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TulliusCicero
on Nov 2, 2016
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“Free” shipping is not actually free
In the store-based model, the customer handles the 'last mile' of getting the product from a distribution center (the store) to their home.
_rpd
on Nov 2, 2016
[–]
Yes, but direct-to-home doesn't need to pay urban rent or salaries for its distribution centers. There must be some other factor. Perhaps the costs of maintaining a reliable e-commerce site?
wffurr
on Nov 2, 2016
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It's not clear to me that "supply chain cost" includes the cost of the storefront.
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