Amazon No Longer Will Control Seller Prices Across Marketplaces

Sellers who sell on different marketplaces on Amazon previously were forced to maintain price parity among the different Amazon marketplaces.

Sellers who sold on different marketplaces had to maintain pricing among all marketplaces that was equal or above the US pricing.

However, recent anti-trust concerns from Federal lawmakers and regulators has resulted in Amazon no longer forcing sellers to maintain such price parity.

Instead, sellers can now offer products on non-US Amazon sites for less than on the US site, giving sellers the freedom the price their products competitively for each market.

The company confirmed this new policy went into effect on Monday, but provided no further comment.

Lawmaker Concern

US Senator Richard Blumenthal had previously asked the US Department of Justice and the US Federal Trade Commission to investigate Amazon for antitrust violations and how it may impact the prices consumers pay for goods on the site.

“Amazon’s price parity provisions may raise prices for consumers both in the short term and in the long run. Relatedly, Amazon’s price parity provisions may work to block the emergence of more efficient online marketplaces that might offer consumers lower prices on their favorite goods.”

Senator Richard Blumenthal in letters to the DOJ and FTC in December

In a statement to CNN Business, Blumenthal welcomed Amazon’s decision, but he further said he is “deeply troubled that federal regulators responsible for cracking down on anti-competitive practices seem asleep at the wheel, at great cost to American innovation and consumers.”

In recent months Amazon and other large tech giants have come under fire from politicians, including some that are suggesting the companies may need to be forced to break up.

While most such calls usually fall on deaf ears, it seems the threat of an anti-trust investigation may have forced Amazon to make a policy change here.

READ MORE: Amazon Pulls Plug on HQ2 in New York

Where you impacted by this policy and will this new Amazon pricing policy make it easier for your to compete in different markets? Please use the comments section below or head over to our Facebook Group for Small Business Sellers and interact with other small business owners.
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