June 4, 2025 – Amazon sellers are raising alarms over the platform’s pricing practices, with growing concerns about potential market manipulation and unfair penalties. Discussions across seller forums and social media platforms like X highlight a troubling trend: Amazon’s algorithms appear to penalize sellers who price their products above the 60-day market price trend, effectively controlling pricing and limiting seller autonomy.
Pricing Penalties and Market Control
Sellers report that Amazon flags listings as having “high pricing violations” when they attempt to set prices above the platform’s calculated 60-day market trend. This often results in listings being forced out of stock, severely impacting sales and revenue. Many sellers view this as Amazon acting as a market maker, dictating prices in a way that stifles competition and innovation.
One seller on X noted, “Amazon’s pricing policies are essentially price fixing. New releases are hit with violations right out of the gate, forcing us to lower prices or lose visibility.” This sentiment is echoed across forums, where sellers argue that Amazon’s algorithms prioritize low prices over fair competition, potentially violating antitrust principles.
Impact on New Releases
The issue is particularly acute for new product releases, where sellers aim to capitalize on initial demand with higher pricing. However, Amazon’s system often marks these listings as non-compliant, pushing sellers to lower prices or risk losing their ability to sell. This practice not only limits profitability but also discourages innovation, as sellers are hesitant to launch new products under such restrictive conditions.
What Can Sellers Do?
For Amazon sellers facing these challenges, understanding your rights and exploring legal options is critical. AMZ Sellers Attorney® specializes in helping sellers navigate complex issues like pricing disputes, account suspensions, and unfair platform practices. If you’re experiencing pricing penalties or suspect market manipulation, professional legal guidance can make a difference.
Schedule a Free Consultation with AMZ Sellers Attorney®
Sources
- X Post: Seller discussion on pricing violations and market control, June 3, 2025.
- Amazon Seller Central Forums: Threads on high pricing violations and out-of-stock issues, accessed June 4, 2025.