How much do retailers actually pay for shipping?
A few things bring this to mind:
-Amazon ships out thousands (tens of thousands? hundreds?) of items a day, and they offer 2 day shipping for Prime members. Say I only spend $3 or $4 or a DVD. Wouldn't shipping cost way more than the price of the item itself?
-Woot's $5 shipping. This one I'm sure is incorporated into the price, especially for big things like TVs etc that will cost a lot to ship.
-My last example - I bought a vacuum (refurbished) from Hoover for $35 with free shipping. I don't see them making any money off of me for that one.
So, do huge retailers get awesome discounts on shipping because they're shipping thousands of items per day? What do you think Amazon is actually paying for 2 day shipping?