Circuit breaker and fighting "runners"

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I was typing out this as a reply to someone who missed out on chromebook at the 12am launch but I think it makes for a good separate topic. It ends up that we had a bunch of “runners” who bought these out from under you, @jmerenda. Runners is our term for resellers who try to buy promo merchandise to resell it at a higher price on Amazon marketplace (or eBay or similar).

We’ve since cancelled over 100 units of inventory from these runners who temporarily stole the inventory you wanted to buy and caused the circuit breaker to flip. This was a higher percentage of orders than normal but it’s not at all an unusual process for us. When you see quantities adjust to a lower number from the original 12am circuit breaker quantity-sold stat (on the front page) it’s usually this or fraud checks causing cancellations. Ends up it’s a benefit of the circuit breaker system that this inventory can get released for sale at all again. We run the same process on the 8am block to cancel runner orders and shift that quantity to our VMP release.

We are adding tools and cancelling runner accounts as we spot them. They often argue that we have some obligation to serve them up the multiple orders they place. We don’t. Instead, we have entire divisions of our company set up to operate as wholesalers. We aggressively refuse service to runners on our retail portals as it helps us effectively use below-market pricing to attract and entertain our community.