Amazon gives non-Prime members free shipping at $35 or more of eligible items. Instead of simply letting users get the product with free shipping, they’ve added a discount that prices it exactly one cent below the $35 limit, while only subsidizing the price with $3.38, which is about half of what they’ll then charge you for shipping.
I bet this thing was actually worth only $25.
The markups have become insane on Amazon.
I remember when Amazon first started there were good deals on good quality items. Then prices started going up but at least the low quality junk items were relatively rare and easy to identify so it was worth a little premium. Then they got rid of that and now it’s almost all overpriced junk items now.
I almost never use Amazon now unless it’s for something specific that I can’t find anywhere else.
IFixit is generally good quality/value in my experience if it’s actually them and not some knockoff/drop shipper. Granted haven’t had a need to buy anything of theirs for years because the one I have keeps being great.
That kit is $40 on their site. Weird that it’s cheaper on Amazon in the first place.
That kit is $40 on their site. Weird that it’s cheaper on Amazon in the first place.
No, Amazon does this on purpose. If you want to sell on Amazon, the search and recommendation algorithms will make your product hard to find unless you have Amazon fulfillment. But if you sign up for Amazon fulfillment, not only do you have to give Amazon a bigger cut of the price, you have to agree to never sell your product for less than Amazon does, even on your own website with your own fulfillment.
The FTC sued Amazon for this practice, and that case is progressing. But who knows if the Trump administration is going to maintain the lawsuit, or if the court will rule against Amazon.
The amount of small items that should only be a couple of bucks selling for $10 or more on Amazon is insane
They inflate price to offset shipping costs for prime members. This hits cheaper items harder. They used to have add-on items to get around this but I haven’t seen that in a while.
For an academic text on this subject with footnotes, I recommend Chokepoint Capitalism (2022) by Rebecca Giblin and Cory Doctorow. It calls what you describe “moat buulding” and an “anti-competitive flywheel”.
In this case, it’s 39.95 retail price. but I bet a lot of these things aren’t priced right
I remember when Amazon first started there were good deals on good quality items
I remember when the primary use of amazon was buying secondhand items. The deals on used discs for PS2 or gamecube were amazing. It was ebay without bidding.
I remember when you pretty much only used Amazon to buy books
What annoys me is the price fixing
Temu or aliexpress
Those a worse
I rather have price fixing than slavery
But Amazon just resells from the same places So u get both - slavery. And funding Jeff bezos.
Amazon can not legally use slavery. The Chinese government on the other hand is a totally different beast.
Amazon does not care. Never have.
They force people to pee in the bottles, watch eye movement with cameras and support Trump.
Everything sold on Amazon is from china
I’ve learned about this in church. The bible calls that a “cunt”, from “the book of dick moves”.
People didn’t know this? I mean Amazon is evil shit. But companies have been doing stuff like this for 30 years…
I’d just never seen this specific flavor of bullshittery from them before. Encouraging sellers to keep prices below the shipping limit is one thing, but adding discounts artificially no matter what the actual seller prices their product at is a whole new level of making things worse for everyone involved.
Sellers have a lower likelihood of a non-Prime member buying their item, users don’t get free shipping.
They likely have an algo running to do this just like how they offer random coupons to entice you to buy items in your cart, and all the other tricks around shipping manipulation.
its a strategy, theyre not even being deceitful here, just pricing to their interests. theres so much evil stuff they do, but this example isn’t properly evil.
No, this is just an example of a lesser evil that we’ve grown accustomed to.
You used to be able to buy digital Amazon gift cards for a dollar. You would use the credit on your next purchase anyway. But they’ve raised the minimum to $5.
Why would you order from amazon instead of directly from ifixit?
The same thing is $50 there with shipping.
Yeah but then ifixit gets the money instead, and amazon gets nothing. I want to pay ifixit for their stuff, not amazon. Amazon didnt do anything to deserve money from that purchase.
There are a lot of vendors who only sell through amazon though. That seems more like they are explicitly saying they prefer the amazon shop but I could be interpreting that wrong.
Most likely because they don’t wanna deal with shipping stuff
As another user replied to you earlier, yeah, it’s substantially more expensive after shipping. Nearly 50% more, in fact, but in this specific instance I wasn’t actually planning on buying this specific bit set, the price and subsequent notice of the discount just caught my eye when it was in Amazon’s list of product recommendations.
Oh that makes sense, fair enough. I didnt know amazon did this but I stopped using them a while ago so haven’t kept up.
I think its becoming more and more common knowledge that amazon isn’t cheap anymore.
Because you already have an account set up with amazon.
Because you’ve used amazon before and feel comfortable with them.
I mean those are legitimate answers, but people around these parts don’t take kindly to primers
They gave me free prime. I was a god for 30 days. But ya.
Its just not a business I would recommend giving your money too, but its your choice.
Can’t say I find this surprising, especially not coming from a #GAMAM. (Formerly #GAFAM)
wouldn’t it be AAMAM because Alphabet?
I say we keep the word we know
Except all of Alphabet entreprises have a name starting by Google. (Or at least strongly evocating it, in the case of Gmail.)
We can’t say the same about Meta. Instagram isn’t called “Facebook Gallery”, and Threads isn’t called “Facebook Short Messages”. (And Oculus didn’t become “Facebook VR”, just Meta.)
No, those are Google products, Alphabet is Google’s parent company and also holds many other companies like Waze and Doubleclick.
Except the team behind Waze was merged with the one behind Google Maps, they just keep the two apps separated (for now) to prevent any backlash. Same with Doubleclick and Google Adds. (In fact, I’ve got the impression Doubleclick became nothing more than an alias for Google Adds. And for quite some time, I might add.)
In my day it was FAANG
That is a far more funny acronym. Especially for a Frenchy like me, since my peoples often say of the ones controlling such big corporations, “they have fangs so long, they scratch the floor”. (Well… “They scratch the parquet”, to be exact. But who care if the floor is made of wood or not at that point.)
I am confused by this thread, do you only have Amazon and eBay in US?
weird place to cast shade
It’s not shade. Consume from a more ethical company.
Eating ass is the only ethical consumption under capitalism
Wrong. It’s also morally correct to eat the rich. 🥰
Like…?
One that doesn’t fund Nazis?
I wanted to order something, but half a year of waiting seemed like a bit long. Refunded, got money back and ordered again. I still have half a year to wait, but I have mine money too. profit?
You could buy something cheap like soap But don’t they do free shipping if total order is above the limit ?
cheap like soap
Soap in the supermarket €1, same soap on Amashit €3.99 with free delivery
temu/aliexpress - same product and you are skipping jeff bezos pockets
Or just avoid buying from megacorpos directly.
good luck for niche items
Or even common ones that aren’t the biggest sellers.
It’s getting increasingly hard to find things locally, and frequently I’m left ordering things online after going to 3 different stores in town trying to find something specific. More than once it’s been a replacement or a refill of something I bought locally a few years ago.
It’s not a matter of “oh well Menards has the screws the right size but they’re Phillips drive.” It’s “this size is only available online, if you order from us it’ll take 6 days or more. Might still be Phillips idk.” And Amazon can get me what I need tomorrow.
Sometimes the local prices are insane too.
I needed a new infrared thermometer the other day; cheapest one I could find locally that wasn’t a kids medical forehead thermometer with a tiny temperature range: $56 before tax.
Amazon shipped one for $25 incl tax+shipping.
I’m broke af atm. That makes a huge difference. I feel dirty even opening the app/site; but that price difference is absurd.
Avoid doesn’t mean “totally abstain”, it means do your best to stay away.
That set is normally 39.95 off iFixit’s site.
They knocked off $3.38 i’d just go add a pack of duracels 2032’s and get them for almost nothing, free shipping.
TBF, I usually have something sitting in my cart that I didn’t feel like ordering yet anyway.
So they’re getting you to buy more than you wanted or pull the trigger on something you were waiting on. Sounds like this is still a win for Amazon.
Saved me $4, I’m fine with it.
We need another amazon to beat the existing amazon up, retail sales are just bloated and dead.
OR, how about we start getting mom and pop shops to do local ecommerse with delivery.
How have you ‘saved’ money that you spent, exactly?
It’s still cheaper than it would have been without Amazon’s discount
Cheaper on Amazon, or anywhere else?
Both
How? You cannot buy this “cheaper” version without spending more money. It’s 39.99 with free shipping other places. It’s $39.99 on Amazon because you have to pay for shipping. You’re not saving money, you’re just getting more stuff from Amazon.
Supposed you were going to buy batteries elsewhere anyway. So you saved money by doing it in one go there.
I need a $40 screwdriver and 12v battery
They reduce the price of the screwdriver kit $4 to make it not free shipping on it’s own
I buy them both for $40.
I would have to buy them anyway, I spent $40 instead of $45 and still got “free shipping”
If they bundled the item with a pack of batteries in a retail store and sold it for 39.99, would you still consider it cheaper?
not the person you responded to but, would depend if that’s the only thing I’m getting, gas costs money, I defo wouldn’t concider that small of a discount saving money since it will cost me about 6 or 7$ in gas getting there and back
Would you consider $39.99 cheaper than $45?
I dont think you understand how “Amazon” exists as we know it.
Amazon, the store. the store that sells stuff at “unbeatable” prices and has convenient fast shipping options. exists because Amazon, the corporation, makes most of its money through platforms that are NOT the store.
for example the AWS division, which handles web hosting, Makes money hand over fist compared to the store. so they can afford to sell stuff at either a loss, or breaking even. (and they’re still somehow making money off the ordeal. dont ask me where)
Its hard to make a competitor to Amazon because you’d need a surrogate company constantly feeding it money to stay afloat. Amazon the store, is a facade of a larger corporation
Amazon, the store. the store that sells stuff at “unbeatable” prices and has convenient fast shipping options. exists because Amazon, the corporation, makes most of its money through platforms that are NOT the store.
They were also famously unprofitable for a very long time, longer than most businesses would consider reasonable. They were founded in 1994 and it took until 2003 to make a profit. They were investing a lot of money back into the business.
Exactly. A systemic issue with capitalistic markets is that they inherently select for short term thinking.
Does it make sense to destroy 90% of your profitability 5 years from now for a 20% bump in profit this quarter? Well, yes, it does, because that’s 20% more profit to expand and take over the market.
Even if a business were to try to make good long term decisions, it would immediately be crushed and pushed out of the market by all of its competitors willing to make those shortsighted decisions for immediate profits.
Except in the case of Amazon, thanks to AWS they were able to make good long-term decisions with their e-commerce platform by making short term decisions with AWS.
AWS didn’t exist until after Amazon became profitable. They were already making good long-term decisions before AWS.
I’m not sure that’s entirely true.
Most of their money comes from retail, either the site, subscriptions, or the seller services they provide. AWS, while massive, isn’t what’s keeping them afloat.
You’re entirely correct though that competition with Amazon is difficult because of those additional sources of revenue. Having additional stable sources of income gives them the ability to accept lower margins in retail with less risk.
The way they make money selling things with no profit or at a loss is to ensure that someone else is always paying the difference. “Free shipping” with a paid subscription means that rather than providing shipping for a loss, they just need to do it for less than the subscription. Turns out “guy with a van” can deliver a lot of packages for quite cheap. So many that he’ll be out delivering from 3am to 9pm, and for $5 they’ll drop your package off first and call it overnight.
In some cases they can get the seller to pay for shipping as a promotional incentive, since Amazons conditioned people to look for free shipping as a precondition to considering a product.Only give away for free what you got someone else to pay for.
Revenue is not profit.
Yes, but revenue pays for things like salaries, advertising, etc.
It helps with cash flow sure, but if it’s not profit you’re going into debt to pay that.
Check camel camel.
U can probably order that for temu or aliexpress. Skip bezos pockets, comes from the same source and is not gonna be price gauged
Stop using Amazon
Start using Amazon, but in an elaborate drop shipping scam where you sell a $.25 item for $38 and have Amazon pay you $3.99 to ship it to yourself as a proxy.
Nahh their workers still get exploited (even more than the average laborer)
Amazon will probably get future tax benifits in Luxembourg because of that loss caused by you.
Temu or aliexpress
90% procent of products on Amazon are from AliExpress dropshippers anyway
Exactly, just skip bezos pockets
Yes, I try to buy things second hand but if it’s not possible to get it that way I usually resort to one of the local stores or AliExpress.
It’s too convenient. Order something Sunday night, I’ll definitely have it by Tuesday afternoon if not earlier. I always wait until I have enough items I need over $50 before I place an order anyway.
In my area I can order something popular at midnight and receive it by 10am. If you’re in a major metro area, they can usually do next day, same day, and overnight on a lot of items.
Sure but you don’t need it. Yes it’s nice. But once I canceled prime I just order less junk I don’t need. It was like an addiction. Just browse oh that looks cool.
I’ve switched to eBay. The delivery time is often the same and the returns are ok too
A few years ago I mused that we might see the day when eBay becomes a more trustworthy platform to purchase on than Amazon. I’m not sure when exactly the streams crossed but I think we are past it now
That happened years ago. Better search and more trustworthy sellers since products aren’t co-mingled. No way is some seller with years of positive reviews going to send you broken junk and not try to make it right.
I agree.
Amazon is difficult to find what you want if you are searching for a specific brand or item. It shows you many options.
To me it seems like Amazon wants to sell you something as long as the make a sale. Whether it is what you actually wanted is a distant second.
I been going to ebay more recently. What I do is try to decipher the Amazon reviews and then go to ebay, even though I have Prime. My headlamp led was less expensive on ebay by 50%!
Hm, my experiences with e-Bay have been pretty bad (hard to return items or get customer support involved when something is wrong). I’ve had better luck with just random mid-sized buisnesses or directly ordering from the manufacturer.
Just gotta avoid Amazon drop shippers. Thousands of feedback + free expedited shipping + free returns = maybe a drop shipper.
No, avoid alllll of amazon
Correct but eBay is full of shippers who drop ship from Amazon. You don’t want to go on eBay to accidentally end up ordering from Amazon.
Oh sorry I may have misunderstood!
And Amazon is full or drop shippers from AliExpress and Temu.
You have to offer free returns for top rated seller status. It puts you higher up in searches.
I wish I could do more shopping there, but eBay in Canada is extremely expensive which has lead to it being kind of a ghost town compared to the US. $20-$50 shipping fees, even on tiny items, is common.
So I’ve started to use AliExpress more often. Literally the exact same item on Amazon but without the markup - sometimes even half the price. It’s not a great solution but the online shopping selection here in Canada is awful.
I’ve found that a lot of stuff listed on Amazon is about the price of shipping higher than it is on eBay I guess to account for the free Prime shipping. If you don’t have Prime, there really isn’t much reason to not use eBay since you’d be getting doubly screwed without the free shipping on Amazon.
Oh, so that the reason for the random discounts I’ve been seeing lately? Well I never buy anything unless it’s above the minimum for free shipping and so far it hasn’t affected me (not that I buy often anyway )
