On May 9, 2021, Amazon released its first report on trademark protection. The press release is proud to take another step towards “zero counterfeiting” by showing “significant innovations and global advances by Amazon in the fight against counterfeit products”. While fewer than 0.01% of the products sold on Amazon were the subject of a customer infringement complaint, 10 billion suspicious ads were blocked.
To fight fraud, Amazon has invested more than $ 700 million and hired more than 10,000 employees. Note that the company had sales of $ 44 billion in 2020 and was based on payroll of 1.3 million employees. The anti-counterfeiting program therefore mobilized 1.59% of 2020 sales.
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Amazon claims it intercepted 2 million counterfeit products, all of which were destroyed. According to the company, the control program prevented more than 6 million seller accounts from being created before a product was even offered for sale. However, only 6% of registration attempts have passed the verification process.
“During the pandemic, attempts by malicious actors to commit fraud and offer counterfeit products have increased.”, stated Dharmesh Mehta, vice president of customer trust and partner support at Amazon, in the blog post. Jeff Bezos’ company therefore noticed an increase in counterfeit fraud in the past year and created a counterfeiting department that, among other things, brings sellers into contact with lawyers. Over 7,000 small and medium-sized enterprises (SMB) in Europe or the USA have used the services of an attorney. SMEs have also benefited from access to Amazon’s trademark register and have used it to submit trademark registration applications.