Amazon is facing a landmark £1 billion damages claim on behalf of retailers operating on its UK marketplace, making this the largest collective action ever initiated by UK retailers.
The claim, set to be filed today, accuses the ecommerce giant of unlawfully misusing retailers’ data and manipulating the ‘Amazon Buy Box’ to enhance its own commercial operations and boost its revenues and profits.
The British Independent Retailers Association (BIRA) will lodge the claim on behalf of the retailers at the Competition Appeal Tribunal (CAT) in London.
BIRA stated that Amazon utilized non-public data, exclusive to UK retailers on its platform, from October 2015 to the present.
This data allegedly enabled Amazon to determine whether to enter new product segments based on their sales potential and profitability, identify which product features to replicate, set competitive pricing, and target specific shoppers.
BIRA claimed that the retailers were unaware of Amazon’s illegal use of their data for its own gain.
