Currently, going to physical stores is no longer as common as in ancient times, and that is because the internet market is increasingly larger, which is why many businesses have had to adapt to these times with their online sales. online and therefore, hire a parcel service. And although the attempt is made to have cordial competition, it is clear that it cannot be faced with two precursors of this proposal of buying things online, we are talking about Amazon and Free market.
It has been shared by the Federal Economic Competition Commission in Mexico, that these two entities have accumulated 85% of the online platform market, causing other retailers to be seen in the shadows and even in some cases of red numbers. And it is mentioned that they use irresistible strategies to make the user want to stay away from these internet domains, and they not only offer offers during strong times of the year, but also on any random day.
The association has talked about three specific problems that can serve as a barrier that other competitors cannot overcome, the first is neither more nor less than monthly subscriptions, which not only offer free shipping but also tickets to streaming services such as Amazon Primeand also the new Meli+which for only $100 MXN gives the user the ability to see Disney Plus and Star Plus without any type of extra charge.
Another element is that although there are third-party sellers on the platforms, the best offers come from the aforementioned markets themselves, with their direct dealings with the customer, and they can afford to offer striking discounts when the others don't. Lastly, the shipping option is always charged by competitors, but Amazon and Mercado Libre They give it free for a month if the customer pays for the membership, and that is not only what is offered, but also priority in terms of waiting time.
Given this, there are proposals to balance the issue, and the first thing is to eliminate the possibility of subscriptions for streaming services, something that people probably do not want to accept.
Here is what was mentioned in the statement:
Amazon and Mercado Libre are ordered to disassociate streaming services from memberships and/or loyalty programs, as well as any other service that is not related to the use of the marketplace (eg games, music, among others).
This measure implies that both platforms are free to offer streaming programs, as well as any other service, but these cannot be offered as part of the same package of services related to the marketplace. In this sense, streaming services must be offered and charged independently and separately from any loyalty program or subscription service.
It is worth mentioning that they are taking the matter seriously, given that they are giving both companies an ultimatum to modify this, otherwise legal issues could arise. So far, none of the companies have commented on the matter.
Via: Coffee
Editor's note: I hope they do not meet the demands of society, otherwise they will take away that great package that is Amazon Prime and Meli+. The truth is, having streaming services for only 100 pesos is quite worth it, I hope the competitive market doesn't get its way.
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