Amazon fined $7.8 million by Poland’s consumer watchdog for misleading customers
In a significant blow to e-commerce giant Amazon, Polish consumer watchdog UOKiK has slapped a hefty fine of 31 million zlotys (approximately $7.8 million) on the company. The fine comes as a consequence of alleged misleading practices regarding product availability and delivery promises, UOKiK announced on Wednesday.
According to UOKiK, numerous complaints from disgruntled customers triggered the investigation, as many reported not receiving their orders within the promised timeframe.
“The average consumer deserves transparent and accurate information regarding product availability and delivery timelines,” emphasized Tomasz Chrostny, the head of UOKiK, in an official statement.
Chrostny singled out Amazon’s practice of displaying countdown timers suggesting imminent order placement deadlines without a guarantee of timely delivery, which UOKiK finds deceptive, Reuters reported.
In response to the fine, Amazon expressed its intention to appeal the decision, citing its commitment to customer satisfaction.
“While the overwhelming majority of our deliveries are punctual, we acknowledge that occasional delays or cancellations can occur. In such instances, customers can reach out to us, and we will rectify the situation promptly,” Amazon’s press office stated via email.
Furthermore, Amazon underscored its efforts to collaborate with UOKiK over the past year, proposing voluntary adjustments to enhance customer experiences on Amazon.pl. The company maintained its strict adherence to legal standards across all territories of operation and vehemently disagreed with UOKiK’s assessment and subsequent penalty.
The ramifications of this fine underscore the ongoing challenges Amazon faces as it navigates regulatory landscapes worldwide, underscoring the complexities of maintaining customer trust in the rapidly evolving e-commerce space.
Amazon has faced fines before, and this latest one isn’t its first rodeo. In 2021, Italy’s antitrust watchdog hit the retail giant with a hefty $1.3 billion fine for what it deemed as an abuse of market dominance. The watchdog accused Amazon of exploiting its powerful position in the Italian marketplace to push its own logistics service, Fulfilment by Amazon (FBA), onto sellers using its Amazon.it platform. Italy’s authority emphasized that Amazon’s actions were aimed at giving FBA an unfair advantage over other logistics services, ultimately distorting competition in the market.