PYMNTS DATA: CRYPTOCURRENCY PAYMENTS STUDY – MAY 2021

About the study: U.S. consumers see cryptocurrency as more than just a store of value: 46 million plan to use it to make payments for everything from financial services to groceries. In the Cryptocurrency Payments Report, PYMNTS surveyed 8,008 US cryptocurrency users and non-users to investigate how they would like to use Crypto for purchases, which Crypto they would like to use – and how merchant acceptance can affect merchant choice and consumer spending .







Share.

Comments are closed.