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Due to the fast-spreading of COVID-19 through the world, more and more Amazon sellers get suspended due to “Price Gouging” violations. Amazon is sending more notices accusing sellers of price gouging violations. Recently, Amazon launched a new algorithm that is fighting against unfair pricing and monitoring price changes on Amazon. Got Suspended Clients is keeping track and have the latest information on the development.

How It Works:

Because of the pandemic situation, most manufacturers increased prices on many products; as a result, you have to source products at a higher cost and change the prices of your listing. Unaware of anything, you are gouging in violation of the Amazon Marketplace Fair Pricing Policy which will end with your seller account suspended. Moreover, there was no warning about what triggered your account suspension.  As a rule, there are two main reasons which can lead to your account suspension due to the price policy violation. The first one is when due to the unforeseen circumstances, you have to raise the cost of some products. The second one is when you are using repricing software, which inflates the prices when competitors jumped off the listings.

Most of the sellers who reached the “Got Suspended Clients” team with this problem did not violate any price gouging. At least it was not their intention to do so. They just raised prices on several products; as a result, they lost their seller privileges and faced Amazon seller suspensions. Sellers used automatic repricers and followed the rising costs on listings. There are no limits on how high the price could be. As a result, they got suspended without knowing that they violated Amazon’s policies and engage in price gouging.

Fortunately, we at Got Suspended Clients are able to reinstate your seller account without much delay.

Keep in mind that before choosing the product for selling on Amazon, you should think twice. Obviously, no one can predict large-scale disasters. If you are selling a product that is considered to be part of the “Emergency Supply” list and can be on high demand during the crisis, you are risking an Amazon seller suspension if you engage in price gouging. Since most of the sellers turn to online shopping during emergencies, in most countries, the Government regulates Amazon for violations of price-gouging laws of the given country.

There is no need to be Sherlock Holms for predicting such kind of issues in advance. An early bird gets the worm, so try to follow our guidelines:

  • Try to set a maximum price in the repricer program and keep costs around 10% of MSRP.
  • Try to be aware of all-natural disasters and weather events. In reality, you can’t do this. But you can predict the second wave after the first one hits.
  • Quickly respond to all questions from costumers, relating to excessive price.
  • Do not ignore notifications and warnings coming from Amazon.
  • Regularly check your account’s balance and settlement information in the Payments section of Seller Central.

Let’s summarize the above-mentioned. You raise the price on specific products by a couple of dollars, but by some miracle, that step is considered to be “Price Gouging.” As a result, your seller account is suspended and you have to appeal your Amazon seller suspension. This can make any seller fearful about the fate of their store, and livelihood in general. If you need professional help, contact us and we will assist you in reinstating your Amazon seller account promptly.