Amazon India seems to be in trouble with its sellers. As per media reports, a 9,000-member strong Amazon India seller’s forum has pulled back sponsored ads from the ecommerce portal over the last two days to protest against the company’s weak return policies. The eCommerce Sellers Association of India (ECSAI) plans to continue the strike for at least another day while awaiting a solution from the ecommerce player.
The sponsored ads help sellers promote their products in Amazon’s search results. ECSAI alleges that sellers are being hurt as Amazon has been approving fake return requests and making them pay for reverse logistics. The sellers also say that they are forced to bear the costs of the products that are often damaged or used.
An email query sent to Amazon awaited response at the time of publication of this article.
Amazon, Ecommerce, And The Tussle With Sellers
Amazon India’s total seller base stands at over 225,000. The protest by sellers could thus potentially impact Amazon as ECSAI has said that in the absence of the promotional ads, their members have seen a sales decline of around 10%. This in turn means lesser commissions for the ecommerce player itself.