Chris Burns and i are both amazon third party sellers and this is awful news for us. We both foresaw this becoming a detrimental issue months ago (see Is Amazon losing legit sellers). There has been such an increase of random sellers with sketchy names on amazon that we both began to worry about the domino effect it might cause; and it has indeed become a harmful botheration on the platform. I was trying to add a pair of Air Jordan 12 flu game in my inventory and i was not allowed to do so because of selling limitations; what that means is I am no longer allowed to sell these specific shoes on Amazon as a third party seller unless approved. And to be approved i have to be able to show that I am an authorized Adidas & Nike merchant. If this trend continues brands such as Adidas & Nike will soon forbid third party merchants to vend their products unless they have a permit. Birkenstock has already pulled their products off amazon and consequently barred third-party sellers from doing so, and i believe Adidas and Nike will follow suit.
The e-commerce giant is implementing what it calls “brand gating” to step up its battle against counterfeits.
As a result, Amazon is now using its brand gating policy which means third-party sellers will need to apply and spend up to $5000 to be able to sell popular brands. The policy will not be implemented on existing sellers but I believe this is the beginning of the end for guys like us trying to make an honest living selling legitimate products.