Amazon welcomes the Year 2019 with a new program. Amazon transparency program aims at minimizing the risks of counterfeit products from coming into its shelves. The counterfeit products have some adverse effects upon the sellers and Amazon itself. They decrease the customers’ trusts upon your brands, thus minimizing the chances for profits.
The problem is that counterfeiting has been so common. When a product or brand is getting popular, counterfeit products or services will come. The transparency program has actually been around since 2017. This year, Amazon puts special attention to this program. The objective is simple: to provide the customers with the ultimate shopping experience by getting rid of counterfeit products.
How Amazon Transparency Program Works
The transparency program provides information on the details about the product, including manufacturing date and origin. For certain types of products, like foods and beverages, the program may require the brands to put information on the ingredients or materials used to make the products.
As reported by Kiri Masters for Forbes, Amazon Transparency Program works by providing the brands with a series of transparency codes. Only enrolled brands will get the codes, called Data Matrix 2D barcode. Then, the brands can place the code on every unit of products they sell on Amazon or on any other channels.
In other words, the transparency program is intended for the brands, not for Amazon. The brands enrolled for the program can use the codes even when they sell the products using channels other than Amazon. The brand provides a unique code for every product. When being traced, the code will refer to a single brand. The costs of enrollment in the program vary with the product quantity. The rate ranges from 1 to 5 cents per code. Amazon offers interesting price deals for early adopters.
Amazon Transparency Program Protects Brands and Customers
Amazon itself protects its name by means of the transparency program. For instance, when it receives products from enrolled brands without any barcodes, it will investigate the vendors. Then, when the products are counterfeits, Amazon will reject or even destroy them.
Brands can choose individual product sticker or custom labeling. Most brands choose the latter. They collaborate with a third-party company to print codes onto the packages. This increases efficiency by preventing them from additional stickering costs.
Then, the consumers will be able to check the barcode. Amazon has been building an app devoted for the program. This increases customers’ confidence before buying a product or service. They can verify authenticity of the items, get manufacturing details, and identify the ingredients.
In other words, Amazon transparency program offers two-layer protection. Amazon firstly checks authenticity of the products before they are sent to the shelves. Then, the customers can verify the barcodes to make sure that they buy genuine products from reputable manufacturers.
Now, the questions are, “Who is enrolling in the program?” “Does the program really work?” Brands may wonder about many things, since Amazon transparency program is relatively new. Check out the answers for those questions on the next post!