Small businesses that sell on Amazon were left reeling when a technical glitch listed thousands of items at 1p.
Some firms that use the RepricerExpress software said they are at risk of going bankrupt after the system reduced prices on items including clothing because the error has resulted in them losing so much money.
One of the third-party sellers, Judith Blackford of children’s fancy dress company Kiddymania, told Sky News that she lost around £20,000 overnight.
“Having asked Amazon to cancel the orders, they are still sending them out and charging me horrendous fees.
“Surely someone has to be accountable for this. I will be bankrupt at this rate by the end of January.”
The error happened on Friday between 7pm and 8pm when the software, which is designed to keep businesses competitive by automatically repricing items of stock so they are cheapest on the market, went haywire. It is not yet known how many of the firms were clothing retailers.
Amazon said it had “responded quickly” to the glitch and cancelled the vast majority of orders placed.
But last night it said: “We cannot cancel or reimburse orders that have already shipped or been charged to the customer.”
City AM reported that businesses affected have clubbed together to recruit a lawyer to try to recoup their losses.