Amazon Canada will pay a $1 million fine for what is described as "misleading pricing practices."
The investigation reportedly focused on Amazon's practice of displaying its prices compared to higher "list prices" - suggested manufacturer prices (MSRPs) designed as a marketing gimmick to make users think they were getting a deal (even though buyers rarely ever actually pay that price).
"The Bureau's investigation concluded that these claims created the impression that prices for items offered on www.amazon.ca were lower than prevailing market prices," Canada's Competition Bureau said in a statement. "The Bureau determined that Amazon relied on its suppliers to provide list prices without verifying that those prices were accurate."
What's the potential impact here in the U.S.? With Amazon absolutely dominating the ecommerce landscape these days, expect regulators to turn their attention to the marketplace in short order.
Digital marketing executive with proven experience in all aspects of search engine optimization (SEO), performance-based advertising, consumer-generated/social media, email marketing, lead generation, Web design, usability, and analytics. - 20-year Internet marketing veteran, currently serving as the Digital Marketing Campaign Manager at Antenna Group (formerly Chicago Digital). - Former Editor-In-Chief of Website Magazine, and a regular speaker on Web technology digital marketing strategy - Author of several books on digital marketing Including Web 360: The Fundamentals of Web Success; Affiliate 360: The Fundamentals of Performance Marketing; Domains 360: The Fundamentals of Buying & Selling Domain Names, and SEO 360: The Fundamentals of Search Engine Optimization.