NEW YORK: Amazon, which has come under pressure from buyers, brands and lawmakers to tackle counterfeits on its site, said on Monday it blocked more than 10 billion suspected fake ads last year before any their offers cannot be sold.
The figures were published in Amazon’s first report on its anti-counterfeiting efforts since announcing new tools and technology in 2019. The number of bogus ads blocked last year has increased by around 67%. compared to the previous year.
The Seattle-based e-commerce giant said the number of counterfeiters trying to sell on the site was increasing as scammers tried to take advantage of shoppers who were buying more online during the pandemic.
Amazon has been fighting counterfeits for years. But since 2019, he has warned investors in government documents that selling fake products poses a risk to the company and its image. Brands may not want to sell their items on the site if they know that fake versions are being offered. And knockoffs could cause buyers to lose their trust in Amazon.
Counterfeiters attempt to get their products from Amazon through its third-party marketplace, where sellers can list their items directly on the site. The company destroyed two million counterfeit products sent to its warehouses last year before they could be sold. And he said that less than 0.01pc of all items purchased from the site received counterfeit complaints from buyers.
Amazon said it can stop counterfeiters before they can sell anything thanks to machine learning technology, which automatically scans listings to remove suspected fakes. The company is also giving brands a way to remove bogus items from the site on their own, rather than reporting them to Amazon and waiting for it to do something.
The company’s efforts come as lawmakers seek ways to reduce online counterfeiting. Republican Senator Bill Cassidy of Louisiana and Democratic Senator Dick Durbin of Illinois reintroduced the INFORM Consumers Act this year. This would require third party sellers to be verified and disclose their name and address to buyers. The bill was introduced last year, but was not passed.
Amazon and small online stores, such as eBay and Etsy, are opposing the bill on grounds such as fears that it could discourage people from starting small businesses and selling online. But groups that represent physical big box retailers, such as Home Depot and Lowe’s, are supporting it because they say it level the playing field, as physical retailers are already making sure their shelves are free from counterfeits.
Amazon said it spent more than $ 700 million last year on its anti-counterfeiting efforts and that 10,000 people were working on it. The company has also filed joint trademark lawsuits, including one earlier this year with Salvatore Ferragamo against counterfeiters who were selling fake high-end brand belts on the site.
Posted in Dawn on May 11, 2021