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Could Amazon be the next place people go to hire a landscaper?
Starting today Monday March 30, small businesses in select markets nationwide will be able to offer services to customers through the eCommerce site up until now known mostly for selling products.
A report from TechCrunch notes that Amazon will re-launch its Amazon Local Services as Amazon Home Services.
The new service will allow businesses like plumbers, house painters, vehicle mechanics, and other service-based operations to sell their skills on Amazon.
The new Home Services can be viewed as direct competition to a site like Angie’s List, which also connects local service businesses with potential customers in need of their skills.
TechCrunch notes that Home Services predecessor Amazon Home Services, launched back in 2014 was originally dedicated primarily to services related to products Amazon sold. For example, Amazon might sell a customer a flat screen TV and then in some markets also offer the services of a handy man who would mount that TV to your wall.
But with the new service, the list of service providers is expected to expand. And companies offering services not related to Amazon products will be able to use Home Services as another platform to market their businesses and generate sales.
But indications are that Amazon will not add just any business to its service offerings on Home Services. The company will do screenings on companies before they allow them to sell their services through the e-retail site.
The expanded line of services purportedly will include things like auto repair, tech support help, interior decorating, and lawn care services offered. This is according to a list of services posted on an Amazon site believed to be tied to the new launch.
Here are the cities where Amazon is rolling out Home Services first: Miami, San Francisco, New York, Houston, Seattle, Chicago, Washington D.C., Philadelphia, Boston, Dallas, Atlanta, Phoenix, San Diego, San Jose, Portland, Minneapolis, Detroit, Denver, Riverside, Tampa, Orlando, Austin, Sacramento, Pittsburgh, Nashville, Cincinnati, Charlotte, and St. Louis.
And offering services through Amazon comes with another little hitch.
Businesses signing up to become part of the Home Services program should be aware that the eCommerce giant will be taking its cut, as always.
For every standard service provided via an online sale, Amazon will take 20 percent of the sale price. For customized services, Amazon takes 15 percent. Amazon takes a 10 percent cut on any recurring services purchases, according to the company’s site.
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Image: Amazon Web Services
Aira Bongco
I guess this is good news for landscapers out there. I hope that they can also expand this to other types of services so that these people will have more opportunities.
So basically Amazon is taking on startups like TaskRabbit? Given that Amazon operates on such thin margins as it is, I don’t see this lasting very long.