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Amazon's secret Project Curiosity used to gather intel on rivals for years

E-commerce giant Amazon used a company called Big River to gather intel on competitors, especially targeting Walmart, which back Flipkart in India

Amazon_Jeff Bezos (Photo: Bloomberg)
Amazon_Jeff Bezos (Photo: Bloomberg)
Vasudha Mukherjee New Delhi
3 min read Last Updated : Apr 19 2024 | 3:20 PM IST
Amazon has been gathering intel on its competitors in retail, logistics, and related fields through a subsidiary store called Big River Services International for many years, a report by the Wall Street Journal revealed. Indian e-commerce platform Flipkart was also targeted.

The e-commerce giant reportedly started Big River, under a clandestine effort dubbed "Project Curiosity," to gather intelligence on its retail rivals, including Walmart and eBay.

Big River peddled goods across various e-commerce platforms such as eBay, Shopify, Walmart, and Amazon itself, using aliases like Rapid Cascade and Svea Bliss, and had an annual turnover of approximately $1 million.

"We build compelling media, experiment with new ideas, and constantly iterate to perfect how we source, market, buy, package, ship, and support products from top brands worldwide. We work on a performance-basis and only make money when our partners do, too," Big River's official website says.

Through this company, Amazon gathered intel on how competitors in various sectors ran business operations. Big River also sold a range of products, from apparel to beach accessories, on competitors' platforms to extract valuable intelligence.

"On the internet, we create our own properties and also sell on marketplaces like amazon and eBay," Big River's official website says.

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The company operates in major cities across the world - Seattle, Tokyo, London, Munich, and Bangalore.

WSJ noted that rival companies, including Walmart, were unaware of Big River's association with Amazon.

What is Project Curiosity?

"Project Curiosity" was initiated in 2015. Under this project, Big River was established to strategically infiltrate rival marketplaces across multiple countries, procuring pricing data, logistics insights, and other pertinent details. This information is then meticulously collated and transmitted to Amazon's decision-makers to inform strategic business decisions.

How did Big Rivers maintain secrecy?

To maintain secrecy, Big River employees concealed their affiliations with Amazon, adopting covert communication tactics and minimising electronic footprints. They employed non-Amazon email addresses and received specialised training to deflect suspicion if their true identity was uncovered. Even when interacting with Amazon personnel, employees adhered to strict protocols, ensuring that sensitive information remained safe.

Moreover, Big River ventured into creating its own brands, such as Crimson Knot and Not So Ape, to penetrate rival marketplaces like Flipkart in India and Shopify in the US.

This multifaceted approach allowed Amazon to gain invaluable insights while expanding its influence across diverse e-commerce ecosystems.

Walmart targeted

Despite Walmart's stringent seller criteria, Big River leveraged alternative avenues, including Jet.com and Flipkart, to circumvent barriers and infiltrate Walmart's marketplace, WSJ wrote. The report added that Walmart appeared to be a vital focus for Project Curiosity.

The revelation of Amazon's covert operations also raises ethical concerns. While competitors engage in standard market research practices, Amazon's tactics blur the lines between legitimate intelligence gathering and corporate espionage, which is considered a federal crime in the United States.

It is unclear whether Amazon's tactics in this situation would be considered illegal under US laws.

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Topics :AmazonecommerceFlipkartWalmartBS Web Reports

First Published: Apr 19 2024 | 3:15 PM IST

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