However, all of the aforementioned roadblocks pale in comparison to the one created by illegitimate sellers pushing legitimate products on the Amazon marketplace.
Where there’s a will there’s a way. A growing concern with the increase in e-commerce activity is the rise of third-party sellers online finding creative ways to sell goods to meet this new demand, from counterfeit merchandise (known as the black market) to genuine products peddled through unauthorized channels (known as the gray market).
Rogue sellers are securing gray market products through a variety of channels, from stolen goods to liquidation and overstock. Sometimes these sellers don’t even know the origin of the products they offer at deep discounts, often compromising the quality during storage and transportation or selling expired versions to consumers. These dangerous holes in the supply chain leave your product and brand vulnerable to being compromised.
The good news is, sellers can do more than survive during this time. They can grow. There is an unprecedented opportunity to shift product and brand preferences in some categories in light of consumers who are newly turning to Amazon to purchase products they previously purchased strictly through brick-and-mortar shops or through other specialty retail channels.
For instance, niche cloth diaper brands can leverage their new customer base by hooking them through messaging emphasizing the benefits of permanently switching from disposable to cloth diapers. To capture these new segments, brands will need to focus more on elements of the consumer shopping experience.
In order to do this, though, businesses need strong e-commerce teams at the center of their digital ecosystems working to protect their brand’s reputation, product, and bottom line. The better you get at working with Amazon and learning the ins and outs of their brand protection strengths and limitations, the more likely you are to be able to leverage this new shopping landscape.
Trajan Bayly, CEO of Gray Falkon, is an award-winning innovator across multiple industries, including e-commerce, technology, health and finance. As a 20-year business veteran and recognized expert in market strategy, innovation, and artificial intelligence (AI) technology, Trajan's leadership experience spans a wide spectrum, from startup technology companies to large, global organizations like Ernst & Young and General Electric.