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+--- Thread: How do online shopping sites make profits? (/thread-130228.html)
How do online shopping sites make profits? - Amjeet v.r - 04-08-2014 06:41 PM
Many products are sold below their actual MRP's , plus many sites offer free home delivery too . How can they make profits out of selling less and providing free courier services ? I am just curious .
I get the fact that they don't have an actual store , But they have many employee's under them right? And what about their warehouse expenses?
- Uncommon Sense - 04-08-2014 06:47 PM
They don't have the expenses of an actual store
- malica - 04-08-2014 06:55 PM
They have a lot fewer costs to worry about as they don't have to pay for the facilities of a store. The manufacture's suggested retail price actually assumes you're a brick-and-mortar store so their cost includes the overhead of the store rent, utilities, the store employees etc.
- Sreeraman - 04-08-2014 06:57 PM
It is not a surprising fact. Get get buyers attracted via onsite and the buyers like to see that the articles/items are delivered at their house without being visited the store. Of course, such shops get articles/items for a little margin from the wholesalers. Keeping a portion without loss to the shop, such shops are ready to deliver the goods on onsite. Any how, they look at their margin on the items.
- Prashant Kumar - 04-08-2014 07:00 PM
many e commerce site have its own store . its manufacture cost is very low. is this they get profit.