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▲ steveBK123 5 hours ago

And my point is that many of us aren't even shopping on price!

You could also flip around the reading to.. boohoo poor sellers have to raise their prices elsewhere and take higher margin?

Why don't they figure out how to ship/delivery more quickly with a competitor with all those extra margin dollars they are being forced by Amazon to take elsewhere?

▲crote 4 hours ago | parent | next [-]

Because Amazon benefits from massive economies of scale, and because Amazon has nearly-unlimited cash to push competition out of the market?

How could a regular webshop possibly compete with a behemoth which has warehouses in literally every major city, which has its own dedicated fleet of delivery vehicles, and which has its own fleet of cargo planes? When you've got a single warehouse and have to rely on DHL/USPS/FedEx, you will never beat them on delivery time when Amazon is actually trying: Amazon can trivially offer same-day delivery and eat the cost until you go out of business.

And don't forget: Amazon has an even bigger margin. If they were to compete on price, they would easily win. But they aren't competing on price because they know they have a quasi-monopoly, so they can just enjoy the extra profit.

▲holmesworcester 2 hours ago | parent | next [-]

I often think about how there's an open question in this case of whether it's necessarily anti-social for a market participant to fight hard to create the level of critical mass necessary to give most people the product they want.

Everyone likes stuff showing up at their door reliably wherever they are, and this isn't possible unless you have a service with warehouses and dense customers ~everywhere, and this isn't possible unless enough people use that same service. So in one sense it's in everyone's interest to have an assurance contract where everyone says "I will use this service if you do." Then in that sense Amazon's price rule is building a mechanism to support such an assurance contract: you can't force people to sign such a contract, but you can prevent people from defecting to slightly lower prices outside of the "stuff just arrives fast" system.

In a system that was very good at collective action outside of markets, a cleaner solution in terms of consent and power might be to build an actual explicit assurance contract for an app-to-door-everything-delivered-fast service, get everyone to sign it, and make a public utility and/or separate dis-aggregated markets for the different levels of service provision, whatever they are (consumer facing app, supply, warehouse, delivery, etc.). But anyone who has ever even thought about doing anything like this will know that it's much easier said than done, and will appreciate the kludge Amazon and their investors pulled off, at least a little bit, the next time they buy a thing online.

Maybe the answer is just: use Amazon until technology (robotics e.g.) makes it easy to create something better? At this rate, we shouldn't have to wait too long?

▲darrylb42 4 hours ago | parent | prev [-]

It is surprising how often they are cheaper. I was ordering some glue, decided to double check the price, I could drive for 30 minutes and buy local, and pay more or order it for cheaper from Amazon. I didn't need it the same day so getting it tomorrow didn't matter. Amazon also sells everything need some M2 screws Amazon will have them, no idea where to buy something like that locally Home Depot won't carry them.

▲mindslight 3 hours ago | parent [-]

The proper comparison isn't Amazon vs local, it's Amazon vs other web shops (likely with more traditional supply chains) - especially for items that are only ever going to be part of a wide selection like M2 screws. HomeDepot.com and Lowes.com have M2 screws, as well as Zoro, McMaster, or other specialty web shops [0]. My specific go-to for one-off [1] screws is usually Zoro, as I usually prefer stainless (or grade 8 for larger sizes).

[0] I had been fond of "Albany County Fasteners" but I've soured as they've gradually jacked up the prices while removing free shipping. I don't even like free shipping, but it is a way for ordering to be more convenient as it prevents me from wanting to sit on an order for a while to batch it up.

[1] as opposed to stocking up on an assortment

▲asib 2 hours ago | parent [-]

What is shipping like from Zoro? The number one reason I tend to use Amazon for this stuff (nuts/bolts) is because shipping is free given a Prime subscription.

If I buy a handful of bolts from McMaster or BoltDepot, I'm paying like $10 to ship, on an order this is probably $10 in goods :(

So I'm basically always picking between Amazon and AliExpress.

▲mindslight 2 hours ago | parent [-]

Zoro shipping is free over $50 order, otherwise I think it's only $5? I generally just batch, especially with the way they rotate promo codes. I've always got some slow-roll projects going on.

Time frame it really depends - delivery dates a day or few days out are generally accurate. Most items they stock at a local distribution center, so I get them next day. Some things come from further warehouses of theirs and take a few more days. There are also third party vendor items that are all over the place for delivery time, but you know those by their estimated delivery time being more than a few days out, and saying ground shipping only. (They're slowly taking away "free shipping" from items that require LTL though, heh heh)

For fasteners specifically, their parametric search has gotten better. I'd have Digikey's interface everywhere if I could.

▲phyzix5761 5 hours ago | parent | prev | next [-]

One correction: wealthy people aren't shopping on Amazon because of price. Everyone else uses Amazon because of price and convenience.

▲PaulHoule 5 hours ago | parent [-]

... and a lot of times I go right to the brand to buy "straight" from them and they fulfill orders from Amazon so why not just buy from AMZN where I already have an account, get lots of credit card points, can spend my credit card points, etc.

In the last year I've seen this other kind of consolidation where most of the brands that don't have an AMZN-hosted or fulfilled store are using shop.app (now shop.com!) from Shopify. I did a stint of investigating boutique perfumes [1] and it seems almost everyone in that business uses Shopify.

[1] you gotta try "Under the Lemon Trees"!

▲knollimar 4 hours ago | parent | prev | next [-]

This is a terrible argument. It’s only margin if they get the service but no one wants to pay the same to get slower shipping. Amazon has made the choice for the consumer.

Sure their logistics are better but it’s functionally tying Amazon’s logistics to access to selling on Amazon. It’s not a fair burden to say “you must convince customers to buy inferior shipping at superior shipping prices in order to not use us.

▲mahboi 4 hours ago | parent | prev | next [-]

Some may be shopping based on price without realizing it. There's already a baked in assumption that Amazon has the lowest price and there's no need to check elsewhere.

▲dns_snek 4 hours ago | parent | prev | next [-]

> You could also flip around the reading to.. boohoo poor sellers have to raise their prices elsewhere and take higher margin?

Behavior which is often ruled anti-competitive and illegal.

https://ec.europa.eu/competition/antitrust/cases/dec_docs/40...

▲ndiddy 4 hours ago | parent | prev [-]

If Amazon stopped engaging in price fixing, then people like you who aren't shopping on price could still buy stuff on Amazon, and other people who are shopping on price could buy the same item from the manufacturer's site for 30% less with the knowledge that it'll probably arrive in a week rather than in a couple days. I'm not sure what problem you have with that.

▲carlosjobim an hour ago | parent [-]

It's not price fixing. The seller is still completely in control of the price, but they cannot discriminate against Amazon by selling it cheaper elsewhere. Or they can, but then Amazon don't want to do any business with them.

These kind of contracts are standard for all kinds of third party marketplaces. You don't have to sell through them if you don't agree with the contract.