Skip to main content

Amazon’s 1p Christmas sale glitch causes "£20,000" losses overnight

An Amazon software glitch late last week led to hundreds of items being wrongly priced at just 1p.

The malfunction has been traced to a tool called RepricerExpress, which is used by retailers to automatically reprice goods if competitors begin selling a cheaper version through another outlet.

Read more: Amazon embraces season of goodwill with £3,000 giveaway

The orders were carried out on Friday between 7pm and 8pm and while Amazon has attempted to cancel the transactions, some have already been processed.

"We responded quickly and were able to cancel the vast majority of orders placed on these affected items immediately and no costs or fees will be incurred by sellers for these cancelled orders," the web giant explained.

"We are now reviewing the small number of orders that were processed and will be reaching out to any affected sellers directly."

Smaller businesses in particular are likely to be the most concerned about the glitch, with lost earnings potentially having a devastating effect.

“I have lost about £20,000 overnight. Having asked Amazon to cancel the orders they are still sending them out and charging me horrendous fees," said Kiddymania’s Judith Blackford in an interview with Sky News.

RepricerExpress CEO Brendan Doherty has apologised for the error and reassured sellers that they will be reimbursed for any money lost.

"We have received communication that Amazon will not penalise sellers for this error. We are continuing to work to identify how this problem occurred and to put measures in place to ensure that it does not happen again," he said.

"Everyone here is devastated and disappointed that you have experienced this problem. We understand that you are angry and upset and we will endeavour to work to make good on this issue."

Read more: Supreme Court backs Amazon in latest worker dispute

This is not the first time Amazon has encountered a software error over the Christmas period. Earlier this month, a student received more than £3,000 worth of goods in error after a number of returned items were delivered to him