While this psychological phenomenon does exist, there is also a legal angle that explains why Amazon grants itself this leeway. Your obligations and potential entitlements, depend on whether the goods arrived at the time you expected or before.
Most people do not know this, but if you purchase an item that arrives defective, you have to give the company a “reasonable opportunity” to cure the issue before the expected date. Say you order a giant Easter Bunny today that is scheduled for delivery by March 29th.
Now, of course, some companies can voluntarily establish a higher standard and offer refunds (within 30 days, usually) for all items no questions asked, but this is a competitive policy used to lure customers rather than the legal baseline that otherwise exists. If it arrives at or after the expected date, then you can get a refund because it is defective or keep the good and demand that you receive payment for the damages done.
The most notable exception to these general rules involves car purchases and what is called “the shaken faith doctrine.” If you buy a car on eBay Auto and it arrives ahead of time with transmission trouble, you are entitled to demand a refund or call off the sale without being forced to give the seller a reasonable opportunity to repair. As a matter of marketing, Amazon does a persuasive job advertising on its website that over 90% of orders are delivered ahead of schedule.
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Depending on the quality of Amazon ’s version, that knockoff could be good for consumers and bad for the merchant. Sadly for Amazon, the ambiguous definition of its customer means it can’t wipe out Shopify unless it stops using its market power to raise the fees it charges merchants while knocking off the products of its most successful third-party sellers.
According to the Journal, around 2010 Pirate’s owner Dale Thomas said that his company sold over $3.5 million worth of its Ravelli-brand camera tripods on Amazon. He ordered one of the Amazon tripods and found that it employed Pirate Trading’s design, had the same components, and used the same manufacturer, according to the Journal.
Amazon set its price for the tripod clone below what Thomas paid his manufacturer to make Pirate’s version. He decided to exit the business when he calculated that it would be less profitable for Pirate to pay its manufacturer to make its tripod than to buy Amazon ’s clone, repackage and resell it, according to the Journal.
Amazon cited authenticity issues as the reason it stopped selling the Pirate Trading tripods that competed with Amazonas’s clones. Stories like this create an opening for services aimed at merchants that don’t want to suffer Pirate Trading’s fate.
If a merchant sells a product for $10 on a Shopify store, they pay 59 cents for payment processing and “maybe a few dollars more for storage and fulfillment,” according to the Times. If a merchant is good at designing a product that customers want and marketing it effectively, Shopify is a better platform.
The Times reported that 86% of these generations would gladly post content for money and 54% would be social media influencers. A case in point is Kylie Jenner who has turned her existing social media audiences into a “billion-dollar e-commerce businesses seemingly overnight.” Consumers are eager to pay for such brands as long as they confer the magic feeling of being linked to a celebrity.
As the Times noted, in the recent past, a merchant operating on Shopify could pocket a $50 profit on a sweater it sold to consumers for $80. Facebook also wiped out the profits for brands that could keep their customer acquisition costs under control.
Joey Dillinger, All birds’s co-founder and co-CEO, told the Times that the company will not sell on Amazon or Foot Locker FL-0.1% because that would damage “its brand and pricing power.” They would love to devolve us into a feature-and-benefit set and then put every knockoff in the world next to us, and then just drive everybody down to the lowest price, even if you’re sacrificing quality,” he told the Times.
An Amazon spokesman told the Journal that its Galen shoe “didn’t infringe on All birds’ design” and that “offering products inspired by the trends to which customers are responding is a common practice across the retail industry.” What Amazon did to All birds makes it clear that it is not keen on allowing its most successful third-party merchants to survive.
Next time you need something from Amazon Prime, make sure you know your delivery options. And we're here to make sure you know all the ins and outs of Prime Delivery.
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With Prime Now, you can get tens of thousands of daily essentials and groceries delivered in 1 to 2 hours when you order on prime now. With Same-Day, choose from over 1 million items across the site and get free delivery by the evening on eligible orders totaling $35 or more.
If you live in an area with Prime Same-Day Delivery, you may have wondered: To ensure we can get packages to you the very same day, the Same-Day Delivery option is typically available in the morning, before noon.
To find more eligible items to get to $35, you can either search on the site and use the FREE Same-Day or FREE One-Day filter, or visit the Same-Day and One-Day page to find a selection of items that are eligible. She works as a branding copywriter for a wide variety of companies from her home office in Seattle.