Dive Brief:
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While consumers have essentially been trained to think that the cheapest price of most everything can be found on Amazon, a new study of 1,500 popular products priced above $10 and sold on Amazon has found that more than half the time, that’s not true.
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The research by coupon and deal-finder site savings.com also found that on items priced higher than $100, other retailers beat Amazon on price more than 70% of the time.
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savings.com is also making it easier for consumers to do their own e-showrooming against Amazon with their new app, called PriceJump, which compares prices on Amazon to those of 5,000 other e-retailers.
Dive Insight:
For years, consumers have come to expect that the cheapest price of just about anything can be found on Amazon. Amazon has been willing to forego profits to beat its competition, but that has been changing somewhat in recent years. The company has been facing increasing pressure from investors to actually run a money-making business.
Enter the need to raise some prices — and, boom! maybe those same consumers Amazon has taught so well to find the best price are no longer Amazon customers.