Amazon.com is tapping the brakes on a decision to drop thousands of vendors from its Vendor Central program, and it is now encouraging suppliers to enroll in its Brand Registry platform, according to a report Tuesday, March 12, by Digiday.
Amazon said it has resumed ordering products from companies that saw their accounts deactivated, according to a letter sent by Amazon to vendors impacted by the initial move that occurred in early March. HomeWorld Business has learned that some housewares suppliers that were deactivated have been reactivated to Vendor Central. However, it was not clear if all vendors initially deactivated were reactivated.
Vendors swept up in Amazon’s decision to deactivate vendor codes without advance notice now have 60 days to enroll in Brand Registry, according to the letter sent to vendors. Amazon is looking for companies that own their brands to enroll in Brand Registry. Those who do not own brands of the products they are looking to sell on Amazon are being directed in the letter to sell items on Amazon’s Seller Central platform.
“We prefer to source products directly from brand owners, so enrollment in Brand Registry will be important for vendors going forward,” Amazon wrote in a letter to vendors published by Digiday.
Brand Registry is touted by Amazon as a platform that allows product suppliers to accurately represent their brand, find and report violations and share information in an effort to help Amazon proactively prevent violations.
One housewares supplier who is the owner of its brand and had its account deactivated previously told HomeWorld Business that it was removed because the company had less than $10 million in sales. However, it was not clear if the $10 million sales threshold was the only criteria Amazon used to originally remove vendors from Vendor Central.