A short story on how $amzn started selling swimming pool products vs $POOL
Small business owner customers are relentless focused on price and it seems if the saving is large enough they will switch
$POOL advantage was they stock a huge portfolio of SKU's that are always in stock
So business owners can buy the odd SKU from $amzn but not in any depth or breadth
Distributors can also use their deep relationships with suppliers to get better pricing or exclusive products to differentiate the offering
Pool owners can also purchase online directly BUT the contractors don't like installing products they don't also sell to the pool owner because it's lower margin
$POOL is actually selling time to small business owners. Their wide and deep inventory, dense network of sales centres, and deep relationships with contractors enables the customer to utilise time more effectively
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