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Amazon Strategies

Amazon is Biased towards its listings

Recently I discovered this GU 10  Led Light listing on Amazon. I saw it advertised for £21.98 and went to buy but later discover it was temporarily out of stock from Amazon themselves. I spent few more minutes to read product reviews and discovered that this was also sold by a third party at £7.95 ( 63% cheaper than Amazon ) however I would not have known this out if hadn’t spent few more minutes on this listing. So, why did Amazon did not allow this third party to appear before themselves when they are not in stock with Amazon. There seems to be no issue with the third party:

#1  100% Positive Reviews

#2  Free Delivery

#3  Lower Price than Amazon

If this stock was available with Amazon, I would have paid lot more for the same product. From this experience, I would be checking other sellers when I shop with Amazon and you should too ! The one on the top is not necessarily better value for money.

If you were a third party seller on Amazon selling this product, you could win the top spot popularly known as buy box by sending stock to Amazon for fulfilment (FBA). On this occasion this looks like a compulsion rather than choice for this retailer. It does not seem right but who can fight with the mighty Amazon !

** Few days later there was another seller on this listing selling with FBA. I have updated the slides with new seller. If the third party above does FBA they would do it bit lesser price than the new seller and win the buy box.

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