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Print 43 comment(s) - last by bah12.. on Sep 24 at 11:26 AM

Competition between the two has come to this

Wal-Mart reported that it will no longer sell Amazon's e-readers and tablets online or at its brick-and-mortar stores.

Amazon, which makes Kindle e-readers and Kindle Fire tablets, had its products booted from Wal-Mart due to the fact that Amazon is a strong competitive force against brick-and-mortar stores.

Physical retail stores like Wal-Mart and Target have faced tough competition against Amazon in recent years. The huge e-tailer has offered the same products at lower prices, (often) no sales tax and for fast, cheap delivery.

This obviously made it hard for the brick-and-mortars to compete. Stores like Best Buy, Wal-Mart and Target complained that Amazon's lack of sales tax collection in most U.S. states was unfair, leading to more and more states demanding that Amazon start collecting (mainly to cover the states' own budget crisis').

At long last, Wal-Mart and friends got their wish when Amazon agreed to start including sales tax in customer orders; however, the e-tailer did so in exchange for more distribution centers throughout the U.S. so that it could launch a same-day shipping feature -- a whole new competitive edge in favor of Amazon.


To top it all off, Amazon's e-readers and tablets have been a hit. In fact, Amazon's Kindle Fire tablet has been the only other tab to take a chunk out of the iPad's market share.

Amazon just announced a whole new generation of Kindle Fire tablets (Kindle Fire HD), including an updated $199 7-inch Fire; an 8.9-inch version for $299, and a 4G LTE model for $499. On top of that, Amazon is offering 250MB of bandwidth per month, 20GB of cloud storage space, and a $10 in Appstore credit for only $50 per year.

It's easy to see why Wal-Mart is a little upset. It's competition is growing and offering even better offers all the time, leaving the brick-and-mortars in the dust. But there is another side to this -- the Kindle Fire was the hottest holiday gift in Q4 2011, racking up tons of sales for not only Amazon, but the physical stores like Wal-Mart too. With the Kindle Fire HD line launching either September 14 or November 20, Wal-Mart could lose out on the huge sales that these tablets could potentially draw. 

Target stopped selling the Amazon Kindle line this past Spring as well.

Source: Reuters



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RE: Duh
By Old_Fogie_Late_Bloomer on 9/21/2012 8:09:22 PM , Rating: 2
quote:
As a matter of fact, there just might be. The last few off-the-shelf PCs I've seen have had Amazon shortcuts right on the desktop.

Screenshots or it didn't happen.
quote:
But that's beside the point. Someone who wants to buy from Amazon isn't going to be dissuaded because there's not a giant Amazon button in the middle of their screen. Your assertion that somehow that person won't be able to figure out how to get to Amazon is laughable.

Someone who isn't aware of Amazon isn't going to go to Amazon to buy things. Someone who hasn't historically made purchases online who gets slipped in by the back door 'cause now they're like, "Well, I want this e-book" are more likely to make more purchases after they make the first one.
quote:
Also...are you sure that movies and music aren't part of Walmart's core business? Pretty sure they dedicate quite a bit of space to movies and music in their stores. And in their online store.

They do not take up a significant portion of the floor space in the Walmarts in my area, but I can't speak for the whole of the US.
quote:
Speaking of their online store, you can access that from any device...like a Kindle. If you want to buy something from Walmart.com, not having a giant Walmart button in the middle of your screen isn't going to dissuade you from doing so.

I just figured out where the disconnect is. You're thinking like someone who is at least a little computer-savvy. Computer-savvy people already shop at Amazon. The whole point of selling tablets at Walmart isn't to reach you, or me. It's to reach your mom, or your grandmother, people who don't habitually make online purchases.
quote:
Your "argument" is pathetic.

The fact that you have to continue to resort to slinging personal insults really emphasizes how weak your position is.


RE: Duh
By TakinYourPoints on 9/22/2012 12:13:41 AM , Rating: 2
And now you've been introduced to two of the village retards, reclaimer and motoman. Cheesew1z would have made for the trifecta, but oh well.

Enjoy your stay!


"I mean, if you wanna break down someone's door, why don't you start with AT&T, for God sakes? They make your amazing phone unusable as a phone!" -- Jon Stewart on Apple and the iPhone














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