In the middle of this month, we reported that Amazon was held responsible by a California court for quality issues with third-party sellers’ products (click here for details). At the time, Amazon did not respond to the ruling. In previous similar cases, Amazon has always refused to admit its fault. Thanks to the powerful legal team of the brother-in-law , Amazon has almost never lost in such cases, until last year's dog leash case and the laptop battery self-ignition case we reported in the middle of this month. Amazon could have just pretended that nothing had happened and continued to deny its guilt in similar cases. However, Amazon recently responded to the verdict with a shocking statement that shocked the sellers. Amazon recently publicly stated that it supports the California court's ruling and will introduce relevant policies in the future to take responsibility for quality issues of third-party sellers' products! Amazon actually took the initiative to take responsibility for third-party sellers. This move is really eye-catching. However, this is not because my brother-in-law is kind. After carefully reading Amazon’s announcement, I found that my brother-in-law’s move is really vicious. First paste the original text, Simply translated, it means "If the government amends AB 3262 (a bill that requires retailers and manufacturers to be responsible for product quality) to expand the scope of the bill to online e-commerce, Amazon is ready to welcome this change, and we call on all companies operating online e-commerce platforms to join us. " Can you see how toxic this is? This change by Amazon directly puts other e-commerce companies on the same level. For Amazon itself, with its deep pockets and numerous third-party sellers, the losses caused by supporting this bill are not unbearable, and it can also be used to clean up a group of low-quality third-party sellers. But other e-commerce platforms are going crazy. Which platform dares to make such a guarantee like Amazon? This bill change is definitely a good bill that consumers can agree with. If you don’t agree with Amazon and this bill, you will immediately be regarded as a “low-quality platform” in the eyes of consumers and the government , which will have a terrible impact on the entire platform. As expected, after Amazon announced that it would take responsibility for the quality of third-party sellers' products, some e-commerce platforms immediately became restless and stood up to oppose Amazon's statement . Etsy and Shopify said that "Amazon is using the bill to eliminate competitors" and "Amazon's support for the bill makes it more difficult for many companies to do business." “Consumer protection is important, but frankly, it cannot come at the expense of small and medium-sized independent businesses, which are the backbone of the American economy. Amazon is taking the extremely bold step of eliminating a competitor by calling for expensive and complex regulations that only they can afford.” —Josh Silverman, CEO of Etsy Amazon itself has received too much attention from consumers and governments this year, and there are several organizations that want to split their own business. This decision, which greatly benefits buyers, can reduce the hostility of governments and consumers, and force several competitors to die. It is really killing two birds with one stone, and I can't help but worry about these small platforms. When it comes to us third-party sellers, Amazon’s decision is rather subtle and has both advantages and disadvantages. Let me explain it to you in detail below. Being responsible for the seller? There are both good and bad sides If Amazon can really push for this bill to be amended, it will definitely have a huge siphoning effect on small platforms like Etsy, attracting traffic from small platforms to Amazon. Being responsible for all products, including third-party ones, allows buyers to shop more confidently, which is an extremely tempting attraction for buyers. Therefore, this move will allow Amazon to further expand its market share and grab more traffic and orders that originally belonged to other platforms, allowing itself to take advantage of them completely. In theory, we third-party sellers can also benefit from the dividends brought by this traffic growth. Of course, if Amazon really wants to be responsible for third-party products, the relevant seller and product audits will only be more stringent than they are now, and the siphon effect is not just about attracting traffic. Sellers from other platforms will also turn to Amazon. In the long run, Amazon's monopoly will inevitably result in too many people and too little porridge. Now Amazon's move has caused an uproar in the US e-commerce industry. Various CEOs have come forward to oppose Amazon's support for the bill changes. I believe that the US government will not make a decision easily. This is a far-reaching matter and it is unlikely to be approved in the short term. It is more realistic for us to seize the double peak season of Primeday and Black Friday at the end of this year. Now everyone should have decided on the activities, so don’t miss the application deadline for the two free activities. |
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