Critical Pricing Glitch – Amazon Losing Millions & Damaging Sellers
Dear Amazon Executive Team,
There is a critical flaw in Amazon UK’s pricing system — a glitch that is causing millions of pounds in losses to both Amazon and its sellers.
I am an Amazon UK seller, and I’m writing to bring urgent attention to a major issue with your “competitive pricing” suppression policy. This policy compares Amazon prices to third-party retailer prices (such as Poundland, Tesco, or Boots), but it only considers the item price, while completely ignoring delivery charges that customers are required to pay at checkout.
This creates a false pricing comparison and leads to:
Suppression of perfectly fair and profitable FBA listings
Loss of Buy Box
Reduced visibility in search results
Massive financial losses for sellers — and ultimately for Amazon itself
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🔍 Real Example:
Product: Sudocrem 60g (ASIN: B07P2YPM7B)
Poundland Price: £2.95 item + £3.50 delivery = £6.45 total
My FBA Price: £3.95 total (Prime shipping)
Despite offering a cheaper, faster, and more reliable service, my listing is suppressed due to an algorithm that incorrectly treats Poundland’s £2.95 item price as the “competitive price,” ignoring the actual amount paid by the customer.
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❗ Why This Is a Serious Problem:
It misleads customers, favoring higher total-cost options.
It punishes sellers using FBA — Amazon’s own logistics system.
It kills profits, strands inventory, and discourages Prime listings.
It damages customer trust when slower or more expensive FBM listings are favored.
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✅ Requested Actions:
1. Escalate this issue to Amazon’s Pricing Policy and FBA teams.
2. Fix the pricing algorithm to compare total checkout prices (item + shipping).
3. Provide sellers with a manual appeal or override system for unfair suppressions.
---
Amazon has built the world’s most trusted logistics and retail platform — but this pricing flaw is undermining that system, punishing your most loyal FBA sellers, and misleading customers at checkout.
Please take this matter seriously and escalate it appropriately. Seller Support has proven unequipped to address this level of issue.
Critical Pricing Glitch – Amazon Losing Millions & Damaging Sellers
Dear Amazon Executive Team,
There is a critical flaw in Amazon UK’s pricing system — a glitch that is causing millions of pounds in losses to both Amazon and its sellers.
I am an Amazon UK seller, and I’m writing to bring urgent attention to a major issue with your “competitive pricing” suppression policy. This policy compares Amazon prices to third-party retailer prices (such as Poundland, Tesco, or Boots), but it only considers the item price, while completely ignoring delivery charges that customers are required to pay at checkout.
This creates a false pricing comparison and leads to:
Suppression of perfectly fair and profitable FBA listings
Loss of Buy Box
Reduced visibility in search results
Massive financial losses for sellers — and ultimately for Amazon itself
---
🔍 Real Example:
Product: Sudocrem 60g (ASIN: B07P2YPM7B)
Poundland Price: £2.95 item + £3.50 delivery = £6.45 total
My FBA Price: £3.95 total (Prime shipping)
Despite offering a cheaper, faster, and more reliable service, my listing is suppressed due to an algorithm that incorrectly treats Poundland’s £2.95 item price as the “competitive price,” ignoring the actual amount paid by the customer.
---
❗ Why This Is a Serious Problem:
It misleads customers, favoring higher total-cost options.
It punishes sellers using FBA — Amazon’s own logistics system.
It kills profits, strands inventory, and discourages Prime listings.
It damages customer trust when slower or more expensive FBM listings are favored.
---
✅ Requested Actions:
1. Escalate this issue to Amazon’s Pricing Policy and FBA teams.
2. Fix the pricing algorithm to compare total checkout prices (item + shipping).
3. Provide sellers with a manual appeal or override system for unfair suppressions.
---
Amazon has built the world’s most trusted logistics and retail platform — but this pricing flaw is undermining that system, punishing your most loyal FBA sellers, and misleading customers at checkout.
Please take this matter seriously and escalate it appropriately. Seller Support has proven unequipped to address this level of issue.
0 replies
Seller_d8YGbIjNqwFxn
Sorry this is not a glitch this is by design. I have been complaining about this for around 4 years and nothing has changed in that time.
Amazon want you to offer the lowest price compared with other retail sites, if they don't you can lose the featured offer. They have never taken into account that other websites charge postage and thy are unlikely to do so in the future.
The Poundland example is not the best though, they offer free delivery if you spend over £50 so it is comparable with Amazon offers at that point.
All you can really do is wait for the competitive price to be lifted. In most situations it is removed within a few weeks.
Seller_ZVAz3d5lZuGid
"Dear Amazon Executive Team,"
Also, just to point out, this is not Amazon you are speaking to, or anyone from their executive team. This is a forum of other sellers, so none of us have any ability to do anything. The best you could do is raise it with the MD, but as the above reply, absolutely nothing will be done - all by design and intentional !