Amazon asks sellers to send it more stuff
Amazon is offering its third-party sellers discounts on storage fees as part of its plan to fulfill speedy shipping promises.
According to Business Insider, Amazon now offers a 75% discount on storage fees at its warehouses in exchange for storing best-selling items there.
This would enable Amazon to offer more items on its Prime one-day delivery service. The company recently announced that it would be reducing its speedy two-day shipping policy down to one-day.
If the plan works as expected, these merchants will sell more stuff and Amazon will be able to promote a large selection of one-day shipping inventory, reports CNET. Plus, consumers will benefit from faster shipping of more products.
Amazon’s third-party marketplace has become one of the most profitable areas of its business. Sales from these sellers now make up for more than 58% of the physical gross merchandise sold on Amazon, growing from $0.1 billion in 1999 to $160 billion in 2018.
CEO Jeff Bezos commented on the success of this arm of the business in the company’s annual letter to shareholders in April. “To put it bluntly: Third-party sellers are kicking our first party butt. Badly,” he said.
More Amazon news
Amazon expands its fleet
Amazon is reducing reliance on third-party carriers. Amazon's famous drones have yet to deliver much of anything, but its jets are a different story. After launching Prime Air in 2016 with 40 jets, the company appears to have renamed it "Amazon Air" and added 10 more...
Sex, booze, or Amazon?
Millennials pick Amazon over sex: survey According to New York Post, a new survey revealed 77 percent of millennials would go without booze for a year rather than quit Amazon, and 44 percent would forego sex. The survey, conducted by Max Borges Agency, also uncovered...
Amazon moves to South Park
“South Park” pokes fun at Amazon “South Park” pokes fun at Amazon, portraying Jeff Bezos as a sinister, giant-headed supervillain. The episode also satirized reports of working conditions at Amazon's warehouses. The episode, titled "Unfulfilled" in an apparent...
