Amazon is using a new discount tactic to get them ahead of their retail rivals before the Black Friday 2017, Cyber Monday and Christmas sales rush.
The ‘discount provided by Amazon’ scheme has been launched by the online retailer, which sees prices of third-party sellers’ products slashed.
Recently, Amazon has started reducing Marketplace prices by as much as nine per cent to ensure it remains competitive.
Products like board games and tech gadgets offered by third-party sellers have seen their prices cut, with Amazon covering the cost difference.
The price-cutting scheme was reported by The Wall Street Journal, with it affecting third-party sellers in the US.
An Amazon US spokesperson said: “When Amazon provides a discount, customers get the products they want at a price they’ll love, and small businesses receive increased sales at their listed asking price.”
Analysis from The Wall Street Journal showed the discounts affect certain items from sellers using Amazon’s in-house fulfilment option.
Marketplace sellers can opt out of the programme if they want to.
The WSJ also reported that Amazon did not inform sellers who had the prices of items cut about the discounting.
This could prove problematic for Marketplace users who have signed agreements to maintain a price for goods they sell on different platforms.
Express.co.uk has contacted Amazon UK to ask if the ‘discount provided by Amazon’ cost cutting affects British-based third-party sellers also.
The news comes as Amazon has revealed details on the Black Friday 2017 sale.
The Amazon.co.uk Black Friday sale will start on November 17, and runs until November 26.
There will be ten days of deals with major discounts on electronics, must-have toys, computer games, jewellery and beauty products, among others.
There will also be Black Friday 2017 discounts on items sold on Amazon Marketplace.
Doug Gurr, Country Manager for Amazon.co.uk, said: “Customers tell us they love getting extra low prices so they can save on their Christmas shopping.
“This year we have hundreds of small businesses from our Marketplace offering great deals on their unique and creative products, making it even easier to find perfect gifts with our Black Friday sale.
“We’re making Black Friday more fun than ever by holding our first ever Home of Black Friday pop up in Central London and have just released our TV advert which features our iconic boxes having a sing-a-long to celebrate the festive season.”
Some of the most popular Black Friday deals last year included the Fire TV Stick, FIFA 17 and Amazon Echo Dot.
Deals for this year’s Amazon Black Friday 2017 sale will be revealed closer to the launch date.
Amazon will also be holding a Black Friday pop-up event in London this month.
The four-day ‘Home of Black Friday’ experience will let customers have a look at some of the best deals available.
The pop-up will take place at 13 Soho Square, London and will be opened between 12.30pm to 7.30pm from Tuesday 21 to Friday 24 November.