Quote:
Originally Posted by Turtle91
hmmm. A 3rd party selling product that is warehoused and handled by Amazon?? That sounds a little fishy...why would amazon give any profit to a 3rd party if they are the ones doing all the "work"??
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Amazon isn't giving up profits. The sellers own the merchandise. Rather than ship the items directly to buyers they send the item to Amazon. When the item sells it comes from Amazon.
The seller is giving Amazon a share of the profits because they get exposure to Amazon customers. Buyers see that it is fulfilled by Amazon and feel more confidence. Some will be encouraged to purchase in an effort to get free shipping. If sellers get bad feedback due to shipping problems, Amazon will step in to take responsibility for it.