As the tech companies have disrupted retail online, Quality King has spent the past few decades disrupting retail behind the scenes--on trucks, on freighter ships, and through good old-fashioned American litigation. Take, for instance, the 1998 Supreme Court case involving Quality King and a fancy shampoo maker named L'Anza Research. To preserve its cachet, L'Anza made its U.S. distributors sell only to exclusive boutiques and salons at high prices. But L'Anza sold its shampoo more cheaply in Europe, where it was less known. So several tons of L'Anza shampoo intended for distribution in Malta ultimately ended up on a ship headed for Ronkonkoma, for Quality King to sell wherever. (You could say it fell off the back of a boat.) L'Anza sued, claiming a Copyright Act violation, but the Supreme Court ruled unanimously for Quality King: A company buying products on the open market can resell them as it sees fit.
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But Vagenas's desk is constantly cluttered with products that have caused problems. Each day, the Seller Support group takes down one or more Pharmapacks listings without warning because of customer complaints. One day it was a bottle of Dove Advanced Hair Series Quench Absolute Serum that was listed for fine hair but turned out to be for coarse hair. (The manufacturer changed the UPC code, Vagenas said.) Another day it was Cold-Eeze Cold Remedy lozenges. In each case, customer-service reps send Amazon copies of supplier invoices, product photos, and other documentation to get the item relisted, and Vagenas tries to identify the root of the problem and develop a protocol his staff can use to rapidly identify and solve similar problems in the future, so more products won't end up on his desk. But every time I visited, some new toiletry had taken the place of the others on his desk. Uneasy lies the head that wears the crown of 4.9 stars.
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