Competition Bureau Investigating Amazon’s Conduct on its Canadian Marketplace

Canada’s Competition Bureau is conducting an investigation on whether Amazon is engaging in conduct on its Canadian marketplace Amazon.ca that is impacting competition and for that matter, it is also seeking input from market participants.

The Bureau says that its investigation is ongoing and there is no conclusion of wrongdoing at this time. The investigation is being conducted under the restrictive trade practices provisions of the Competition Act, with a focus on potential abuse of dominance.

The Competition Bureau is encouraging sellers and businesses with relevant information to confidentially share their experiences via email.

Areas of interest to the Bureau include:

• any past or existing Amazon policies which may impact third-party sellers’ willingness to offer their products for sale at a lower price on other retail channels, such as their own websites or other online marketplaces;
• the ability of third-party sellers to succeed on Amazon’s marketplace without using its “Fulfilment By Amazon” service or advertising on Amazon.ca; and
• any efforts or strategies by Amazon that may influence consumers to purchase products it offers for sale over those offered by competing sellers.

An Amazon spokesman has said that the company is cooperating with the Canadian probe and will continue to support small- and medium-sized businesses who sell on their platform in the country.

Any information provided to the Bureau in connection with its mandate will be protected as confidential. More information can be found here.