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Grocery stores are retailers in the traditional sense rather than a consignment shop or marketplace like Amazon. I think the person you’re replying to is alludi
by elliekelly 5y ago
Grocery stores are retailers in the traditional sense rather than a consignment shop or marketplace like Amazon. I think the person you’re replying to is alluding to “slotting fees” for new products and perhaps the more controversial “pay to stay” fees which are far more secretive and, from my understanding, are more of a grey area. Technically I believe the “fee” is considered a type of advertising expense: https://home.kpmg/content/dam/kpmg/pdf/2015/04/revenue-leaflet-food-drink.pdf https://home.kpmg/content/dam/kpmg/pdf/2015/04/revenue-leafl...
- wyldfire 5y agoThose fees might be an interesting factor but who bears the inventory carrying cost is what I suspect GP means. For FBA, it's not Amazon. It wouldn't surprise me if big vendors like coke/Pepsi who stock the shelves also own the inventory.