Great news for retailers selling on Amazon. The internet giant has decided to remove policy which dictated that retailers weren’t able to sell their products cheaper elsewhere.
As from today (Friday 30th August 2013) Amazon have lifted the price parity policy across the European Union. Meaning retailers can now sell their products cheaper on their own website. Or any other online channel they sell through.
A number of complaints from retailers saw the Office of Fair Trading (OFT) launch an investigation into the price parity policy last October.
“We are pleased that sellers are now completely free to set their prices as they wish. As this encourages price competition and ensures consumers can get the best possible deals.” said Cavendish Elithorn, OFT Senior Director of Goods and Consumer.
The price parity policy meant that retailers had to be cheapest on Amazon. Otherwise they faced being banned from selling through the website. This caused headaches for retailers and made them question the point of having their own ecommerce website. When customers were buying through Amazon as it was always cheaper than buying direct.
We are happy to hear (and we know that some of our clients are too!) that Amazon have removed the policy. Allowing competition, will hopefully encourage consumers to buy direct. To take advantage of lower prices and deals they can only get by buying direct.
If you’re business is based in Lichfield, Burntwood, Cannock or the West Midlands and need help with your ecommerce efforts, get in touch to find out how we can help you generate leads and sales. Call us on 01543 495 752 or email us at firstname.lastname@example.org to have an initial chat.