The coalition says the law will address the challenge of counterfeiting and theft of goods sold online through third-party distributors whose identities are hidden from consumers.Counterfeiting and theft of property have become an even greater online challenge for the pandemic, according to the coalition.as counterfeiting and organized crime networks rushed to take advantage of the merits of breakneck online spending.
The group, the Buy Safe America Coalition, was introduced last month through the Retail Industry Leaders Association (RILA).Fifteen other industry associations include members, in addition to the American Clothing and Footwear Association, the Consumer Health Care Products Association, the Toy Association, and the International Council.Shopping Centres.
The organization today announced the new retail and logo members, and said it expects others to sign up for the campaign.
Urges Congress to approve INFORM (integrity, notification, and equity in online retail markets) for consumers.This law would require Amazon and other markets to determine the identity of third-party distributors and make this data available to consumers.
“It never hurts to have transparency and accountability in a system, and given the amount sold online, whether it’s forgery or theft, having that extra tool to enforce the law, helping to track down bad actors, criminal companies.it’s obvious to us,” said Michael Hanson, spokesman for the coalition.
While the law would apply only to Amazon but also to Etsy, eBay, and all other e-commerce sites with third-party vendors, Amazon is the primary target of the law because of its size.
“The focus, while other people are communicating about it, is on Amazon because they are the biggest. They own 38.39% of the market,” said Hanson, senior executive vice president of Public Affairs at RILA.
Consumers do not realize that they are buying from an external reseller, rather than Amazon, when they place an order, and Amazon’s policies related to data from third-party distributors make it difficult for brands to take steps to oppose distributors of counterfeit or stolen goods.
Occasionally, tracking third-party distributors on Amazon becomes “a pretty Byzantine procedure that makes it difficult for stores to get the data they need to prevent bad players from promoting those products,” Hanson said.
The Senate edition of the INFORM Act was introduced in March by Democratic Senator from Illinois Dick Durbin and Republican Senator from Louisiana Bill Cassidy. The Deputy House bill was filed in July through Democratic Rep. Jan Schakowsky of Illinois and Democratic Rep. Kathy Castor of Florida.
Amazon and other online markets require Amazon and other online markets to verify government identification, tax identification, bank account data, and touch data from their high-volume third-party distributors and require those providers to provide their touch data to consumers.- Volume distributors as distributors who have made two hundred or more sales over a period of 12 months, or $5,000 or more.
A report released in January through the Federal Department of Homeland Security said e-commerce sites have repositioned flea markets, street corners and alleys as the location where most stolen or counterfeit goods are sold.
“While counterfeit and pirated goods have been sold for years on street corners, alleyways and car trunks, these illicit products are now advertised to consumers at home through non-unusual e-commerce platforms and third-party online marketplaces that offer an air of legitimacy,” the report said.
In the past, according to the report, “consumers can identify products based on ‘red flag’ indicators, such as suspicious dealer location, poor quality packaging, or reduced prices.”Today, however, consumers are “regularly exposed to counterfeit products in contexts and situations where parts look authentic,” such as a well-known e-commerce website.
Amazon did not respond to a request for comment, but in June announced the creation of its counterfeit crime unit, consisting of former federal prosecutors, researchers and knowledge analysts, which invested more than $500 million and had more than 8,000 workers allocated.Fighting “fraud and abuse” in 2019 and said it blocked more than 2.5 million suspicious malicious actor sites so they don’t promote Amazon and blocked more than 6 billion of alleged bad classified ads in 2019.
An Amazon spokesman told Bloomberg News last month that the company is already taking a number of steps to identify third-party distributors that would be required by law.
But RILA and its coalition members say that while they have been pressuring Amazon to replace third-party responsibility for more than a decade, they have noticed any significant moves on the issue.
“We cannot rely on existing efforts by third-party markets to prevent you from selling stolen and counterfeit goods on their platforms,” said Jim DePaul, executive vice president of stores, JC Penney, in a statement today through the coalition..
“Requiring fundamental safeguards to gather and determine the identity of those who sell products online is one of the simplest tactics to prevent the proliferation of counterfeit and stolen products sold online,” he said.
Stephanie Lester, director of government affairs at Gap Inc., said in a statement released today that tell “will help ensure that American families who buy clothing online are certain to buy genuine products from trusted brands.”
“More and more people are buying groceries online,” Hanson said.”We want this transparency and accountability so that consumers know they get reputable products.And not those illicit and stolen goods. That’s why this law is so important.”
I have 20 years of experience in retail, from mega-retailers to major street stores, and everything in between.I’ve reported retail bankruptcies,
I have 20 years of experience in retail, from mega purchases to top street stores and everything in between. I have reported retail bankruptcies, adding Toys R Us and A