Important information regarding price gouging


I do not understand the price gouging algorithm. Pick a date and from that time, say March 1, 2020 for example, and de-activate any asin that has the price raised more than a specified percentage, say 10%. That’s not what happened to me. I set my prices on 3 of my asins that are identical in every way except for the scent they have. Same amounts, same thing, different smell. 2 of them have been de- listed for price gouging but not the third and all of the asins were created last Oct. when nobody had even heard of corona virus. The prices were set in Oct. 2019 and have never been raised! There is no court in the country that would accuse me of price gouging but that didn’t stop Seller Central from punishing me for it.


As with many others, I remain confused on why it seems Amazon is allowed to price gouge and is not turning off their auto-pricing for essential items, or at least minimally changing their auto-pricing to not price higher than the average. It can’t be difficult for them to do this. Take this example just yesterday:

Softsoap Crisp Clean Antibacterial Liquid Hand Soap with Moisturizers, 5.5 Ounce – 12 per case

Amazon had this come into stock briefly yesterday, shipped and sold by Amazon, for $43.79. Looking at the last 6 month history of this item:

  1. Average price of this item over the last 6 months, sold by Amazon, is $23.83. Amazon selling for 83% higher than the average sale price.

  2. List price is $33. Amazon is selling it for 32% higher than it’s own list price.

  3. Amazon’s highest price it sold this for, during the last 6 months, was $28.77. Amazon is selling it 52% higher than they have at any point in the last 6 months.

Is this not substantial price gouging by Amazon?? I see this almost every time Amazon has a high demand essential item come into stock shipped and sold by Amazon. The price is 30-100% higher than before. Why aren’t they focusing internally first and making the simple changes needed to be sure they aren’t doing the exact same thing they are booting 3P sellers for? It doesn’t make sense.


Well, it’s costing us 3 times to get the same item now as we have to air freight it and all air freight is through the roof right now. Customers are wanting the item and willing to pay for this. I hope Amazon really get’s the fact that selling prices for the same item will triple due to air freight and higher supplier costs.


My account got deactivated for over a week due to price gouging, sent in my POA but no response from SP. It is really hurting my Amazon account and the balance that Amazon is holding from me. :frowning:


i am on vacation mode until this mess clears up. i want nothing to do with what is happening.


They flagged my soaps at $4.00 for a 4 ounce bar. This is my regular price!


I got more confused after read this announcement.


The most frustrating thing is that Amazon “seller support” seems to be mostly bots. I received a price gouging email about one item I’ve not stocked in 6 years. It was a Toy that unit cost was $380 and I made a 15% profit on. I contacted Amazon and told them this was a mistake and that this item is NOT Chinese Flu related. I got back a BOT email claiming otherwise.

They need a full-time staff that handles these issues with FBA Sellers who use simple logic. With the amount of money that Amazon makes this should be a simple fix.


My account was suspended supposedly for subject price gauging of the COVID-19 related product (gloves). As I demonstrated in my appeals, I was selling 200 gloves box at a price others would sell 100 gloves of the same type at other Amazon listing. Then this can’t be legitimately called a violation of the Marketplace Fair Pricing Policy, as there is none. I was selling basically at a shipping cost price level.

Still, there has been no response to my appeal submissions (submitted three!) whatsoever, nor was my account reinstated, even though I submitted POA as well.

I can’t understand what’s going on.

Any Amazon representative to attend this my issue?


Im having the same issues where my account has been deactivated for almost an whole week. i think that if amazon want to help with price gouging they should suspend there fee’s for the essential items. its hard to sell an items that cost $5 dollars in the store and amazon is charging an $3 fee. im selling items with an $.50 to $1 profit margin and get hit with price gouging. Amazon please help got so much inventory i cant do anything with.


Amazon is worthless. Keep flooding the platform with garbage products and Chinese direct knock-offs that undercut legit business. Pathetic business ethics.


My toilet paper sales profit is only 15-20CNY, and the shipping cost needs to be more than 60-200CNY. The system is suspended from selling this listing. How should our sellers set prices? Is it free?


Vacation mode doesn’t help. We got suspended, put vacation mode on, then got suspended again for having an n95 mask in stock.


You get any response yet? We are on 5 weeks here deactivated and 3 weeks since 2nd POA was submitted.


One of my listing is blocked.Because I set the shipping cost honestly. My margin is around 2,3 dollars.Under this crisis,Covid -19,the only available shipping method is highly priced International Air services only from abroad. I appealed for it. Amazon simply removed my listing without any mail.My product is a newly launching item not exsiting in Amazon.And no sales record in States. Ridiculous .


I’ve never had this issue, all of a sudden I am getting lots of notifications of potential pricing errors. Is it possible that when one seller low-balls and sells their inventory for cheap it throws off Amazon’s algorithm which then expects everyone to also sell at a similar low-ball price?

Curious to hear from those who have been selling for some time on this platform.


Interesting, i wonder if she told you to charge for shipping because the algorithm when doing price comparisons only looks at the total price. So that free shipping then it might appear to inflate your selling price.

Anyone gotten any input from Amazon on this? Your comments would be greatly appreciated.

Thank you


The ridiculousness that an amazon rep said and i hope and think he is incorrect. He stated that the current parameters in place collects prices on and off amazon and creates an average and anyone selling above that average at all will now get the high price error.

how would this ever work? As people lower, the average gets lower and it would be lowering price until you cannot sell it.

Also, Amazon knows full well that brands have MAP policies sellers have to abide by to get continued access. Amazon knows a lot of companies rely on Amazon sales to survive and then using this bot to force people to lower their price, pushing them to possibly violate their agreement to survive and pay bills.could be interference.

So far no escalation of my issues have occurred and no matter how many proofs i submit of costs, MAP agreements, authorized reseller pricing links… their response is i am violating their pricing rules.

The thing is NONE of my prices are violating pricing rules as the policy is written and the bot decision is being held over the written policy.


I am talking to the Editor in Chief of a major US newspaper and she’s finding a lot of the comments here very interesting. They’re going to at least try and come up with an article about this. It’s the flip side of the coin. On one side there was some, and still is some price gouging. On the other side is the poor way Amazon sellers were treated. People/states are suing Amazon about gouging. I would suggest Amazon Sellers file a class action law suit about the many examples of poor treatment by Amazon against legit sellers.


I have sent list of 10 or so competitors for one of our items and were are the cheapest by far. History of sales where price remained the same through past 365 days. Price gouging strike was removed, item reinstated and then removed by bots for price gouging the next day. We dealing with 10+ of listings removed for suspected gouging and 2 strikes. Most price unchanged for years. So we started deleting listings and re-creating them after 24 hours. We loose all PPC investment, reviews and velocity of course. So list at the highest price where we would be just lowering from there. We are lucky as some items have no competition at all and we have registered brand. So not sure if this would work for you.