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Spending $100K on AWS because of the feelgood of 2 day Prime delivery for unrelated products seems like a cancellation that needed doing anyway.
by throwaway81523 4y ago
Spending $100K on AWS because of the feelgood of 2 day Prime delivery for unrelated products seems like a cancellation that needed doing anyway.
- PaulHoule 4y agoYou know the formula is [earnings] x [earning multiple] = [stock price] When the earning multiplier is between 50-100 for AMZN in recent times. If the multiplier is 100, $1000 a year in earnings translates to $100,000 change in the stock price. So I am talking about a much smaller than $100,000 spend. But seriously. Say AMZN had slowed delivery to NYC and LA down to 5 days and sped it up to the heartland to 1 day. Jim Cramer would be talking about it all the time on CNBC, it would be a running gag on sitcoms that AMZN is slow. Nobody would be crowing about how great their service is because people in the heartland don't have a voice. But my congressman gets 1 day service in DC and will vote for anything AMZN wants because he thinks we are getting 1 day too. Maybe I am making too much of it but there is something psychologically dangerous about a "premium" service that is worse than average as opposed to better than average. It's like Medium. I find Prime now is such an insult to my intelligence and is one of just a series of such events (like them telling me they don't care about bogus product listings) that I just want to cause as much pain to AMZN as I can.
- bradknowles 4y agoWith respect, even if you're spending millions of dollars per year on Amazon or AWS, you're still not a whale. More like a minnow. You need to add at least a couple more zeros to that number before you start to get close to whale territory.
- ericpauley 4y agoI think the greatest puzzler here is that 100k AWS spend is “whale” territory.