This week, we want to share the following news nuggets to you:
TAX RESPONSIBILITY: FROM YOU TO AMAZON
23 states have now passed legislation that transfers the tax responsibility from you to Amazon for the products that you sell in Amazon’s store.
In these 23 states, Amazon calculates, collects, and remits tax.
This is what we have been waiting for when it comes to US state sales tax.
Amazon’s tax collection in these states is based strictly on state legislation and there is currently no option for selling partners to opt-out.
Totally makes sense.
Our products are on the Amazon shelf, just like they would be on Walmarts' shelves.
We wouldn't get involved in the sales tax of any other retailer to customer relationship, so this automatic collection of tax from customers to Amazon just brings them inline with the rest of industry.
I get that Amazon tries to be different in every way from traditional retail, but it's possible to try too hard.
AMAZON SALES VS SHIPPING COSTS
Shipping is hard, even for Amazon.
They reported a 20% sales increase for the second quarter, but that came at a cost of 36% increased shipping costs.
Customer surveys have been clear that shipping times are important, but at what cost?
Someone has to pay for the added speed. Let's see what happens to Prime membership costs. Or will there be something like a Prime VIP membership option?
Amazon posts 20% sales gain in 2nd quarter of 2019
WARREN BUFFET LOADS UP ON AMAZON STOCK
Look for signals from the best in the industry to get clues as to what's coming next.
Warren Buffett's company now owns over half a million shares of Amazon.It is a relatively small investment compared to Buffett's $200B cash, but it's an interesting signal.Warren Buffet's Berkshire Hathaway loads up on Amazon stocks
HOW TO CREATE AN AMAZON STORE
If you are brand registered, give your brand a little lift in visibility by creating an Amazon store.
You have all the media already, and its quick to create.
Give it a try.
Amazon Store Set Up