Hot topic: Retailers leave Amazon

As we talk to prospective clients, we often learn that they are considering Fulfillment by Amazon as a possible fulfillment partner.  We try to tactfully ask them if they see the possible “conflict of interest” of selling their products on a website that sells similar products and has all of their sales data to analyze? Based on Monday’s article in Internet Retailer, we weren’t the only ones to catch on: see Big retailers let their Amazon channel run dry. According to the article, three major retailers pulled out of Amazon’s marketplace because they were “concerned about the ability of Amazon…to use marketplace retailers’ sales information for competitive purposes.” Although not brought up in the article, here’s another issue to consider: How is your brand and company reputation impacted by Amazon branded packaging?