Amazon's AI shopping tool sparks backlash from online retailers that didn't want websites scraped

Amazon's recent introduction of a shopping tool has sparked significant controversy among online retailers who claim they did not authorize the use of their products on the platform. The feature, named "Shop Direct," allows consumers to explore items from various brands' websites directly on Amazon's vast marketplace. Launched in February, Shop Direct includes a functionality called "Buy for Me," which employs artificial intelligence to facilitate purchases on behalf of consumers from external sites. Amazon positions this service as a way to help shoppers discover products that may not be available on its own platform. Over the last decade, the e-commerce giant has increasingly relied on third-party sellers, with independent merchants now accounting for over 60% of its sales. In recent weeks, several retailers have voiced their concerns on social media, stating that their products were listed on Amazon without their consent, leading to instances where items were either misrepresented or out of stock. For example, Hitchcock Paper, a stationery store in Virginia, reported receiving unexpected orders for a stress ball it does not sell, originating from an email linked to the "Buy for Me" service. Similarly, Angie Chua, CEO of Bobo Design Studio, recounted her experience of receiving orders through this program without her agreement. Her company specializes in stationery and journaling tools, and she felt taken advantage of, describing her situation as being forced into a dropshipping model that she intentionally avoided. Chua noted that she was not alone; over 180 other businesses using platforms like Shopify and Squarespace have reached out to express similar frustrations about their products appearing on Amazon without permission. In response to these claims, an Amazon representative stated that the programs are designed to help consumers find products while also benefiting businesses. They assured that retailers have the option to opt out by contacting Amazon directly. The spokesperson emphasized that the product data is sourced from public information on brand websites, with checks in place to ensure items are accurately listed in terms of availability and pricing. Despite the backlash, Amazon indicated that Buy for Me is still in an experimental phase and does not take a commission on sales made through it. The company is also navigating the broader landscape of AI in e-commerce, as competitors like OpenAI and Google introduce their own shopping capabilities. Amazon has taken a defensive stance, blocking various agents from accessing its site while simultaneously developing its own AI technologies. This includes a recent lawsuit against Perplexity, a startup that allegedly used methods to scrape data from Amazon without approval. In 2024, Amazon unveiled its AI shopping chatbot, Rufus, further enhancing its capabilities in the online retail space.