Merchants who sell on Amazon want the online retailer to reduce fees, and some are concerned that the US Federal Trade Commission’s case launched on Tuesday could affect its advertising business, limiting their ability to reach potential customers.
According to Reuters, the FTC’s long-awaited antitrust case asks a judge to consider ordering the online retailer to divest assets, accusing Big Tech of monopolizing the most profitable sections of the internet.
More than 9 million merchants sell their items on Amazon’s marketplace and provide it with consistent cash streams. Amazon charges advertising fees for promoting their products, fulfillment costs for delivery, and “sellers’ fees.”
Now, the FTC and 17 state attorneys general are urging Amazon to eliminate costs they claim drive retailers to rely on Amazon, such as the company’s pricey advertising fee, noted the report.
Ariel Ben Solomon is the Growth and Strategy manager at Ecomhunt. He is the host of the Ecomhunt Podcast. Can be followed on Twitter at @ArielBenSolomon
