Amazon Surrenders to OFT and Allows Sellers to Advertise Cheaper Prices

By Gary Cutlack on at

The Office of Fair Trading has managed to get Amazon to remove one of its more controversial seller regulations, the so-called "price parity" restriction on Amazon sellers offering the same goods for a cheaper price elsewhere online.

The bizarre rule meant that an Amazon seller wouldn't be able to offer an item for a cheaper price anywhere else on the internet, even on their own web site, effectively guaranteeing that Amazon would be the cheapest place to buy.... everything. The OFT hasn't yet gone as far as to accuse Amazon of any shady practises, and it's thought this change should be enough to get it off the hook.

Cavendish Elithorn from the OFT said: "As Amazon operates one of the UK’s biggest e-commerce sites, the pricing on its website can have a wide impact on online prices offered to consumers elsewhere. We are pleased that sellers are now completely free to set their prices as they wish, as this encourages price competition and ensures consumers can get the best possible deals." [Telegraph]