Amazon Suspension

An Amazon suspension is a punishment that Amazon can impose on sellers to restrict their ability to operate on its digital marketplace. This action is typically taken when a seller is deemed to have violated Amazon’s terms or policies.

How does an Amazon seller suspension affect the seller?

When Amazon decides to suspend an account, that seller loses the privilege to do business on the Amazon marketplace. This means that the seller cannot update listings or sell products, process orders, communicate with buyers, or access their Seller Central dashboard to manage inventory and pricing. They may also be unable to access their funds, which can be frozen until the cause of the suspension has been resolved.
Beyond these consequences, an account suspension can have more serious ramifications. For instance, sellers typically incur some degree of financial loss due to their inability to make sales, and may also suffer reputational damage and a loss of consumer trust. If the root cause of the suspension is not adequately addressed, the seller may also risk having their account banned permanently.

Why might a seller have their Amazon seller account suspended?

Amazon holds its sellers to strict policies and standards and reserves the right to suspend seller accounts at its discretion. As such, there are various reasons why Amazon might suspend a seller account, however, the following are some typical causes for suspension.

• Poor seller performance: Amazon requires its sellers to maintain a standard of performance on its platform, and evaluates accounts based on key metrics such as conversion rate, valid tracking rate, order defect rate (ODR), pre-fulfillment cancellation rate, late shipment rate, and customer service score. Failure to meet Amazon’s desired thresholds on these metrics can result in a performance-based suspension.
• Policy violations: Sellers are suspended when deemed to have violated Amazon’s seller policies. Behaviors that incur this type of suspension include posting misleading product descriptions, engaging in pricing manipulation, listing prohibited items, or violating another seller’s intellectual property rights by counterfeiting or infringing on trademarks or copyrights.
• Compliance issues: Amazon may suspend a seller account if they fail to provide required documentation, such as invoices or business licenses, to verify their authenticity. Likewise, a seller may incur a ban if they withhold payments, neglect to pay fees, or have discrepancies in tax compliance.
• Unauthorized multiple accounts: Sellers are prohibited from operating on multiple accounts unless expressly authorized by Amazon. Those found to be running multiple accounts without permission will have all associated accounts suspended.

Is it possible to lift an Amazon suspension?

It is possible to have an Amazon suspension lifted. In order to do this, the seller must follow Amazon’s dedicated appeals process. This can be done through Amazon Seller Central, which will typically permit limited access for the purposes of the appeal.
To ensure that their account is reinstated, the seller must fulfill some essential criteria with their appeal. Firstly, they must review Amazon’s notification, acknowledge the grounds for suspension, and take corrective action to resolve the issue. All corrective steps should be delineated in a comprehensive Plan of Action (POA), which will also detail intended measures to ensure future compliance with Amazon’s standards and policies.
Where required, the seller must also provide necessary supporting documents as evidence of their corrective measures, authenticity, and compliance. This may include documentation such as invoices, trademarks, copyrights, business policy updates, and correspondence with customers.
Finally, an Amazon suspension appeal must be concise, clear, and solution-focused. If an appeal is rejected, Amazon does permit sellers to re-appeal. In these instances and more complex cases, it may be advisable to seek expert legal counsel to help ensure a successful appeal and reinstatement.