Shop Small or Shop Big?
Online Shoppers are Rooting for the Little Guy
This article talks about the struggles small online shops have competing against big sites like amazon.com, the tactics they’ve adopted to compete against larger sites, and the consumers who are making a conscious effort to shop small even if it may cost them more money.
Online retailers such as Amazon and Zappos have developed a bully reputation among some because they push out the small “mom-and-pop” shops with their low prices, free and quick shipping and wide variety selections. These independent shops have had to get creative by offering exclusive brands or designs, and even some “freebies” included with purchase (positive incentives), and by preventing price comparisons (negative incentives). Amazon does offer small business the opportunity to sell on their website through their Marketplace program, thus giving businesses the opportunity to reach a larger customer base, but even so, independent businesses cannot compete price-wise.
1. Do you think websites such as Amazon.com or Zappos are bullies to small shops? Why or why not?
2. What would motivate you to shop from a small business (possibly paying a higher price) rather than a larger company online?
3. If you had an online business, what tactics or incentives would you use to compete with Amazon?