Toys R Us thought that e-commerce was just a fad that would pass.
They got so many orders on their website that they couldn’t get them all out in time.
Then they PAID amazon $50 million a year to sell AND a percentage of their sales to use their marketplace, and be their only seller of toys. So when you went on the toys r us site, it would redirect you to their amazon shop.
Amazon literally learned their whole business and turned their back on Toys r Us and started selling the same stuff without them. Toys R us won the lawsuit and made their $50m back but at that point, customers stopped caring about toys r us and started buying toys on amazon instead.
They got so many orders on their website that they couldn’t get them all out in time.
Then they PAID amazon $50 million a year to sell AND a percentage of their sales to use their marketplace, and be their only seller of toys. So when you went on the toys r us site, it would redirect you to their amazon shop.
Amazon literally learned their whole business and turned their back on Toys r Us and started selling the same stuff without them. Toys R us won the lawsuit and made their $50m back but at that point, customers stopped caring about toys r us and started buying toys on amazon instead.