> The end game for Amazon is choking all of the other retailers out of existence, IMHO.
The trouble with this is that it plays exactly into the article's point. We can't disprove that Amazon will one day choke all the other retailers out of existence. We can always say, "tomorrow will be the day, just wait."
Meanwhile, Chinese factories are selling bicycle parts on eBay. Will WalMart fail but be replaced by manufacturers selling direct to end-users and disintermediate Amazon? I have no idea, but it's no less plausible than Amazon driving absolutely everyone out of business.
I'm not trying to debate eBay vs. Amazon, I'm simply suggesting that if we're talking "long games," there's a lot of uncertainties. Profitable companies are winning now.
Amazon currently plays a dual role; both a traditional retailer and a 3rd party logistics business, and they'll probably be quite good at both of those, see the kiva purchase for example.
I think they could probably beat ebay in this kind of game if they'll be interested.
Will WalMart fail but be replaced by manufacturers selling direct to end-users and disintermediate Amazon? I have no idea, but it's no less plausible than Amazon driving absolutely everyone out of business.
Seems unlikely, because the main reason to go to Walmart or Best Buy is to get the product the same day you want it, and also to see it in person before buying it. Amazon won't drive everyone else out of business until they offer both of those.
The expansion into same day shipping is happening. In terms if people who want to physically see the product, I don't think that is Amazons game. They are are better off giving up that market segment and the overheads associated with it. Same day shipping and no hassle returns is probably close enough for a lot of people.
You box up the item using the original packaging, slap on a return label printed off Amazon's website, and drop it off at UPS (a box or a store). Item arrives back at Amazon, and your account is credited.
I've only done it once. It was a defective milligram scale costing in the low teen 2-digits, which arrived DOA. Taking a chance, I resubmitted my original order and dropped off the defective unit at the local UPS store. A couple of days later, I had a working scale and an account credited to reflect the purchase of one scale, net.
I don't live in the US and have never made an Amazon return. I was under the impression though that they organised for a courier to picking the package from you, rather than you having to go and send it?
I have had UPS pick things up from house for an Amazon return before. I'm not sure whether it happens every time or not, or how that is decided. It certainly happens at least some of the time though. Really fantastic.
I've never had a return challenged or refused, and I can immediately print out a shipping label. It's not entirely "no hassle", but it's the least I've ever had, and the only reason I've ever purchased "risky" merchandise (e.g., clothing) online to begin with.
The trouble with this is that it plays exactly into the article's point. We can't disprove that Amazon will one day choke all the other retailers out of existence. We can always say, "tomorrow will be the day, just wait."
Meanwhile, Chinese factories are selling bicycle parts on eBay. Will WalMart fail but be replaced by manufacturers selling direct to end-users and disintermediate Amazon? I have no idea, but it's no less plausible than Amazon driving absolutely everyone out of business.
I'm not trying to debate eBay vs. Amazon, I'm simply suggesting that if we're talking "long games," there's a lot of uncertainties. Profitable companies are winning now.