Quote:
Originally Posted by crossi
Best sellers are a very small part of the books a store sells. Yes some popular items are put on sale slightly below cost by Amazon but not the vast majority of the books they sell.
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Pretty much. The Anything-but-Amazon crowd focuses on their discounted sale prices but conveniently forgets the books that *don't* get discounted.
Amazon's business is built off basket pricing: just like supermarkets, they advertise sale items to draw traffic and try to "co-sell" other lower-discount items so they make a net profit on the whole basket of products sold.
Theoretically, if *everybody* only bought sale items *ever*, Amazon would be bled dry by the practice and would have to raise prices. But since in the real world consumers *don't* behave that way, basket pricing delivers net profits to Amazon. 17-plus years of evidence proves it does.
It seems some people are simply incapable or unwilling to accept that even if Amazon always sells *some* books at a loss doesn't mean they *always* sell *all* books at a loss.
Sophisticated 20th century marketting practices are hard to grasp, I know.
