Amazon accused of breach of privacy

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Amazon suspected of illegally collecting private information about platform vendors

Amazon has been accused of large-scale infringement: how the marketplace made money on sellers. Photo: hitech.vesti.ru

Amazon used third-party platform data for personal use – to develop its own competing products. This is contrary to company policies according to the media. The illegal action of the market place is confirmed with documents falling into the hands of more than 20 former employees of the company, as well as journalists.

Amazon comments on the scam: Yes, they track sales data so customers get the best experience. But they prohibited employees from using non-public, vendor-specific data to launch their products and promised to conduct internal investigations.

But the media says – the company can use the private information obtained to set the right price when launching its product. Amazon employees got access to documents and data on the site’s most popular organizer for the luggage rack – a third-party company that organized the sale of its products.

They find out the total number of sales, how much the seller paid Amazon for delivery and advertising, how much the market earned on each sale. Amazon later released its own organizer.

Now Amazon’s business consists of more than 45 brands and nearly 243 thousand products. According to the company, these brands generate 1% of $ 158 billion in retail sales per year, excluding the sale of their own equipment.

Summary PAYSPACE magazine

Recall, one of the world’s most successful online stores, Amazon intends to additionally hire one million warehouse employees and couriers in the United States due to the surge of online orders against the backdrop of the coronovirus epidemic.

These are full and part time positions. Also, by the end of April, Amazon will increase the hourly pay of employees working in warehouses, in transportation operations and delivery of orders. In the US, the increase would be $ 2 per hour, in Britain – 2 pounds ($ 1.6) per hour, in many European countries – around 2 euros ($ 1.8) per hour. The company will allocate $ 350 million for these purposes.

Read: Amazon sales are breaking all records: how much the online retail giant earns.

By content: Wall Street Journal


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