The Federal Trade Commission reportedly is looking into Amazon's discount policy after a Consumer Watchdog complaint.
The US Federal Trade Commission is investigating charges that Amazon's pricing policy is misleading customers, according to a report by Reuters. That follows from a complaint by the Consumer Watchdog group, which examined 1,000 products being sold at a discount on the online retailer's site in June.
The Federal Trade Commission just set its sights on Amazon’s deal pricing schemes, responding to complaints that the giant online retailer misleads customers with its discounts. The FTC’s investigation is part of its review of Amazon’s agreement to buy Whole Foods for nearly $14 billion.
As Amazon prepares to lock down its mega-merger with Whole Foods, one of its most controversial sales practices may be coming back to haunt it.
The Federal Trade Commission is investigating claims that the online shopping giant misleads customers with the price comparisons it lists on its products, Reuters first reported.
The unofficial probe concerns the listed price on items, that retailers use to demonstrate how much their customers are supposedly saving.
US regulators will take more time to review Amazon's $13.7bn (£10.5bn) acquisition of Whole Foods after some groups have raised anti-trust concerns.
Democrats have asked authorities to consider how the deal might affect consumer choice, particularly in places with fewer food shopping options.
Whole Foods said in June it expected the deal to close in the second half of 2017 but it has warned investors that it could take until May 2018.
Many still expect the deal to go ahead.
SAN FRANCISCO — The Federal Trade Commission is looking into allegations that Amazon's discount-pricing policies misled consumers, according to a report today.
The probe comes on the heels of a complaint by advocacy group Consumer Watchdog, which examined 1,000 products on the retailer's website and concluded 61% with list prices were overpriced, Reuters said.
The FTC, which is reviewing Amazon's proposed $13.7 billion acquisition of Whole Foods, declined comment.
Amazon is being scrutinized by the U.S. Federal Trade Commission over whether its discounts on goods are misleading, after a watchdog group complained, says Reuters, citing an unnamed source.
Shares of Amazon (AMZN) are down by $3.18 at $1,025.52, in late trading, after Reuters’s Diane Bartz and Jeffrey Dastin related after market close that the U.S. Federal Trade Commission is looking into allegations “Amazon misleads customers about its pricing discounts,” citing a single unnamed source.
The Federal Trade Commission (FTC) is investigating allegations that Amazon misleads customers about its prices and discounts, Reuters reported.
The probe comes as part of a review of the company’s proposed merger with Whole Foods
The FTC’s probe is reportedly the result of a complaint brought forth by Consumer Watchdog, an advocacy group. In the group’s analysis of 1,000 products on the website they found that 61 percent of the time, the reference or list price that Amazon used to show consumers how much money they were saving increased in a 90-day period.