Amazon is one of the top e-commerce platforms worldwide, the reason why every brand wants to list its products on it. With the rise of online trade, many infringers have also come on this e-commerce platform to gain an unauthentic share of profit. This is something that has largely gone unnoticed by the Brands and End-Consumers.
There can be multiple reasons why many brands find it hard to identify such infringing/counterfeiting sellers on Amazon who take away their business reputation and profit margins.
Though big-size businesses somehow manage to fight online counterfeiters on Amazon, the real challenges arise for mid or small-size companies as they don’t have the necessary funds and resources to deal with their online fakes.
Online hackers and counterfeiters have become way more advanced and proactive these days. They very well know how to fool brands and customers online. Here are some of the most common frauds that take place online:
Most common frauds on Amazon
- Intellectual property infringement
It’s one of the common issues that brands are facing online on Amazon. The top e-commerce platform has realized that many businesses lack the time and resources to navigate the sometimes-tricky bureaucratic waters of the trademark filing process. That’s how counterfeiters manage to exploit the brands on Amazon. Here are some of the IP infringements:
- Copyright infringement: Duplicating the original works of a creator.
- Trademark infringement: Copying the names, phrases, logos, color schemes, and other details of the brand.
- Patent infringement: Copying the idea or invention of the brand. Amazon is generally out of patent infringement cases.
- MAP policy violation
There’s an agreement made between brands, distributors, and retailers to fix the minimum product price. It’s called Minimum Advertised Pricing (MAP) policy. Unauthorized sellers sell branded products below the fixed price and violate the MAP policy. Of course, they have no connections with the brand. There’s no point in following the MAP policy. Instead, they focus on winning the Amazon Buy Box leads as it helps the set competitive pricing on the branded product.
- Fake reviews of counterfeit products
Nothing is more dangerous or harmful than trusting a fake review posted on Amazon. When consumers order products by trusting a review online and later find out that the product is counterfeit, the brand loses its loyal customer forever. It’s that impactful! In short, it’s a threat to both consumers and brands.
Beware! A fake review on Amazon can be an attempt by a competitor. Don’t trust it blindly.
- Illegal supply of authentic brand products
The unauthorized selling of original products on Amazon is another technique used by counterfeiters. It brings further losses to brands as they don’t even get the actual price for their authentic products, innovation, and efforts. In such cases, the identification of unauthorized sellers becomes necessary.
How can you protect your business on Amazon?
Fortunately, some solutions are available to limit the supply of fake products on Amazon and curb the counterfeiting practices up to a considerable extent.
- Don’t forget to sign up for your brand registry. It gives accelerated access to brand protection on the Amazon platform.
- Register intellectual property
- Set up MAP policy
- Notify and report unlisted sellers as soon as possible
- Regularly monitor your listings on Amazon
- Report fake reviews posted online
- Use Amazon IP Accelerator
- Stay in touch with Amazon brand protection services
- Use smart, connected, and anti-counterfeit product packaging
- Add product authentication mechanisms to the product
- Add authentication steps on amazon and product packaging
Stay a step ahead of online counterfeiters on Amazon
Dealing with online fakes on Amazon is challenging. With the application of technologically-advanced digital solutions, brands can overcome this problem smartly. LetsVeriFy brand protection and anti-counterfeiting solutions can safeguard your brand from online infringements and product fakes on Amazon in real-time. Reach out to us to know more about our digital solutions.