If you have ever bought a power bank, water bottle, toy or other everyday product on Amazon, your suppliers are more likely to come from China. According to e-commerce research firm Marketplace Pulse, analysts estimate that Chinese merchants represented 75% of Amazon’s new sellers in January. Chinese sellers have shaken not only Amazon, but also eBay, Wish, Shoppe and Alibaba’s Ali Express. This rise is partly due to intense domestic competition in China’s online retail world, forcing merchants to find new markets.
Conventional exporters are turning to e-commerce to cut excess distributors to businesses are fascinated by the story that Shenzhen, an expensive city famous for technology and manufacturing, is now owned by people who have benefited from e-commerce exports. But as several top Chinese sellers have disappeared from Amazon over the past few days, rich-quick optimism within the cross-border community has faded.
At least eleven accounts from Greater China have been suspended, according to uozas Kaziukenas, founder of Marketplace Pulse. Several accounts relate to the same parent firms, because for large retailers, with more than 1 million in annual sales, Amazon manages multiple brands to optimize sales.
TechCrunch has reached out to Empower and Aukey, whose Amazon stores have gone and were two of the most successful brands in the American market. In total, suspended accounts contribute more than 1 billion to Amazon’s total merchandise value (GMV), Kaziukenas said.
Amazon did not comment on the status of the suspended accounts, but said in a statement on behalf of TechCrunch that it “has a long-standing policy to protect the integrity of our store, including our product expectations, actual reviews and products that meet our expectations.” A spokesman for Amazon said: “We are taking immediate action against violators, including suspending or selling sales transactions. Chinese e-commerce exporters were shocked by the incident. Within WeChat groups where hundreds of vendors typically exchange business strategies, concerns are spread and vendors targeting the deficit “cross the line” when it comes to conducting questionable platform practices.
Amazon says it shares enforcement activities with direct sales accounts. Bill Zhang, who developed and exported smart training suits through Amazon, said, “This is not the first time that Amazon has closed its account for counterfeit reviews and other behaviors that violate its rules, but the level of this wave is unprecedented,” said Bill Zhang, who runs smart training suits through Amazon. Develops and exports.
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