If you’ve ever gotten one of those cryptic Amazon emails warning you about “external pricing violations,” you’re not alone.
Thousands of sellers have had listings suppressed — or even accounts suspended — because of a policy they didn’t realize they were breaking.
So what does Amazon’s seller pricing policy actually say?
And how do you avoid running into trouble — especially if you sell on multiple marketplaces?
Let’s break it down.
What Is Amazon’s Seller Pricing Policy?
Amazon’s Seller Pricing Policy is designed to keep prices competitive on its platform — and protect its reputation as the place to find the lowest prices.
At its core, the policy says this:
“Your prices and terms must be at least as favorable to Amazon customers as those offered via any other online sales channel.”
— Amazon Pricing Policy Help Page
That means if you’re selling a product on your own website, eBay, or Walmart.com for less — or with better shipping or return terms — Amazon may suppress your listing. No warning required.
What Triggers a Pricing Policy Violation?
Amazon compares your total offer price (product price + shipping) to what’s publicly available on other platforms.
Here’s what can trigger a violation:
- You offer lower pricing elsewhere (including your own Shopify store)
- You offer faster or cheaper shipping elsewhere
- Your return window or fees are more buyer-friendly off-Amazon
- You’re enrolled in FBA but pricing lower on a non-FBA site
Even if your Amazon price is only slightly higher, you’re at risk if the platform detects a “significant difference” in customer value.
What Happens If You Violate the Policy?
When Amazon detects a potential violation, here’s what might happen:
- Your Buy Box disappears — severely tanking conversion rates.
- Your listing gets suppressed, often flagged as “Inactive (Pricing Error).”
- You receive a performance notification requiring corrective action.
- Repeat violations can lead to account suspension.
Amazon rarely tells you exactly where the pricing conflict is. It’s up to you to investigate and resolve it.
How to Stay Compliant (and Still Be Competitive)
Here’s how to avoid triggering Amazon’s pricing alarm bells — while still maintaining competitive pricing elsewhere.
1. Standardize Pricing Across Channels
Use price parity tools or listing software (like Sellbrite or ChannelAdvisor) to sync pricing and shipping terms across platforms.
Consistency is the safest bet.
2. Include Shipping in Your Calculations
Amazon evaluates your total landed price, not just the product cost. If you charge $25 + $5 shipping on Amazon, but $27 with free shipping on your site, that’s a violation.
Use tools like ShippingEasy or Easyship to calculate total cost consistency.
3. Watch Your Return Policies
If you offer free 60-day returns on your website but only 30 days on Amazon — that’s a red flag. Align return policies across all sales channels.
4. Monitor Pricing Errors Automatically
Set up pricing rule alerts using your Amazon seller tools or third-party apps like Bindwise. These can catch unintentional differences before Amazon flags them.
What to Do If You’re Flagged
If you get a notification that your listing is inactive due to pricing, here’s how to respond:
- Check your pricing on other platforms. Start with Google Shopping results.
- Adjust your Amazon price or shipping. Match or beat your external offer.
- Update your return or shipping policies if needed.
- Respond through Seller Central’s performance notification center confirming you’ve resolved the issue.
Avoid submitting a Plan of Action unless Amazon specifically requests one — it’s usually not required for pricing issues.
The Bottom Line
Amazon’s pricing policy isn’t just about price — it’s about perceived customer value.
That includes:
- Total price (with shipping)
- Delivery speed
- Return terms
- Overall deal competitiveness
It’s Amazon’s way of protecting their brand — even if it feels like overreach to sellers.
Need Help Navigating Amazon Compliance?
At Space Command, we work with sellers to proactively prevent issues like pricing violations, listing suspensions, and missed Buy Boxes. We stay ahead of Amazon’s policies — so you can focus on growing your business, not constantly fixing it.
If you’re tired of reactive selling and want a strategic partner, reach out here. We’ll help you stay compliant, competitive, and in control.
Frequently Asked Questions
Does Amazon monitor my website prices?
Yes — either directly or through bots. If your store is indexed by Google, Amazon can find it.
Is it okay to offer better bundle deals off Amazon?
Technically yes — but only if it’s a clearly different product or package. Identical SKUs must be priced consistently.
Can I raise prices on other platforms instead?
You can, but it may hurt conversion on those platforms. Consistent pricing is usually safer than strategic inflation.
Does this apply to FBM and FBA both?
Yes. The policy applies regardless of how your product is fulfilled.