[rocqua]

Just to counter the statement:

> Amazon has no MOAT.

Consider the following:

- Distribution. Amazon has their own distribution system, and has deals with third-party distributors

- Data. Amazon has a lot of data on consumer buying patterns.

- Books. When selling books online, amazon is apparently a requirement for success.

These aren't the best moats, but they are something.

[gaius]

Data. Amazon has a lot of data on consumer buying patterns

I have a folder of screenshots I keep of hilariously bad Amazon product suggestions. I have been a regular Amazon customer since the '90's and I can say with a high degree of confidence that their consumer data isn't that valuable. All the recommendations that make sense are directly off products, if I buy one flavour of food for my cats it will suggest another but hell, anyone can do that. It's not even smart enough to suggest other cat-related products.

[guitarbill]

It's not even smart enough to realise most items I buy are items you only need one of. E.g. if I buy a screwdriver set, or desk, or frying pan, I'll keep getting recommendations for other similar products. I'm pretty sure a random product suggester could do better.

[p0rkbelly]

Their competition has data too. Maybe not as much, but plenty. Walmart sells more than they do, I bet they have more data...

[adventured]

Walmart has dramatically more data on retail sales than Amazon.

They're famous for having an extraordinary logistics and purchase data system. It's how they've survived on 2%-3% net income margins for decades.

[joncrane]

But any business has the opportunity to smart small and grow organically. Nothing has changed about the market since Amazon started, as far as barriers to entry. In fact if anything, in some sense barriers to entry are lower because it's easier than ever to make an ecommerce website.