Amazon bins 130000 products a week from one distribution center alone.

For a company built on technology it seems rather thick that they don't absorb the stock into their own and adjust the price appropriately to increase the sales to reduce the stock to the desired level.
 
chroniclard said:
Ah, sounds a good explanation to me. :) still such a waste! Pretty sure they could employee someone to find worthy homes for a lot of it.:(
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Yep, I don't expect they'd be binning it if it was their stock but since some poor sod using Fulfilled by Amazon is going to be taking the hit of their stock going to the compactor then Amazon is only too happy to oblige to regain the warehouse space.
 
Bouton Aide said:
They could build an amazon ebay employ 5 staff per junk place and get them to flog it, would still be easier and cheaper. What a bloody waste.

New business adventure anyone?
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They probably charge a disposal fee to the 3rd party seller to clear it out of their warehouse rather than keep billing them for storage.
 
If they give it away then they undercut their market place.

Anyway its a crap business model as has been said and one that I don't subscribe to.

Big sister is frowning at you. ;)
 
Bouton Aide said:
Possibly but that's no excuse for amazon to landfill this much waste.
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It's not but if you think about it, it's similar to someone not keeping up payments on a storage locker facility. The owner wants the space back to use for someone else so disposes of the contents, possibly to auction but no one can guarantee they always auction it. The only reason for auctioning it is to recover unpaid rent but with Amazon they've probably got it set up so they bill the owner ahead of time. Amazon are making a tidy sum for storing some goods so they've made their money whatever happens to the goods. It's rather daft they don't absorb some into their own stocks and then run promotions to cause the stock levels to adjust back to where they ought to be. Maybe they can't always do that because they can't trace the origin of the goods so they could be mixing grey imports with genuine stock. They ought to just sell them through their warehouse special deals section, donate some of the proceeds to charity.
 
thenewoc said:
It's not but if you think about it, it's similar to someone not keeping up payments on a storage locker facility. The owner wants the space back to use for someone else so disposes of the contents, possibly to auction but no one can guarantee they always auction it. The only reason for auctioning it is to recover unpaid rent but with Amazon they've probably got it set up so they bill the owner ahead of time. Amazon are making a tidy sum for storing some goods so they've made their money whatever happens to the goods. It's rather daft they don't absorb some into their own stocks and then run promotions to cause the stock levels to adjust back to where they ought to be. Maybe they can't always do that because they can't trace the origin of the goods so they could be mixing grey imports with genuine stock. They ought to just sell them through their warehouse special deals section, donate some of the proceeds to charity.
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Indeed.
 
What's even more galling for some 3rd party sellers is that their stock sat unsold because Amazon undercut them on price so essentially the 3rd party paid to subsidise Amazon's own sales.
 
similar to the high end fashion companies sending clothes to landfill ... handbags too, was it. so, avoiding brand dilution
 
jpaul said:
similar to the high end fashion companies sending clothes to landfill ... handbags too, was it. so, avoiding brand dilution
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Hollister (IIRC) was truly tragic. They were purposely burning excess stock to avoid it going to charity and being worn by "poor" people.
 
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