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But Amazon just fullfils orders on most of the products while collecting data , where as brick and mortar stores resell the competitions products
by iamnubsrs 8y ago
But Amazon just fullfils orders on most of the products while collecting data , where as brick and mortar stores resell the competitions products
- elamje 8y agoDon’t brick and mortar stores collect inventory and trend data too? Amazon isn’t the first one to do this, they just put the data closer to the center of their business so it’s more public that they collect data.
- giarc 8y agoUntil recently, brick and mortar really just knew what people tend to buy together. They can't tell, like Amazon, than a single customer buys XYZ over their lifetime. Brick and mortar now employee ways to aggregate using credit card numbers across stores.
- elamje 8y agoYes, and what is the problem with Amazon just employing better tools to do the same?
- iamnubsrs 8y agoYes and collecting data is a lot more expensive and less detailed for brick and mortar stores Also Amazon is less likely to have an issue with respect to stock since they do not buy most of the stock they just store it, where as brick and mortar stores invest in their inventory which gives them an higher incentive to promote them. And this also gives them an incentive to have disfounted sales on slow moving products that are either of slightly lower quality to a comparable product or it is a new Unknown brand resulting in a win for the customer. In case of Amazon if a new Unknown product is not selling it is all up to the seller to manipulate the algorithm to move up the seller ranking( we already see all the way sellers manipulate reviews and change products to have a high number of reviews) this is a big loss for the customer. And if the seller puts in all the effort and succeeds Amazon can just copy the product and say MY PRODUCT NOW, and show an Amazon basics product for the exact same price as the buyer and bump him Lower than its own product.