this post was submitted on 31 Oct 2023
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20% of them sell at a loss?
Their fees are like a wall of nonsense.
I used the calculator to figure out what I could sell things for and what they charge is obscene. You can quickly see why Amazon is an ocean of tatty plastic shit.
The cost of entering the Amazon marketplace is trivial. The cost of being the first thing a person sees when they search for X is enormous. And since Amazon has its own internal brands, you're often competing against a staple product in a bidding war where the auction house is both a bidder and seller.
This environment encourages tatty plastic shit, because anyone that isn't making enormous margins on their sale isn't able to operate profitably. Its a weird sort of survivors bias in which only Amazon, a handful of well-recognized name brands, and a bunch of shameless scammers can operate profitably.