AMAZON TO DISCLOSE MERCHANT NAMES TO DISCOURAGE ROGUE SALES

The situation

Amazon has notified sellers they will no longer be able to anonymously hawk goods on its U.S. e-commerce site as of Sept. 1. Though Amazon said it was making the change to “help customers make informed shopping decisions,” the move could also help curb sales of dangerous and counterfeit items that have plagued the site.

What will change

The company announced the change in a post on the site where it shares information with the third-party merchants who list products on its site. Those sellers account for the majority of physical merchandise sold on the site, as much as 58% in 2018, CEO Jeff Bezos wrote in a letter to shareholders last year.

Sellers provide their information to Amazon when they establish their business accounts. The company, though, hasn’t previously required the disclosure in the United States, even though it does in Europe, Japan and Mexico.

What it means

Amazon gave no reason for making the change now, but it comes just weeks before Bezos is to testify before the House Judiciary antitrust subcommittee along with CEOs of Facebook, Google and Apple. Amazon has long lamented the scourge of counterfeits and has said it spends hundreds of millions a year to police its site for fake goods. Amazon has prioritized having the broadest selection, even if it meant the company couldn’t always control product quality. Disclosing seller identities will likely reduce selection, as some would want to remain anonymous.

DREAMSTIME Amazon has long lamented the scourge of counterfeits at its site.