How do online shopping sites make profits?
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04-08-2014, 06:41 PM
Post: #1
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How do online shopping sites make profits?
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? Ads |
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04-08-2014, 06:47 PM
Post: #2
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They don't have the expenses of an actual store
Ads |
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04-08-2014, 06:55 PM
Post: #3
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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.
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04-08-2014, 06:57 PM
Post: #4
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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.
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04-08-2014, 07:00 PM
Post: #5
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many e commerce site have its own store . its manufacture cost is very low. is this they get profit.
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