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BigNate84 BigNate84 here Amazon Prime hit with a class
action lawsuit this is very interesting especially for all
you Amazon Prime members out there
this potential class action caught my eye because I wrote a buyer beware blog post
back in September of 2013 titled Amazon Prime: 5 Things You Need To
Know well here is a video update to that post outlining
the 6th you need to know
this info is from Top Class Actions.com and I'm just going to read some of the post
here in my video date February 20, 2014
Amazon, Inc. has been hit with a class action lawsuit accusing the company of encouraging
third-party vendors to raise the prices of their products
by the amount they would have charged for shipping tricking customers into believing
they were receiving free shipping are Amazon Prime customers actually paying
hidden shipping costs? Elmo doesn't like that that's not right!
In his class action lawsuit plaintiff Cemal Ekin says he paid $79 per
year for an Amazon Prime membership
mainly for the promise of free shipping however, he says that third-party vendors
are told to raise their prices to cover shipping costs
causing Prime members to pay inflated prices for products despite Amazon's free shipping
guarantee Ekin says Amazon encourages FBA vendors
to list items for sale as Prime Eligible however Amazon advised FBA Vendors
to include the amount they would have charged for shipping in their item prices in order
to maximize total revenue and profit margins wow! so there's a lot there but basically
this goes right to point number 4 in my post back in September 2013
sometimes a Prime item is more expensive than the same exact item being fulfilled by
A third-party Amazon vendor so now you have to figure out the math
so this is the whole point I was getting at yeah, you think you're getting free shipping
when you sign up for Prime but you'll actually find out that the items
that are eligible for Prime free shipping tend to cost a little
bit more than products that don't qualify for Prime
so it doesn't surprise me that there is some sort of
class action going on here and that there's some sort of shady inflation
of prices to cover the cost of the free shipping
so it'll be interesting to see how this pans out
so just wanted to keep you guys informed thanks for watching
and definitely share this with your friends that
are Prime members to see if they've noticed the same inflated prices on Prime items
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