Amazon slowly quietly erases information on suggested retail price

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Amazon, which is controlling domestic mail ordering, is a price before discounting from the product page "List Price"The New York Times reports that it is slowly deleting the information. It is pointed out that Amazon, which steadily promotes market domination, is about to enter a new phase.

Amazon Is Quietly Eliminating List Prices - The New York Times
http://www.nytimes.com/2016/07/04/business/amazon-is-quietly-eliminating-list-prices.html

Amazon sales through net mail order finally exceeded 100 billion dollars (about 10.3 trillion yen) in 2015. From the time that Amazon launched net mail order through book sales 21 years ago, "consistent" expansion of sales scale rather than profit. Most of the profit raised by online mail order has been adopted as a business model to realize further sales expansion by investment following investment, such as improvement of distribution bases, discounts, expansion of contents at Amazon prime, etc. It is described in detail in the article.

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For Amazon's staggering business model that continues to pursue expansion of scale by investing most of its revenue, it is aimed at "flip the switch" which pulls up the price at a stroke after bashing the competitors and monopolizing the market, I was worried that the final goal might have been raised, but Amazon has recently been on the move to remove list prices from the product page, the NGO "Truth in Advertising" on advertisements Mr. Bonnie Patten pointed out.


For example, a rubber water slider "Rave Turbo Chute Lake Package 2014"Although it was an indication that 36% discount was given from the list price until the other day, now it is indicated that it was changed from" 1573.58 dollars "of the previous price to" 1532.01 dollars " Information on the list price indicating the suggested retail price has been deleted.


The fact that a great discount from the price is known to be an important factor to determine customer purchasing behavior is also important in terms of sales strategy in net mail order. However, because it is powerful as a sales strategy, illegal acts that pretend to be dealt as if it is discounted considerably after attaching a list price higher than the actual regular price are rampant, Amazon also commodities It is appealing to American consumers that they misrepresented the retail price. Risk avoidance in consumer litigation seems to be considered as reason why Amazon dare not display list price information.

However, there are also indications that Amazon may not necessarily need to display the list price in the first place. According to Professor Larry Kompou of Clarkson University, Amazon has succeeded in increasing Amazon enthusiasts buying everything from Amazon to Amazon, including books, electronics and even foods such as milk, and these Amazon Users no longer have full confidence in Amazon pricing. These users do not even compare the price of Amazon with the price at other shops, so it is only necessary to use price reduction information within Amazon exclusively. Professor Konpau told his own hypothesis, "I was confused by being asked to trust credit card information by net mail order 20 years ago, but now I am asked to trust Amazon perfectly about pricing It is said. "