Amazon.com Inc. (NASDAQ: AMZN) has piloted a program to screen new sellers on its platform through video conferencing, Reuters reported Sunday.What Happened The new method to combat fraud on its e-commerce platform started early in the year, and included both in-person and online interviews for about 1,000 merchants across China, the United States, the United Kingdom, and Japan, Amazon said, according to Reuters.As the novel coronavirus (COVID-19) pandemic worsened in February, Amazon switched to video conferencing alone due to social distancing guidelines from health experts and authorities across the globe, the Seattle-based company noted.According to Reuters, the move particularly affects sellers based out of China, who may have registered multiple accounts with Amazon using private internet networks or fake utility bills.Research by Marketplace Pulse in 2019 suggested that Chinese sellers accounted for about 40% of the top 10,000 sellers on the company's platform.Why It Matters Amazon has long faced criticism for rampant counterfeit products on its platform.Apple Inc. (NASDAQ: AAPL) called out the company, and sued one of the third-party sellers on its platform back in 2016, saying the counterfeit products put its customers' safety at risk, BBC reported at the time.Amazon launched "Project Zero" in 2019, in response to the mounting complaints. The project aimed at giving brands more control over counterfeit products in their name, including removing third-party seller products directly, without the Jeff Bezos-led company's intervention.Price Action Amazon shares closed 0.45% higher at $2,410.22 on Friday and were mostly unchanged in the after-hours session.See more from Benzinga * McDonald's, Starbucks, Subway Part Of China's Central Digital Currency Pilot: Report * Blackstone Sees 'Actionable' Buying Opportunities During Coronavirus Pandemic, Even As Q1 Results Disappoint * Apple Says No Evidence That Hackers Exploited Vulnerability In iPhones, iPads To Steal Data(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved. Read More...
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="
Amazon.com Inc. (NASDAQ:
AMZN) has piloted a program to screen new sellers on its platform through video conferencing, Reuters
reported Sunday.” data-reactid=”19″>
Amazon.com Inc. (NASDAQ:
AMZN) has piloted a program to screen new sellers on its platform through video conferencing, Reuters
reported Sunday.
What Happened
The new method to combat fraud on its e-commerce platform started early in the year, and included both in-person and online interviews for about 1,000 merchants across China, the United States, the United Kingdom, and Japan, Amazon said, according to Reuters.
As the novel coronavirus (COVID-19) pandemic worsened in February, Amazon switched to video conferencing alone due to social distancing guidelines from health experts and authorities across the globe, the Seattle-based company noted.
According to Reuters, the move particularly affects sellers based out of China, who may have registered multiple accounts with Amazon using private internet networks or fake utility bills.
Research by Marketplace Pulse in 2019 suggested that Chinese sellers accounted for about 40% of the top 10,000 sellers on the company’s platform.
Why It Matters
Amazon has long faced criticism for rampant counterfeit products on its platform.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Apple Inc. (NASDAQ: AAPL) called out the company, and sued one of the third-party sellers on its platform back in 2016, saying the counterfeit products put its customers’ safety at risk, BBC reported at the time.” data-reactid=”27″>Apple Inc. (NASDAQ: AAPL) called out the company, and sued one of the third-party sellers on its platform back in 2016, saying the counterfeit products put its customers’ safety at risk, BBC reported at the time.
Amazon launched “Project Zero” in 2019, in response to the mounting complaints. The project aimed at giving brands more control over counterfeit products in their name, including removing third-party seller products directly, without the Jeff Bezos-led company’s intervention.
Price Action
Amazon shares closed 0.45% higher at $2,410.22 on Friday and were mostly unchanged in the after-hours session.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="See more from Benzinga” data-reactid=”31″>See more from Benzinga
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="© 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.” data-reactid=”36″>© 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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