Amazon Restricts Merchant Shipping Methods — Yahoo! Finance

Amazon is restricting its third-party merchants from using USPS to deliver products, unless the merchant purchases the postage directly from Amazon:

“According to one consultant, Amazon stands to benefit financially through ‘postal arbitrage,’ in which it leverages the difference between the prices it charges and the low rates it receives through its Negotiated Service Agreement (NSA) that high-volume users strike with USPS. In addition, Amazon’s NSA likely includes ‘tiered incentives’ that promise even deeper discounts for the e-tailer in return for more volumes tendered to USPS, the consultant said.”

P.S. Are Amazon’s restrictions costing your supplier business money? Would you rather concentrate your efforts on Walmart.com or SamsClub.com? Register for our e-commerce class today!

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