The observe of limiting who can promote particular merchandise on the Amazon market to accepted distributors. This entails setting standards, similar to requiring sellers to show a historical past of dependable efficiency, present proof of product authenticity, and meet particular gross sales quantity targets. As an example, a producer could prohibit gross sales of its premium skincare line to licensed distributors, stopping unauthorized or doubtlessly counterfeit merchandise from being bought below its model identify.
This technique gives substantial benefits, together with safeguarding model status, decreasing the chance of counterfeit merchandise reaching shoppers, and sustaining constant product high quality and pricing. Traditionally, the rise of third-party sellers on e-commerce platforms led to a rise in counterfeit items and unauthorized gross sales, prompting manufacturers to hunt strategies to manage their distribution channels and shield their mental property rights. Consequently, the implementation of such restriction insurance policies has grow to be a vital device for model safety.