How is retail arbitrage through Amazon NOT dead?


#22

Ninety-five percent of everything said in the forum about what “Amazon does” or “Amazon wants” is just conjecture (even though it is often said with great conviction).

My personal conjecture on this is that what happens when a complaint is made depends on the history and longevity of the seller on Amazon. New sellers slapped with an inauthentic claim will have a harder time of it, and may suffer harsher penalties, than a long-time seller with an exemplary record. But I’m just guessing - most things Amazon-related are just a black box. We see or hear of something and we fit a theory to it to explain it - right or wrong.


#23

Reporting RA sellers as infringing is not allowed under Amazon’s system.

They can and should be sued for that.


#24

Keep in mind that the authorized dealers and the brand lawyers are able to determine who are NOT authorized dealers. Once the brand owner (or their lawyer agents) claim infringement, Amazon WILL suspend the listings and that will put the accounts at risk. Amazon will not usually (except by accident) suspend the reporter. The brand owner has the legal clout to make this happen.

The litigation initiated by the brand owner is pretty hard to avoid and they will be the one who is doing the suing.

Dave


#25

I doubt they ever will, its the only way amazon survives. 3P sellers doing OA and RA are what is making amazon their money. Its a CASH COW and its never going away.


#26

What that seller was doing is a CASH COW for amazon, need I say more.


#27

First Sale Doctrine enables the purchaser who legally purchases copyrighted or trademark products to resell those products after the trademark or copyright holder puts the products on the market.


#28

First Sale Doctrine does not prevent the IP owner from suing you.

They still own distribution rights and it can be very difficult to prove that you are not selling a counterfeit item.

Legal fees from a single litigation can totally destroy your entire earnings from sales. You can spend a fortune to try to prove that you are not guilty and there are lawyers who use enforcement as a major part of their earnings. They look for opportunities like that.

Dave


#29

It works. it is risky. It is not dead. It is a great thing to do if you start doing ecommerce but definitively not something you want to do forever. Used to do RA for years making 4 to 5K in net profits buying items locally but once i moved to FBA and buying stuff from china i don’t want to ever go back.