Britain’s Competitive Watchdog is investigating whether Amazon is damaging competition and hurting consumers by giving unfair profits to merchants who pay for additional services.
A formal investigation by the Competition and Markets Authority yesterday reflects its dominance by e-commerce giants to undermine their rivals, reflecting a similar investigation conducted by the European Union’s executive committee and the German antitrust body. He said he would investigate concerns about abuse.
Amazon said it would work closely with the CMA during the investigation.
“We believe that small businesses selling on Amazon have always worked hard to help them succeed. This is both their interests and our best interests,” the company said. Says. “We are proud to continue to provide support to businesses of all sizes across the UK.”
Amazon offers some of the products it sells online, but many others come from third-party merchants and retailers, and Amazon offers the essential services to make a sale.
Watchdog said it would consider whether Amazon would give merchants an unfair advantage by using optional services with additional charges such as storage, packaging and shipping.
The UK has millions of customers. “It’s right to carefully investigate whether Amazon is using third-party data to unfairly boost its retail business and whether it favors sellers who use logistics and shipping services. Both can be weakened. Watchdog general counsel Sarah Cardel said in a prepared statement.
It’s also important to have a competitive market for British merchants selling on Amazon, Cardel said. “The loss of competition is a loss to the consumer, who may pay more for the product, be offered poor quality products, or have fewer choices.”
The survey focuses on how Amazon chooses so-called “buying box” suppliers. It gives customers the “Buy Now” or “Add to Basket” option with a single click. We are also scrutinizing the eligibility criteria for offers and the collection and use of data under the Premium Prime Label. MDT / AP