Amazon Reputation During Coronavirus Takes Another Blow – #ThingsAmazonWontDeliver
The last month has been challenging for Amazon as it struggles to maintain inventory and services to customers and sellers alike.
As the coronavirus (COVID-19) health emergency ramped up in March, more consumers flocked to Amazon buying sanitizing and household items that were flying off the shelves at their local supermarket or mega-mart.
With its vast marketplace of products from its own inventory and the inventory of thousands of small business marketplace sellers, for many shoppers, it has become the go-to place online to buy items.
But this almost “blind-faith” in Amazon has been shaken over the past few weeks as the company had to take actions, few ever expected.
- The massive surge on household goods prompted the company to restrict its marketplace sellers from sending products to warehouses that didn’t fit into the primary high-demand categories, angering many small business owners that rely on Amazon sales.
- The company had to shut down a returns warehouse as some employees tested positive for the coronavirus. There were problems at other warehouses that slowed down operations as well.
- Amazon had to shut down Prime Pantry apparently in another move to streamline operations for the moment.
- Regular Amazon Prime deliveries went from 1-2 days to sometimes weeks. Just last year, the company brought next-day delivery to more people and more products in the U.S.
- The Amazon Prime Day sales event appears to have been pushed back to at least August. Not confirmed, but all signs point in that direction.
- In another move that upset some small business sellers as it again came without notice, Amazon extended the returns delivery window by almost a month.
- And last week Amazon announced it was suspending its third-party delivery service, which competes with UPS and FedEx.
While most of these measures are temporary, the unprecedented coronavirus (COVID-19) health emergency has taken a toll on the company.
These actions have tarnished its reputation with consumers, but especially with many small businesses that sell on its marketplace as they were shut out overnight.
#ThingsAmazonWontDeliver
Over the weekend, a new hashtag emerged on Twitter, #ThingsAmazonWontDeliver, apparently started with the hashtag game on iPhone and Android phones called Hashtag Roundup.
Besides a fair share of political comments and expected digs at the company…
#ThingsAmazonWontDeliver Toilet Paper
— Amit#FromHome (@AmitFromHome) April 11, 2020
many of the tweets using poked a bit of fun. (Yes, people are stuck home and bored!)
A winning season #ThingsAmazonWontDeliver pic.twitter.com/9bdYs3J1R7
— Shari Bee (@Lavendermee3) April 11, 2020
#ThingsAmazonWontDeliver
Replacement children, I think mine are broken. pic.twitter.com/5mrnFvozhv— Gaviscon’ nowhere ? (@stgavalot) April 11, 2020
#ThingsAmazonWontDeliver a domesticated husband. Apparently they’ve been out of stock for a while now?
— Rushy?? (@rushna24) April 11, 2020
Amazon Problems Are Opportunity For Other Marketplaces
It hasn’t been the best of times for Amazon as it will need to do a lot of damage control after this public health emergency is over.
For many small business sellers, this has been a wake-up call that they cannot put all of their eggs into one basket. After promoting for years their marketplace as a means to “ecommerce success,” the company slammed the door shut without notice.
Some sellers have listed inventory (if not tied up at Amazon FBA warehouses) with competing marketplaces as a means to maintain sales.
The #ThingsAmazonWontDeliver hashtag is an indicator consumers are finding (or rediscovering) there is a world of online commerce besides Amazon.
That is good news for sellers on other marketplaces as they struggle with the headwinds of an economy in turmoil.
My Etsy order! #ThingsAmazonWontDeliver pic.twitter.com/jInnLPXJJr
— @RoyalCityRaucous (@RoyalCityRauco1) April 11, 2020
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Richard Meldner
Richard is co-founder of eSeller365. He has over 17 years of experience on eBay which includes tens of thousands of sales to buyers in over 100 countries and even has experience with eBay’s VeRO program enforcing intellectual property rights for a former employer. And for about two years Richard sold products on Amazon using Amazon FBA in the US.
To “relax” from the daily business grind, for a few weekends a year, he also works for IMSA as a professional race official.