I strongly dislike Amazon.
I strongly dislike Amazon.
I wonder how long before retailers outlaw the use of cell phones in their stores.
I wonder how WalMart feels about this? Historically if someone from a competing retailer was in there checking prices they would be physically removed from the building. With enthusiasm!
Yes, it is. But Amazon is more interested in a free-ride than a free-market. Of course you can offer a lower price if you avoid the expense of having employees that have to deal with those pesky customers who ask questions and examine the merchandise. And you save lots by not having to display a "sample", pay rent, heat and electricity.
So if you want the low price - shop Amazon. If you don't need to see how sharp the TV is, hear the speakers, see how the controls work and ask questions - don't pay for those services. Go ahead and shop Amazon.
But if you DO want those services, expect to pay for them. If you use the services and then save a couple of bucks by using Amazon, very soon you will not have the services. There is no free lunch.
In any case, big box retailers will quickly get around this by demanding manufacturers give them unique model numbers and UPC codes that are exclusive to their store. Otherwise, they might as well close up shop.
From the referenced article:
"Jeff Bezos, Amazon's chief and founder, recently told the US magazine Wired: "There are two ways to build a successful company. One is to work very, very hard to convince customers to pay high margins. The other is to work very very hard to be able to afford to offer customers low margins. They both work. We're firmly in the second camp."
BS. Amazon doesn't work at being able to "afford" low margins - they are charging the highest margins they can get away way (like most other retailers). But when they are forced to compete, sure they can beat a retailer's price. They don't have the expenses. But they will ONLY beat it if you are in front of a cheaper unit, ready to buy.
Bezos says: "Our vision of a perfect customer experience is one in which our customer doesn't want to talk to us." Translation: Just send us your money and don't expect any service. We have instituted layers of low-paid zombies to insulate us from having to deal with you peons.
Now, they will get you your stuff fast - and they will deal with damage claims and lost merchandise quickly. But god help you if you need to discuss something with someone who needs the ability to make a non pre-determined decision. Lots of luck.
"They're a ruthless, money-making devil." AB-SO-LUTE-LY. But, they differ from other retailers only in their ruthlessness. Businesses are in business to make money. Some try to do it within the framework of what is moral. Amazon has no such scruples.
God bless the free market!
I love to see all those inefficiencies and impediments to competition eliminated!
Now, be honest, do you really need to pick up and handle that DVD, or electric razor, or toaster oven in person? it’s not like you can preview, or shave, or cook in the store to test it out.
The online seller has a high-resolution picture of it, plus scans of the instruction manual, and technical details not available in person, plus reviews by other purchasers.
Fewer and fewer things benefit from sitting in rented space for customers to go visit, and possibly take home.
Puppies. Shoes, sometimes. Uh...
This is actually something the retailers will need to react to, but I don’t see how... - as I understand it, the app encourages people to walk into a real store, scan the item they want, and get it from amazon (with a discount, but not sure if that is a one-time thing or every visit), almost always for less, even with discount cards at the store. Most active buyers have shipping free on amazon after a one-time annual payment, and Amazon doesn’t charge sales tax in most states.
I guess the ability of people to go into a store to buy from a competitor without being run out in shame is a helpful social development for amazon.
I used this service last night at Best Buy. I needed a new wireless router. I would have only saved about $3 by going to Amazon, but shipping was about $6. The one with free shipping was $7 more than at Best Buy. So Best Buy got my business and I went home knowing I got a pretty good deal.
I love Amazon.
Especially around the holiday season. I can do all the shopping without having to fight people for parking spots at the mall, without the sneezing, coughing, flu-spreading crowds, at lower prices while sitting comfortably at home or office.
Plus it gives me a warm feeling that I am not subsidizing various public employee unions with my taxes.
Because you get your news from the Drudge Report?
Here's one of the many articles I found from US sources.
My daughter wanted the latest book from the Diary of a Wimpy Kid series. We went to Barnes and Noble. I thought the prices looked high, so I checked Amazon before this new app was released. The books were almost $10 cheaper.
Retailers, local and online each have unique costs. They have to compete regardless. Government interfering and overtaxing is the major obstacle to competition.
Years ago I learned a neat lesson from my boss. It was at a Marine Corps PX data center where I was a civilian asst. mgr. We had a reliable paper salesman who always gave us the best price he could on computer paper, punch cards, etc., along with good service.
One day this hot shot comes in, reminds us that he is a retired marine, and that we should buy from him. He said that he would beat any competitor’s price by 10%. My boss said “No, go over our want list and give us your best price.” The guy hemmed and hawed and left. My boss said, “Why should I let this guy profit from all the hard work the other salesman did? If he wanted the order bad enough, all he had to do was sharpen his pencil and do some work himself instead of riding on someone else’s back.”
That always stuck with me and I tried to follow that dictum whenever I could. One area I don’t, just to break horns. Wal-Mart and some other stores post signs that they’d meet their competitors’ price. I’d hit the managers and say, “Why should I come back here to check your price if all you’re going to do is match it? Give me 10% BELOW their price and I’ll consider coming back.” Deer-in-headlights response.
I LOVE my kindle and buy books with it all the time from Amazon.
Ping, per our discussion.