Sunday, August 17, 2014

Amazon (AMZN)

We are overweight with Amazon. As a person that travels for a living, I like being able to buy things and have them appear where I need them. Right now, Kathy is primary purchaser of things, the Amazon Prime member.

The problem is that two recent orders, both of fairly expensive items have been screwed up AND there does not seem to be a recourse. In both cases it was not Amazon itself, it was a retailer that works with Amazon, but I still got stuck.

I ordered two 24v batteries, they sent 18v batteries, filled in the form that this was not what I ordered, went on travel and for whatever reason still have 2 18v batteries. They are a different form factor than the 24v battery so eventually I gave up and bought an 18 v weedwhacker. All in all I am down $350.00 and trying to figure out what to do with a useless 24v weedwhacker.

More recently we ordered a shillelagh; never arrived. Filled in the form, have heard nothing. Probably down about $100.00 in this adventure.

I am not the kind of person that let's one incident cause me to scream and shout that I will never do business with Amazon again. However, the rich question is, are these isolated incidents, or is their business model unraveling and my investment thesis with it?