How to Identify Overpricing on Amazon
Amazon’s convenience is hard to beat, especially in the midst of COVID-19, but a new report suggests the tech giant may be overpricing some of the essentials.
The US PIRG Education Foundation , a consumer advocacy group, reviewed ten food, health and cleaning products that are likely to be popular during the pandemic. The report found evidence of price gouging compared to competitors such as Target, Walmart and other retailers.
The August report showed that ten staple foods were two to fourteen times more expensive than similar foods in other countries. For example, the group noticed a pack of $ 37.95 Clorox disinfectant wipes on Amazon, which were only $ 5 elsewhere. Also mentioned is a $ 29.99 thermometer priced at $ 10 in other stores.
While an advocacy group and some lawmakers have pushed for federal and state consumer protection, 13 states have yet to pass laws against price gouging. This can be a problem as the pandemic continues and natural disasters continue.
How to identify overpricing
There are several ways Amazon spot price gouging is possible. Start by comparing the unit prices of similar items – this can help reveal some of the significant differences. Another red flag is the absence of a “shopping box” from Amazon. In some cases, the company may make it impossible for you to buy something immediately if it violates its fair pricing policy.
You can also use Amazon price tracking tools like CamelCamelCamel or Keepa to see recent price changes. This can show you if sellers are raising prices during an event like a pandemic or natural disaster. You should also watch out for open foods. Some sellers will buy wholesale goods, split them into separate ones, and then raise prices.
Report a problem to sellers
If you are understating spot prices, you can report the company to your state’s attorney general. There’s a breakdown of state by state, where to report each, including online forms and phone numbers – here . You may need to provide the Amazon seller name, product details when you saw the product, and a screenshot of the product with pricing data.
Contact your elected officials
Are you wondering how your state’s laws compare to others? There’s a list of overpricing state charters here . If you live in a less secure area and want tougher laws, consider contacting your state representative.