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Posted: 2020-07-28 14:20:02

Absentee Ownership: How Amazon, Facebook, and Google Ruin Commerce Without Noticing

"Chinese counterfeiters are buying ads offering Rothy’s shoes for a low price, and directing people to fake websites."

From Matt Stoller at BIG by Matt Stoller
Originally published 2020 07 28
I went back and forth with this customer, and she told me that she had called Rothy to complain, and “they shared that they are getting hammered by fraud on Facebook and Instagram but can't get these goliaths to stop it.”Such a high quality brand offers an enticing target for Chinese counterfeiters, who have found the perfect criminal accomplice: Facebook. Chinese counterfeiters are buying ads offering Rothy’s shoes for a low price, and directing people to fake websites. People then buy the shoes, which are counterfeit, and customers then complain to Rothy’s. Facebook does take fake ads down, but it is reactive, not proactive about doing so. Rothy’s is in a constant whack-a-mole trying to find the fake ads so they can get Facebook to act.
But often stuff just breaks, and no one bothers to fix it. It’s hard to conceptualize this if you’ve never sold through Amazon, because as a consumer, the experience is generally good. But if Amazon has market power over you, the experience is one of hostile neglect. As one merchant put it: Never expect Amazon to fix broken features unless it will add to their bottom line or the media get involved. Sometimes Amazon acts like that passive boyfriend who never really breaks up with you, they just ghost you until you give up. That is why some features/functions “break” and how much of Amazon’s seller support works.
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Tags:amazon,buy box,facebook,chinese counterfeiter,lot of money,ad price,issues of big,communications decency act,amount of money,absentee ownership