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https://www.bloomberg.com/news/articles/2018-03-20/amazon-is-said-to-squeeze-suppliers-to-curb-losses-in-price-wars

In a marked shift in strategy, the e-commerce giant is raising transportation fees for suppliers of beverages, diapers and other heavy, bulky products that are expensive to ship, say two people familiar with the matter. Amazon is also preparing to make it harder for shoppers to buy small orders of toothbrushes, soap, lipstick and other inexpensive items that are difficult to sell profitably online unless they’re part of a larger purchase, one person says. Amazon declined to comment.

For several years, Amazon has designated certain inexpensive health and personal care items as “add-ons” that must be combined with a larger basket of products costing at least $25. These items include a variety of products from leading brands: toilet paper from Kimberly Clark, toothbrushes from P&G and baby wash from Johnson & Johnson, to name a few.

This year, the company plans to expand the number of such items to most products in those categories costing less than $7, one of the people says. Because some shoppers won’t wait to have a bigger shopping cart to buy such items on Amazon, sales of smaller packs of toothbrushes and hand soap and the like will likely decline -- hurting suppliers.

TL;DR: RIP $PG



Submitted March 20, 2018 at 12:08PM by COMPUTER1313 http://ift.tt/2FOJjpb

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