Amazon beats competitors using ‘Tesco’ tactics, taking advantage of the final Christmas shopping rush

Dec 7 2012
Amazon only offers the lowest price on its top 20 bestsellers. On books ranked 21-100 Amazon charges a premium of 14 percent compared to the lowest price alternative. Amazon earned their low price reputation by playing by a different set of rules than their competitors; other book sellers would benefit from understanding those rules and learning how to apply them to their own pricing.

Amazon only offers the lowest price on its top 20 bestsellers.  On books ranked 21-100 Amazon charges a premium of 14 percent compared to the lowest price alternative.  Amazon earned their low price reputation by playing by a different set of rules than their competitors; other book sellers would benefit from understanding those rules and learning how to apply them to their own pricing.