Sponsored Products, the main advertising business for Amazon, is facing increased scrutiny over its malfunctioning and sometimes unsafe fire safety systems in Pennsylvania. Investigators in the state have cited concerns that the Sponsored Products technology, which experts have compared to other safety systems used in kitchen equipment, can cause serious harm to consumers.
In November of last year, Sponsored Products unveiled Sponsored Products 3.0, an extension of its Sponsored Products Ads technology which allows brands to show ads while they are waiting for customers to open their doors. In the weeks since, questions have been raised about safety, especially as parents and guardians are increasingly relying on sponsors to secure their children’s safety and well-being.
Amazon’s Sponsored Products technology was first introduced in late 2013, but initially attracted consensus for being simple and effective. However, as the number of ads being shown on Amazon’s platform have skyrocketed, many have expressed concern that the ads being shown — particularly highly visible ones like those for baby strollers or auto parts — may be dangerous.
One specific example cited in this case study is the High-Pressure Cleaning System, which utilizes craftsman blowers to expel hot water and steam to deeply clean kitchen floors and plants. Despite its widely-documented dangers, this product was allowed to continue being sold on Amazon, prompting widespread ire and criticism.
Another case study references specific events in which consumers were injured as a result of Sponsored Products’ safety systems failure. In one such case, a mother inserted a promotional jar of honey in place of its original jar containing cooking oil, causing it to shatter upon use.
The Sponsored Products safety system is intended to prevent such accidents by alerting consumers upon insertion of a promotional jar of product. However, despite Sponsored Products content moderation teams screening and approving promotional ads for safe usability, the system has still failed in numerous instances.
According to a recent report by the National Fire Protection Association, the number of fires caused by sponsors has increased dramatically between 2012 and 2016, with an alarming surge between 2014 and 2016, reporting a 78% jump in fire incidents.
The resulting impact has also been immense, with network-wide injuries caused by Sponsored Products increasing by 70% between 2013 and 2016, and 50% in the US alone. The most significant increase in reported fire- and land-based injury was in the trucking industry, prompting national calls for Amazon to address the IS system and its current inability to properly validate purchase and ad history.
As a result of both the industry-wide health concerns and increasing legal claims against Sponsored Products, Amazon has faced growing pressure to address the issue. In response, Amazon has announced plans to roll out new safety systems that will protect consumers from future harm.
These systems will include an integrated consumer feedback portal, allowing for customers to report incidents and be compensated for damages caused. Additionally, Amazon has promised to double its network of quality control personnel to ensure the highest level of accuracy in all ads being sold.
While the proposed Sponsored Products safety systems have been met with mixed reactions by executives at Sponsored Products Amazon, experts in the industry have been cautiously optimistic about the changes. With this decision, Amazon has demonstrated a willingness to address a growing public health concern while also preserving the integrity of its flagship technology platform.
However, critics have also expressed concern that the new Sponsored Products safety systems may not be enough to fully address the issue. They have raised questions around the reliability of these systems and whether or not they will be able to identify all incidents, as well as whether or not they will be effective deterrents for brands and retailers who are not fully compliant with the new safety standards.
Another concern cited by expert observers is the potential impact on smaller, emerging brands. How will Amazon ensure fairness in its advertising platform and provide these brands with opportunities to promote their products, while also ensuring that all products sold on its platform meet strict safety standards?
With both optimism and concerns about the changes, the impact of Sponsored Products on the tech industry will be closely watched in the coming months. As the advertising technology landscape continues to evolve and grow, it is clear that ensuring consumer safety and well-being is a top priority for Sponsored Products and Amazon more broadly.
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