Re: New US INFORM Consumers Act imposes new requirements for sellers
I kinda understand why Amazon's making that move though.
Running your own fulfillment network is expensive as it is, and the reason some sellers justify it is they have control over the fulfillment process for expensive items that need care handling (and for those items that 2% fee increase has a real impact). It's to push those sellers to reduce or completely eliminate their fulfillment network and to use FBA instead. One reason people cite as a benefit for FBM (or in this case, seller fulfilled prime) is that it's cheaper than FBA. NOT true unless you're fulfilling orders yourself and aren't counting the value of your own time. Having amazon tack on additional fees to use the seller fulfilled prime program will break a lot of these companies.
You have to keep in mind that a normal company doesn't have the technology Amazon does, and they don't have the monopoly power to treat employees like slaves. Amazon's playing the long game here, by weakening sellers who run their own fulfillment networks, if any of them scale down or shut down, it increases Amazon's monopoly power even more.
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