Featured to the right are "Bhavin" boots from Nine West. These stylish boots are available at both Zappos and Macy's (and also at Nine West and other retailers, but I digress). I will assume they are available in Macy's stores, though I don't know for certain if this is true.
How much do these boots cost?
Zappos: $112.95. Sales Tax = $0.00. Shipping Cost = $0.00. Total Cost = $112.95.
Macy's Retail: $109.00. Sales Tax = $9.59 in Western Washington. Total Cost = $118.59.
Macy's Online: $109.00. Shipping Cost = $13.95 (item does not qualify for free shipping on $125 purchase promotion). Sales Tax = $10.82 in Western Washington. Total Cost = $133.77.
The multichannel merchant (Macy's) offers you the item for $118.59 if you are willing to spend time driving to the mall, or offers the item for $133.77 if you purchase it online.
The single-channel merchant (Zappos) offers you the item for $112.95.
As a consumer, do you choose the multichannel merchant (Macy's), or do you choose the single-channel merchant (Zappos)? Please provide your opinions in the comments section of this post.
Last week I talked briefly about printer profits ( click here ). You liked that, based on measurements like "engagement". ...
Say you manage a paid search program. Last month you spent $100,000 and the following happened. Cost = $100,000. Clicks = 200,000. Co...
Two weeks ago I ran a poll on Twitter, asking if users calculated the profitability of their marketing efforts. 32% said "no"...
So Amazon created a major shopping event out of nothing, and now they're killing it in July (a month when nobody can sell anything ot...