Luxury manufacturers can block retailers from selling on Amazon | RetailDetail

Luxury manufacturers can block retailers from selling on Amazon

Luxury manufacturers can block retailers from selling on Amazon

Luxury product manufactures can block retailers from selling their merchandise on online marketplaces like Amazon. The European Court of Justice has ruled on the matter after cosmetics manufacturer Coty filed a complaint.

Protect image

Coty wanted to block German perfume chain Akzente from selling its products on Amazon’s German website and that is when the matter went to court. A judge has now ruled that when a brand collaborate with a small group of retailers, it can say where its products can and cannot be sold, in order to protect the brand’s image, according to the FD.


It is no secret that some luxury brands are not too keen on online sales. Only recently have some companies buckled and accepted online sales, but these companies usually still only sell on their own online platform. This is a way for them to avoid their products’ image being tarnished.


The ruling is not only bad news for retailers intent on using online marketplaces, but also for the marketplaces themselves. Amazon would love to have luxury brands on its platform as a means to attract an even broader audience. This decision prohibits that, unless the online giant can reach an agreement with the brand itself.



German judges had previously ruled, in a court case revolving around sports brands Asics and Adidas, that retailers could choose where the products are sold. The European Commission then claimed that manufacturers should be able to decide, in order to protect their brand’s image.


Asics had told retailers that they could not sell its products on online marketplaces, but had to reverse that decision in Germany following the court ruling. It remains to be seen how that will now change considering the fact that the European Court of Justice’s ruling only applies to luxury brands. 

Questions or comments? Please feel free to contact the editors

Gerelateerde items

Nestlé has lost KitKat's four fingers


Chocolate bar KitKat’s four “fingers” are not distinctive enough to give Nestlé sole ownership. With its statement, the European Court has now ended a long-standing legal battle between KitKat and Leo.

100 million Prime subscribers for Amazon


Ecommerce giant Amazon surpassed the 100 million Prime subscriber mark, just one of the many milestones CEO Jeff Bezos mentioned in his annual shareholder briefing.

Dutch Beate Uhse division not bankrupt after all


German Beate Uhse’s Dutch subsidiary has not gone bankrupt after all and will continue its activities in both Belgium and the Netherlands. The company revealed the information itself after bankruptcy rumours surfaced.

Amazon often cheaper than Dutch competitors


Products that are available on both Dutch web shops and, are cheaper at Amazon in about half the cases. Not only do Dutch stores compete with, which ships to the Netherlands, but there are also rumours that and will soon become more active.

Trump targets Amazon


President Donald Trump has apparently targeted Amazon as his new enemy. He feels the retail giant is taking advantage of the U.S. Postal Service, something he wishes to remedy with a series of new rules and legislation.

Amazon undisputed ruler of French online world


Amazon is the undisputed leader of the French online world thanks to a 5.6 billion euro turnover and a 19 % market share. According to Kantar Worldpanel, the overall online market in France was worth 30 billion euro in 2017.