A lot of retailers and publishers have been very unhappy with Amazon. Recently, the famous law suit involving Apple and major book publishers took place which mainly resulted due to the annoyance of publishers with Amazon. Now it seems that same rebellion is also beginning to emerge among the retailers.
Target, one of the largest chains of retail stores in the US, has announced that it won’t be selling any more Kindles.
This is mainly due to the reason that customers used to go to the store just to check out the device and preferred to purchase it from Amazon instead, since Amazon’s rates were lower than all other retailers.
Target had previously warned in January that it would not take this all quietly and now, the official stance has been issued. In a letter to the vendors, Target executive wrote that “What we aren’t willing to do is let online-only retailers use our brick-and-mortar stores as a showroom for their products and undercut our prices”.
Target, however, would continue selling products from other tech giants such as Apple’s iPad and Barnes & Noble Nook. This clearly sends that message that the store has been annoyed with the policy of Amazon.
Physical stores have been playing huge advantage in the promotion of eReaders and although the main source of Amazon’s revenue is online selling, Barnes & Noble has taken avid advantage of physical stores.
Since Barnes & Noble was already the largest book chain in theUS, they didn’t have any problem of space. Amazon later followed the same strategy and started offering products on large stores such as Target, Walmart, Best Buy and Staples.
Initially, target had an overwhelming response from the customers but eventually the customers turned to the more attractive deals from Amazon and instead used the store as a kind of showroom.
This step from target would have a little effect on Amazon but it would certainly send out a message from the retailers to Amazon, and might even set precedence for other major retailers.