Grey market activity on Amazon continues to accelerate, putting brands at risk of lost sales and profits. This growing activity increases confusion about which tactics effectively shut down unauthorized sellers. Many brands feel overwhelmed, unsure where to start or how to create a legally backed strategy. The key to reducing grey market sales lies in focusing on reliable metrics.
Oftentimes, brands attempt to solve their grey market problem by tracking metrics that don’t measure true effectiveness, such as the number of unauthorized sellers removed. Your enforcement efforts must specifically drive your KPIs to improve them meaningfully. Most brands discover that just 20% of unauthorized sellers cause 80% of their Amazon brand erosion problems. Fortunately, more effective ways exist to reduce grey market sales and stop unauthorized sellers.
Grey market sales threaten brands across all industries. According to a Forrester survey, 87% of brand manufacturers identify grey market sales as a problem on online marketplaces. How can you begin solving this challenge?
Effective solutions emerge when brands implement a strategy that includes awareness, foundation, and enforcement.
Awareness: Knowledge about unauthorized sellers helps brands shift from reactive to proactive approaches. Combine data insights with human expertise to validate marketplace hypotheses and implement the right strategic approach.
Foundation: Create the necessary legal foundation that provides a solid basis for enforcement. Without this groundwork, brands typically lack leverage for removing unauthorized sellers. A recent Colorado federal court granted partial offensive summary judgment strengthened brands' ability to stop unauthorized product sales on platforms like Amazon. This legal foundation remains essential for a properly backed strategy.
Enforcement: Focus on driving real commercial outcomes instead of tracking vanity metrics like "take down" percentages. This approach saves time and increases effectiveness. Use data-driven processes to identify the most harmful sellers and uncover large diversion schemes.
Combat unauthorized sellers effectively by adopting a proactive approach. Establish a strong legal foundation first. Then engage in precision enforcement tailored to improving real commercial metrics.
Vorys eControl simplifies the process with one comprehensive solution. Their services integrate legal expertise, data analysis, and technology to create customized brand protection strategies.
Start your journey toward reducing grey market sales by scheduling an introductory call today.
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