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So many inaccuracies in this. > it uses its access to their sales data to come up with its own competing products. Every retail chain has data on what gets s

So many inaccuracies in this. > it uses its access to their sales data to come up with its own competing products. Every retail chain has data on what gets sold inside and where it was kept, how it was promoted etc. They can very well use this data and most probably are using it. > Thus, it is irrelevant to the manufacturer whether the supermarket promotes their store-brand product or the name brand product; Only till the time when their store brand starts selling much better and consumers develop a relationship with that. > But in the case of Amazon, the third-party sellers on Amazon's website get screwed, and that is where the antitrust concern lies. Isn't this very similar to the third party sellers having their own Shopify store and someone discovering it through Google Search/FB Shop instead of Amazon Search. The only argument that makes sense here is the usage of data.

gamblor956 6y ago
Every retail chain has data on what gets sold inside and where it was kept, how it was promoted etc. They can very well use this data and most probably are using it. Yes, they are. They use this data to determine what products (specifically, what SKUs) to re-order from their suppliers. Only till the time when their store brand starts selling much better and consumers develop a relationship with that. I don't know why techies keep pushing this like it means something. The store brand product IS MADE BY THE NAME BRAND SUPPLIER. I repeat, the store brand is just a different SKU offered under the name brand's white label product line. For example, Home Depot's RIGID tool like is made by the same company that makes Milwaukee and Ryobi. Those store brand cereals are made by General Mills. The store brand milk comes from the same regional dairies as the local regional name brand. Every single one of Costco's Kirkland signature products is made for them by a supplier that makes their own name brand products. Isn't this very similar to the third party sellers having their own Shopify store and someone discovering it through Google Search/FB Shop instead of Amazon Search. The only argument that makes sense here is the usage of data. No, because Shopify doesn't compete against its own sellers. The antitrust concern arises solely because Amazon is both the platform and a competitor and it uses its access as the platform provider to acquire data to compete.
- cowsandmilk 6y ago
  > I don't know why techies keep pushing this like it means something. The store brand product IS MADE BY THE NAME BRAND SUPPLIER. But we are asking how is Amazon different? All of their store brands share manufacturers with name brands. They haven’t developed their own textile mills and coffee roasters...
- actuator 6y ago
  > No, because Shopify doesn't compete against its own sellers. The antitrust concern arises solely because Amazon is both the platform and a competitor and it uses its access as the platform provider to acquire data to compete. One can always make the argument then, that just use Shopify and don't come to Amazon. Amazon can even make the case for Google and FB having sufficiently big audience size for customer acquisition. Unlike an app which needs to go through AppStore to end up on an iPhone, a product being sold on Amazon doesn't need to go through them for customers to purchase it. > Yes, they are. They use this data to determine what products (specifically, what SKUs) to re-order from their suppliers. So does Amazon, but both don't limit themselves to just this use case.
shrewduser 6y ago
i don't see what's hard to understand, get access to your competitors data, use that data to cherry pick and create competing products on your own platform with an inherent home field advantage. boom competition dead.
- actuator 6y ago
  I get that completely and it is scary, what I don't get is the argument that somehow physical retailers are above this. There is nothing new in what Amazon is doing, retailers have been playing by this book for long. Whatever regulation is being asked for Amazon, should have been asked for other retail behemoths as well way before.

gamblor956 6y ago

Every retail chain has data on what gets sold inside and where it was kept, how it was promoted etc. They can very well use this data and most probably are using it. Yes, they are. They use this data to determine what products (specifically, what SKUs) to re-order from their suppliers. Only till the time when their store brand starts selling much better and consumers develop a relationship with that. I don't know why techies keep pushing this like it means something. The store brand product IS MADE BY THE NAME BRAND SUPPLIER. I repeat, the store brand is just a different SKU offered under the name brand's white label product line. For example, Home Depot's RIGID tool like is made by the same company that makes Milwaukee and Ryobi. Those store brand cereals are made by General Mills. The store brand milk comes from the same regional dairies as the local regional name brand. Every single one of Costco's Kirkland signature products is made for them by a supplier that makes their own name brand products. Isn't this very similar to the third party sellers having their own Shopify store and someone discovering it through Google Search/FB Shop instead of Amazon Search. The only argument that makes sense here is the usage of data. No, because Shopify doesn't compete against its own sellers. The antitrust concern arises solely because Amazon is both the platform and a competitor and it uses its access as the platform provider to acquire data to compete.

cowsandmilk 6y ago
> I don't know why techies keep pushing this like it means something. The store brand product IS MADE BY THE NAME BRAND SUPPLIER. But we are asking how is Amazon different? All of their store brands share manufacturers with name brands. They haven’t developed their own textile mills and coffee roasters...
actuator 6y ago
> No, because Shopify doesn't compete against its own sellers. The antitrust concern arises solely because Amazon is both the platform and a competitor and it uses its access as the platform provider to acquire data to compete. One can always make the argument then, that just use Shopify and don't come to Amazon. Amazon can even make the case for Google and FB having sufficiently big audience size for customer acquisition. Unlike an app which needs to go through AppStore to end up on an iPhone, a product being sold on Amazon doesn't need to go through them for customers to purchase it. > Yes, they are. They use this data to determine what products (specifically, what SKUs) to re-order from their suppliers. So does Amazon, but both don't limit themselves to just this use case.

shrewduser 6y ago

i don't see what's hard to understand, get access to your competitors data, use that data to cherry pick and create competing products on your own platform with an inherent home field advantage. boom competition dead.

actuator 6y ago
I get that completely and it is scary, what I don't get is the argument that somehow physical retailers are above this. There is nothing new in what Amazon is doing, retailers have been playing by this book for long. Whatever regulation is being asked for Amazon, should have been asked for other retail behemoths as well way before.