Fighting Amazon; What Small E-Commerce Providers Are Doing?
In my last posting, "Amazon and the Small Retailer" I wrote about the challenges being faced by small ecommerce providers. They fight a similar fight with Amazon that bricks and mortar specialty retailers fight with Wal-Mart. Might there be a commonality of interests between the two channels of trade? Shouldn't they be talking to each other?
According to The New York Times, small ecommerce providers feel overwhelmed by Amazon and its ability to provide apps, deep discounts and free shipping. In fact, sometimes Amazon prices below cost. Sound familiar?
In a time when many bricks and mortar providers are opening ecommerce sites, it may be time to take a look at how internet and bricks and mortar companies see each other. Perhaps it's time for more cooperation and coordination.
In order to help move the dialogue forward I have listed some of the things that, according to The New York Times article, "Rooting for the Little Guy," small ecommerce and hybrid retailers are doing to fight back against Amazon. Some are familiar, some may not be so:
•Some small ecommerce providers are refusing to carry products that are carried by Amazon. They just don't want to be embarrassed (sound familiar?).
•Others are asking for different brand names to be put on products in order to foil apps that do pricing comparisons.
•One retailer, Lesley Tweedie, that she has started a "Buy It Where You Try It" campaign to foil those who use her store as a showroom for internet shopping.
•I found it interesting that "Powell's Books offers a subscription service through which it chooses a new book and includes an extra item like a related book or candy - personalized touches that it says big sites can't match."
•And how about www.littleindependent.com, a website that features independent stores of all types; kind of a virtual mall.
If you are a bricks and mortar retailer, tell us how you feel about your ecommerce competition. Are you sympathetic to the smaller guys? If you are a small ecommerce provider, how do you feel about bricks and mortar specialty retailers; are they friend or foe?
Buck commented:
I rellay wish there were more articles like this on the web.
Sandhya commented:
Kate if what you are amiing for is a license or specialty certification it really doesn't matter so long as you obtain said license or certification.Other than that what would you need a degree for? Is it so you can say you have one or is your aim that of getting into a corporate environment because if you already have your own business what you perhaps could use is some additional specialized skills as opposed to diplomas. Was this answer helpful?
Independent-View commented:
We are an independent online retailer and refer customers to bricks & mortar and other independent online retailers when we're unable to help them. Last year we began reducing orders from manufacturers who sell direct to consumers; use Amazon's fulfilment services to make it look like their product is sold by Amazon; and, not carrying products that are in abundance on Amazon. In response to numerous cell phone calls from customers using Amazon apps, we share with them that we do not match Amazon's prices since we provide more personalized services like checking product before it is shipped to ensure they get quality items and pack carefully so their package arrives safely and providing product info. Amazon wants to be the online WalMart! Bigger is not always better and independent online and bricks and mortar stores should share info and learn more about how to compete with Amazon. We need to work smarter... when a vendor gives you a promotional discount, don't discount the product by selling below keystone, instead use it to promote your store, offset shipping costs or bonus your staff for excellent customer service. Discounting new product with vendor promos only reduces the value of the product, so everyone loses. It may be beneficial to share information such as, which manufacturers are unclear about their role in our industry... are they a wholesaler or retailer? Manufacturers... pick one but don't compete with those of us selling your products. Amazon, like WalMart gets large discounts for volume so they can discount and give away shipping at $25 that none of us can compete with and still make a profit. Profit is not a dirty word, it is a cost of business! Its ironic that retailers are paying Amazon to sell their products and if they put a product on sale, Amazon's system marks their products down to match the price... and retailers are paying for that service! Amazon wants to be all things to all customers... lets hope many independents don't disappear, it might not bode well for customers long term.
isabellaQ commented:
We're a small ecommerce retailer and definitely feel a kinship to small bricks and mortar retailers. We both need to find ways to personalize the shopping experience, in comparison to Amazon, which is increasingly evil and will swallow us all up if we aren't careful.
