news.volyx.in

Postal Arbitrage (walzr.com)

559 points by The28thDuck · 191 days ago · 280 comments on HN

Article summary

The article discusses the concept of 'postal arbitrage' where items can be purchased on Amazon for less than the cost of a stamp, with free shipping, and sent to others as a unique way of sending a message. The author shares their experience of sending items such as cans of beans and pasta to family members, which sparked a fun exchange of random items. This approach is seen as a way to send something physical and memorable, rather than just a postcard. The items can be purchased for under $0.78, the cost of a stamp, and arrive in 1 or 2 days with a free gift note.

Main themes

  • Postal Arbitrage
  • Amazon Prime
  • Alternative Gifting
  • Shipping Costs
  • Postal Service
  • Creative Communication

What commenters say

  • The cost of Amazon Prime should be factored into the calculation of postal arbitrage, but for those who already pay for Prime, it's a sunk cost and doesn't add marginal cost.
  • The concept of marginal cost is relevant in understanding the economics of postal arbitrage, where the additional cost of sending one more item is minimal.
  • Some argue that using Amazon for postal arbitrage is a way to hasten the company's demise by making them burn through resources, while others believe it's a self-own as users are likely to make up for it through regular purchases.
  • The efficiency of Amazon's delivery system means that the marginal cost of delivering a small item is very low, possibly even fractions of a cent, although labor costs and overheads should also be considered.
  • The US Postal Service is criticized for its role in delivering spam and junk mail, with some arguing that it should be subsidized to act in the public interest rather than relying on bulk mail revenue.
  • Others defend the USPS, pointing out that it is not the spammer, but rather a delivery service that is used by spammers, and that there are ways to opt out of receiving junk mail, such as using mail forwarding services.
  • The discussion also touches on the idea that owning a printer can be a cheaper option than relying on Amazon or the postal service for certain types of communication, especially for those who already have a printer or can acquire one at a low cost.
  • Some commenters suggest that the concept of postal arbitrage is not new and has been used in the past, such as in the case of the original Ponzi scheme, which involved buying and selling international reply coupons.