Amazon permanently closed my seller account, no warning, no questions.
After selling low-priced consumer electronics on Amazon for less than a month, Amazon shut down my Merchant Account on March 23, 2012. Things started off great and I was excited about making Amazon a focal point of my business. As I spent hours learning the Amazon interface and listing methods, my appreciation for the site grew. My listings gradually grew in quantity and I was able to maintain 100% positive feedback with no customer complaints of any kind.

With plans to increase the listing count dramatically I turned on my computer one morning to find the following note from Amazon (emphasis mine):

Hello from Amazon.

We are writing to let you know that we have removed your selling privileges, canceled your listings, and placed a temporary hold on any funds in your seller account.

We took this action because our records indicate that this account is related to another selling account that was closed by Amazon. Once selling privileges have been removed, sellers are not allowed to establish new accounts.

Due to the proprietary nature of our business, we do not provide detailed information on how we determine that accounts are related.

We encourage you to take appropriate steps to resolve any pending orders. Note that any amounts paid as a result of A-to-z Guarantee claims and chargebacks may be deducted from your seller account.

After 90 days, any remaining funds will be available per your settlement schedule. Once the hold has been removed, balance and settlement information will be available in the “Payments” section of your seller account. If you have questions about these funds, please write topayments-funds@amazon.com.

While we appreciate your interest in selling on Amazon.com, the closure of this account is a permanent action.

Regards,

Seller Performance Team
Amazon.com

No questions. No “hey we gotta problem here” phone call. No names. They linked my account to a previously closed account? I’ve never sold online in my entire life before, so it’s impossible for me to be related to any other account. A permanent closure? Thinking this was a mistake I set out to get it fixed. I quickly discovered that my only next step was to file an appeal, which is setting off red flags in my head. Why an appeal? Why not a 2 minute phone call with a real person?

The appeal was a gem. Since Amazon couldn’t be bothered to explain the logic behind their decision, they asked me to tell them why I thought they did it and how I was going to ‘fix’ it. How do you respond to a mystery accusation? Not only do they assume my guilt, but they refuse to tell me the charges and place the burden of proof on my shoulders…all without ever talking to me. All communication has come through auto-generated emails.

This is their response to my appeal:

Hello from Amazon.com.

Thank you for writing. We are unable to provide detailed information on how we link related accounts.

However, we have thoroughly reviewed our records and confirmed that we have significant evidence that your account is related to another previously blocked account.

Your seller account will remain accessible to you. Please take steps to resolve your pending sales.

Any remaining funds may be reserved for up to 90 days from the date the account was blocked. After 90 days, the funds will be disbursed, provided we do not receive charge-backs or A-to-z Guarantee claims against your sales. If you have further questions about your disbursement, please email payments-funds@amazon.com.

While we appreciate your interest in selling on Amazon.com, please understand that the closure of an account is a permanent action. Any subsequent selling accounts that are opened will be closed as well.

Regards,

Seller Performance Team
Amazon.com

Total frustration. By now it’s feeling like a lost cause. I’ve learned of dozens of other seller accounts that have been closed in the same manner, with the same auto generated emails. Feeling like I had nothing to lose, I responded with a professional yet firm email in the hopes that I’d get through to a real person. No such luck.

Here was their response:

Hello from Amazon.

Thank you for writing. After a review of your account by an account specialist, we have decided not to reinstate your selling privileges.

We regret we are unable to provide further information on this situation. Further correspondence regarding the closure of your selling account may not be answered.

The closure of this account is a permanent action. Any subsequent accounts that are opened will be closed as well.

Regards,

Seller Performance Team
Amazon.com

So that’s it. It is now painfully obvious that Amazon isn’t interested in justice.

I hope my story is useful to you if you are thinking about selling on Amazon. Don’t underestimate the power they have. With a single mouse click at 2am, they can shut down your entire business with nary a reason. Diversify your selling sources.

Mike Littau