Apple-Amazon Handshake Hurts 3rd Party Resellers
Over the past decade a secondary industry has emerged around mom & pop eComms reselling and repairing Apple products. While these companies are technically unauthorized vendors, they’ve served a useful purpose in the market for consumers who are happy buying recycled iPhones and/or wanting to save money on device repairs. Unfortunately, this quaint niche industry may have been dealt a death blow last week.
On Friday Amazon began sending letters out to resellers informing them that their Apple-related services are being taken off the platform. The reason? Amazon and Apple have stuck an agreement which lets Amazon sell the newest Apple and Beats products when they come out. In exchange, Amazon will remove any non-authorized 3rd party Apple resellers from the platform. It’s a pretty smart move for Amazon who now gets access to Apple devices as they launch, while only giving up listings by smaller third party retailers. For Apple’s part they get an effective way to clamp down on authorized middlemen while also picking up a huge new distribution platform.
Nice setup for both of the As, while the resellers get squeezed out of the middle.