Amazon Fair Pricing Policy (what Is It, How It Works + More)

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One rule sellers on Amazon are held to is the Fair Pricing Policy. But what is this policy, and how does it work? If you’d like to find out, keep reading this article to see what I learned!

Learn how to read Amazon’s Fair Pricing Policy in 1 minute!

Amazon Fair Pricing Policy In 2022

The Amazon fair price policy requires sellers to list their products at reasonable prices. If sellers list their product significantly higher than similar items on Amazon, charge an outrageous amount for shipping, or mislead customers with the actual price, their products could be removed.

If you are looking for helpful advice on how to sell on Amazon and you want to learn more about fair pricing, keep reading this article that contains a complete list of helpful facts and tips!

What Is Amazon’s Fair Pricing Policy?

Amazon’s Fair Price Policy requires all sellers to set prices that are based on the base prices of similar products found elsewhere on Amazon.com.

For example, if Amazon feels that the price of the product is below fair, and the product is still overpriced compared to what other sellers on Amazon are selling that same product for, they will place a price lock on the product. This ensures that the product will not be sold for less than the fair price.

Any sellers who intentionally and knowingly deceive, mislead, and/or defraud customers about pricing, shipping charges, and/or the availability of products can be suspended from privileges.

What are the Guidelines for Amazon’s Fair Price Policy?

Amazon doesn’t want to take advantage of customers, so they have a fair price policy. For sellers, it means we should set our prices so that people will buy it at the lowest price available.

– The price structure is unclear and doesn’t explain costs to the customer.
– The customer is offered discounts but then is confronted with additional expenses or a higher price.
– Customers are offered promotions, but only if they buy more than one product.
– There are hidden and unexpected fees after the purchasing process.

However, if your product is on the Marketplace for longer than a few weeks, and you’ve fixed all of the issues with the listing.

Amazon may start to consider your product for listing.

Additionally, if sellers continue to practice such pricing with their products, Amazon may remove them from their platform altogether.

What Happens If Sellers Don’t Follow Amazon’s Fair Price Policy?

(A) suspend all sales of the relevant product;
(B) suspend all listings of the relevant product;
(C) restrict access to the relevant product;
(D) remove the relevant product from search results and other relevant content/features; or
(E) remove the relevant product from the Amazon website altogether.

Amazon sellers should also be aware that the company is not required to inform them of the infraction until they next log in to their account after they sell a product that violates Amazon’s guidelines on selling counterfeitable items.

Does Amazon’s Fair Price Policy Require Price Matching?

Because Amazon will monitor pricing on their site regularly, it is not considered essential for Amazon sellers to price match their listings with other websites.

It is also important for them to keep competitive rates by monitoring the prices of websites that sell similar products to those being listed by Amazon sellers.

This allows buyers to feel confident that they have the best deal for their money and they will get what is priced without having to worry about it being an inaccurate price as many other businesses would list on their website.

Which Marketplaces Does Amazon Monitor for Fair Pricing?

Alibaba
Overstock
eBay
Brick and Mortar stores

They also specifically check their own website price for accuracy.

They will also price match against many larger retail retailers, but the full list is not currently available to the public.

If you are unsure of the price of your product, you can search for similar items sold through these mentioned stores and take note of the selling price. This should give you a general idea of the selling price of your product.

be certain that their prices are in line with the market, and remember to adjust the price to only reflect the value of the item once that value has been determined.

If you want Fair Price, please fill out the Fair Price Contact form below.
If you want to find out more about your rights as a Fair Price customer,
please view our Fair Price policy.
Please fill out the Fair Price Contact form below.

If a seller has high shipping costs and charges too little for their products – they won’t have a successful business and may have to close. If a seller has low shipping costs and charges too much for their products – they won’t have a successful business and may have to relocate their business to another platform.

To find out more you can read the following articles or you can contact our sales team for more information.

Conclusion

Amazon’s Fair Price Policy (FPP) states that Amazon’s prices must be fair and in-line with market prices. Sellers can’t list at a price that is too low or too high, or charge excessive shipping charges, or be dishonest about pricing.

If the seller does not comply with any of the rules and regulations for the listing of products, Amazon will either remove the product from its Buy Box, take down the product altogether, or suspend the seller from listing any future products.

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About the author

I have always been a shopaholic. A lot of times my questions went unanswered when it came to retail questions, so I started Talk Radio News. - Caitlyn Johnson

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