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Amazon Launches 'Home Services' For Repair, Installation, and Other Work

Posted by Soulskill on from the remember-when-they-sold-books dept.

An anonymous reader writes: Amazon has quietly rolled out a new business called "Home Services," which aims to be a middleman between customers and all sorts of contracted services. It includes things like appliance repair, home cleaning, installation/assembly of products in your car or home, tutoring (academic and musical), and even performance art. Amazon makes money on this by taking a cut of the total price — between 10 and 20 percent. Since everything is geolocated, they have many more options available in big cities than in small rural communities. One of Amazon's goals is to help standardize the price for various services, so there aren't any surprises when the bill comes due.

120 comments

  1. Not sure, if this is "news for nerds" by mi · · Score: 1

    Not sure, how this is "news for nerds", but I like it. Amazon have been quite amazin (sorry) over the years. So much so, I fear, when they stop being quite so amazing, it will take a while for decent competition to spring back up.

    --
    In Soviet Washington the swamp drains you.
    1. Re:Not sure, if this is "news for nerds" by sumdumass · · Score: 2

      Sears tried something like this years ago. Except it mostly dealt with connecting contractors to customers who purchased the products sold for installation. They ran into a lot of legal problems. Some areas considered them to be contractors themselves so they needed to be licensed and bonded. Some areas considered them liable for disputes that popped up. They got a handle on it but not before some headaches. Amazon will find this out too.

    2. Re:Not sure, if this is "news for nerds" by ShanghaiBill · · Score: 1

      it will take a while for decent competition to spring back up.

      If there was decent competition, they wouldn't have been so successful in the first place. You can only take over a market quickly if the incumbents suck.

    3. Re:Not sure, if this is "news for nerds" by ColdWetDog · · Score: 4, Insightful

      I think it was Sears and, in fact, it appears to be active today. Although likely ignored by pretty much all.

      Perhaps Amazon has more reach - it certainly has more cachet - but I don't see this as terribly effective. For one thing, standardized prices imply consistent quality. That might happen when you're making widgets. For labor with any degree of skill - I'm rather doubtful that this is the case.

      --
      Faster! Faster! Faster would be better!
    4. Re:Not sure, if this is "news for nerds" by HiThere · · Score: 1

      Sorry, but Amazon took over the market by operating at a deficit for decades. I've heard that they are still operating at a deficit, which, if true, is frankly amazing. How *do* they stay in business.

      When most companies use this policy (pricing below the cost of service) the governments put them out of business. Somehow Amazon is allowed to "prosper". (I'm not sure that proper is the right term if they're actually still operating at a deficit. I know they did for over a decade, as there used to be many financial people commenting about it.)

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    5. Re:Not sure, if this is "news for nerds" by lister+king+of+smeg · · Score: 4, Informative

      Sorry, but Amazon took over the market by operating at a deficit for decades. I've heard that they are still operating at a deficit, which, if true, is frankly amazing. How *do* they stay in business.

      When most companies use this policy (pricing below the cost of service) the governments put them out of business. Somehow Amazon is allowed to "prosper". (I'm not sure that proper is the right term if they're actually still operating at a deficit. I know they did for over a decade, as there used to be many financial people commenting about it.)

      they aren't operating at a deficit per say they make lots of money but they reinvest all of their profits back in to r&d, infrastructure, and expanding into new areas, so they make no net profit but aren't exactly at a loss either.

      --
      ---Saying gnome 3 is better than windows 8 not so much a compliment as it is damning with light praise.
    6. Re:Not sure, if this is "news for nerds" by FlyHelicopters · · Score: 3, Insightful

      I like being able to see reviews from Amazon customers with "verified purchase" next to their names, means much more than random comments online.

    7. Re: Not sure, if this is "news for nerds" by Dynedain · · Score: 2

      I find a wonderful sense of schadenfreude every time I consider that Sears shut down their catalog sales only two years before Amazon launched.

      --
      I'm out of my mind right now, but feel free to leave a message.....
    8. Re:Not sure, if this is "news for nerds" by Smerta · · Score: 1

      Absolutely. In a similar vein, have you noticed, the reviews with "Amazon Vine" next to them are typically full of platitudes & praise?

      I appreciate Amazon's transparency, in fact I applaud it, but I think the whole Vine program is a bit brain-dead ("Hey we just shipped you a brand-new 60" Samsung HDTV, please let us know if you like it.")

      IMO the Vine reviewers would have a lot more credibility if reviewers had to return the product after 30 days (shipping paid for by Amazon). I'll bet if you check most Vine reviews, they are made within 7 days of receiving the product, and I bet they average something like 4.5 stars.

      If there is a big-data person from Amazon reading this, try instituting a 30-day "use & return" policy for Vine, and watch participation go down, along with average review. That will tell you who's in it for free stuff, and who's actually interested in using products & writing meaningful reviews (don't get me wrong, I'm not one of them, I wouldn't do it...)

      Even though Vine "membership" isn't tied to the average review you give, and (in theory) the terms of participation in Vine are such that Amazon can ask for any Vine item to be returned to Amazon at any time, that's not the reality.

    9. Re:Not sure, if this is "news for nerds" by Anonymous Coward · · Score: 0

      He also said "took over the market", and if you are old enough to remember when Amazon first started, the way they defeated Overstock.com and Barnes and Nobles (their two biggest rivals at the time) was to offer free shipping and cut rate pricing. This was before they had warehouses in nearly every state, and they were operating at very heavy losses.

    10. Re:Not sure, if this is "news for nerds" by NotDrWho · · Score: 1

      Well, if they're going to make it, they've certainly got a long way to go. I live in a moderately sized city and the only services they showed available in my area were "Equipment Assembly" and "Furniture Assembly." Real useful for someone too stupid to read IKEA instructions, I guess.

      --
      SJW's don't eliminate discrimination. They just expropriate it for themselves.
    11. Re:Not sure, if this is "news for nerds" by Slashdot+Parent · · Score: 1

      For one thing, standardized prices imply consistent quality. That might happen when you're making widgets. For labor with any degree of skill - I'm rather doubtful that this is the case.

      I'm not even so concerned about consistent price as the fact that I think Amazon will increase quality.

      A service provider who is dealing only with individuals doesn't lose much if he/she botches an assignment. I mean, how much do you really spend on a plumber or electrician in your lifetime? But an Amazon service provider who generates a lot of customer complaints is going to get booted from the program which presumably feeds them a lot of business, so there is a higher incentive to do each job right.

      --
      They don't grade fathers, but if your daughter's a stripper, you fucked up. --Chris Rock
    12. Re:Not sure, if this is "news for nerds" by cusco · · Score: 1

      Sears makes a lot of money off its contractor "referrals". My dad was a remodeler for many years. He got a couple of jobs through Sears during a slow spell and was kind of pleased. Then he ran into a friend at the lumber yard who had lost his business and was working for someone else. He explained that Sears gave him plenty of business and life was good. Eventually he was working exclusively for Sears, and didn't have time for any of his outside customers.

      Then Sears started to squeeze him. They started taking more and more of his profits, to the point where the only way that he could even break even was to do rushed, slipshod work and pay peanuts for unqualified employees. Finally he decided it wasn't worth the trouble and closed up shop, going to work for a former competitor.

      My dad never worked for Sears again.

      --
      "Think about how stupid the average person is. Now, realise that half of them are dumber than that." - George Carlin
    13. Re:Not sure, if this is "news for nerds" by FlyHelicopters · · Score: 1

      I am simply glad that Vine reviews are marked as such, so that I know the person got a free item.

      The program doesn't bother me, it is transparent. It would bother me if they tried to hide it.

  2. as a professional service provider... by Anonymous Coward · · Score: 1

    i wouldn't subject my business to amazon's policies, pricing rules, commissions, or the very real possibility of having my business trashed in reviews by shady competitors.

    1. Re:as a professional service provider... by Anonymous Coward · · Score: 1

      After reading how they treat their employees like shit, I refuse to do business with them any longer.

    2. Re:as a professional service provider... by Anonymous Coward · · Score: 0

      As to the last point, isn't that a problem already no matter what? Yelp and etc.

    3. Re:as a professional service provider... by Dragon+Bait · · Score: 2

      Yelp and etc.

      Yeah, but with Yelp you just pay them a small advertising fee and all the bad reviews magically go away.

    4. Re:as a professional service provider... by Anonymous Coward · · Score: 0

      After reading how they treat their employees like shit, I refuse to do business with them any longer.

      Don't believe everything you read. Walk around Amazon Campus, and you'll just see a lot of very happy, smiling people. There are a few people who aren't happy with their jobs at Amazon. It's probably not where they should work, if that's how they feel. Some people don't like solving interesting problems and working on exciting bleeding edge service architecture. *shrug*

    5. Re:as a professional service provider... by Anonymous Coward · · Score: 0

      You're doing a very good impression of a shill, you know.

      I don't think you are one, because nobody is paid to do such a poor job. So I'll go with employee posting on company time, or the sort of toadying personality who is very likely to join a church.

    6. Re:as a professional service provider... by Slashdot+Parent · · Score: 1

      i wouldn't subject my business to amazon's policies, pricing rules, commissions, or the very real possibility of having my business trashed in reviews by shady competitors.

      You already have that risk with Yelp and similar services.

      My guess is that with Amazon, they won't let non-customers review you. Why should they? So even if your competitors go to the trouble of actually hiring you for something and then giving you a bad review, how many bad reviews could they realistically generate compared to all of your good reviews from real customers?

      I'm not saying that BS reviews are a nonissue, but I think that you are overestimating size of the issue.

      --
      They don't grade fathers, but if your daughter's a stripper, you fucked up. --Chris Rock
    7. Re:as a professional service provider... by Anonymous Coward · · Score: 0

      I imagine the poorly treated employees are in warehouses, not corporate HQ.

    8. Re:as a professional service provider... by JakeBurn · · Score: 1

      Amazon Campus? You mean the corporate offices? I could imagine you would find a lot of smiling faces in an office. Try walking through one of their fulfillment centers and try to come back with how many people you think are happy. When I worked for one I came in with a 'class' of fifteen people and after two days there were ten of us. After two weeks there were two of us left. In a building with 500 people I think I met five or six who I would say were happy people. I was going to quit because the environment was so toxic and transferred to another building. That lasted two weeks before I gave up. Coming into work at a job where nearly every single person you work with are extremely angry in everything they talk about got old fast. Even Amazon knows this so your training is barely able to be considered basic. Safety training consisted of someone giving us a pair of gloves, a bright safety vest and telling us things like, "MSDS? Oh, those are the giant boards up by the entrance that let you know how well the building is doing safety-wise". After working there I've chosen to do my shopping elsewhere.

  3. I wonder if... by sribe · · Score: 3, Interesting

    They'll require providers to sign a non-compete preventing them from taking business from any other source...

    1. Re:I wonder if... by Mandrel · · Score: 1

      Amazon probably won't (initially) force service suppliers to be exclusive to Amazon, though they could offer a fee reduction for those who do.

      What Amazon are doing however is forcing any offer on Amazon to be no worse than any other offer, so providers can't charge Amazon customers more to cover the fees. Providers must yield some of their margin to Amazon but hope to make it up through greater volume.

    2. Re:I wonder if... by luis_a_espinal · · Score: 1

      They'll require providers to sign a non-compete preventing them from taking business from any other source...

      And that will run into legal problems at the county level. Too early to tell how this will play out nationally.

    3. Re:I wonder if... by Slashdot+Parent · · Score: 1

      I can't see how they could get any service provider to sign up for that unless they are providing more business than the provider can handle. Who would sign up for Amazon if they have to give Amazon 10-20% and only be ~50% utilization? That's a big ask.

      --
      They don't grade fathers, but if your daughter's a stripper, you fucked up. --Chris Rock
    4. Re:I wonder if... by sribe · · Score: 1

      I can't see how they could get any service provider to sign up for that unless they are providing more business than the provider can handle.

      I was being sarcastic, referencing the 18-month practically worldwide non-compete they were forcing temporary warehouse workers to sign. (Until bad press stemming from The Verge article motivated them to drop that ridiculous requirement.)

  4. Grossly Overprices Here by Anonymous Coward · · Score: 0

    $140 for office chair assembly?
    $180 for bed assembly?
    $120 for treadmill?
    And plenty more just as crazy

    I'm pretty generous when it comes to hiring people to do things I don't want too, but who in their right mind would pay those rates? If I'm being conservative that's still like $300 an hour.

    1. Re:Grossly Overprices Here by Tablizer · · Score: 1

      How much for scaring a neighbor via drones? I thought they were going drone.

      --
      Table-ized A.I.
    2. Re:Grossly Overprices Here by FlyHelicopters · · Score: 1

      $140 for office chair assembly?
      $180 for bed assembly?
      $120 for treadmill?
      And plenty more just as crazy

      I'm pretty generous when it comes to hiring people to do things I don't want too, but who in their right mind would pay those rates? If I'm being conservative that's still like $300 an hour.

      It just launched, those are the early prices without competition.

      Give it a month or two, you'll see those come down.

  5. Grossly Over-o's Here by fyngyrz · · Score: 0, Troll

    I'm pretty generous when it comes to hiring people to do things I don't want too, but who...

    Ok, suggestion for just such a hire (so you can have an opportunity to be generous!): Retain someone to teach you the difference between "to" and "too." :/

    --
    I've fallen off your lawn, and I can't get up.
    1. Re:Grossly Over-o's Here by Anonymous Coward · · Score: 0

      OH NOES!!!! I HAZ USE WRONG GRAMMAR IN 10 SECOND POST?!?!?!?!

      Who the fuck cares, moron? This from an idiot who has multiple grammar mistakes in the first paragraph of their shitty webpage. Maybe hire someone to teach you correct usage of commas, semi-colons and parenthesis. Maybe check up on what a run on sentence is while you're at it, since you care SO MUCH about grammar.

    2. Re:Grossly Over-o's Here by Anonymous Coward · · Score: 0

      Normally, I don't really care about the sad people that point out pointless grammar mistakes, but you caught me on a bad day and I just feel I need to make your life hell for a while. Just fair warning, you post WAY to much personal information on the internet if you're going to be an asshole. Best of luck.

    3. Re: Grossly Over-o's Here by Anonymous Coward · · Score: 0

      *too

    4. Re: Grossly Over-o's Here by Anonymous Coward · · Score: 0

      Oh noes the neckbeard is going to put down his doritos

    5. Re:Grossly Over-o's Here by fyngyrz · · Score: 1

      If you know of grammar errors or other writing problems / errors on my page(s), I will be delighted to fix them, and also to learn how to do better. Because doing the best one can is important. Better to strive to paint like an actual painter than to be satisfied with finger-painting like an addled child. So fire away. :)

      --
      I've fallen off your lawn, and I can't get up.
  6. What stops people from bypassing Amazon? by fufufang · · Score: 1

    These business are local businesses which originally did not depend on Amazon. So what stops people from bypassing Amazon after locating the business?

    1. Re:What stops people from bypassing Amazon? by AuMatar · · Score: 2

      Does it matter? I'd think Amazon will be happy to grab a percentage on as many of them as they can. 20% of 50% of transactions > 20% of 0% of transactions.

      --
      I still have more fans than freaks. WTF is wrong with you people?
    2. Re:What stops people from bypassing Amazon? by sexconker · · Score: 1

      They could do it like those travel sites and not tell you the name of the company until you've booked the service.

    3. Re:What stops people from bypassing Amazon? by Livius · · Score: 1

      Nothing.

      They may be counting on these businesses that have relatively few repeat or on-going relationships. Then Amazon is basically making a referral / recruiting fee, and maybe that business model will work for them.

    4. Re:What stops people from bypassing Amazon? by squiggleslash · · Score: 1

      Nothing much, but then you lose the guarantees of service and predictable pricing, and to be honest, finding a reliable plumber or AC person is sufficiently difficult in the real world to ensure that something that makes those guarantees will be popular, even if, on average, it costs a little more than going directly.

      --
      You are not alone. This is not normal. None of this is normal.
    5. Re:What stops people from bypassing Amazon? by sumdumass · · Score: 1

      Ever hear of angie's list? It has been around for a decade or two and largely takes the difficult out of the equation.

    6. Re:What stops people from bypassing Amazon? by Anonymous Coward · · Score: 0

      angie's list is one step under yelp. they may not try to extort money from you but they still let trolls in that ruin business reputations for no reason. amazon will be no different, and i suspect it will be as brutal as yelp can be just without the extortion from amazon -- who will just be indifferent to it all like they are with bogus 1star reviews now. all they will care about is new people will buy services and give amazon their cut.

    7. Re:What stops people from bypassing Amazon? by MightyYar · · Score: 1

      It's better at extortion than at unbiased advice.

      As a contractor for the Angie's List literature that they send professionals. It is really slimy.

      --
      W..w..W - Willy Waterloo washes Warren Wiggins who is washing Waldo Woo.
    8. Re:What stops people from bypassing Amazon? by MightyYar · · Score: 1

      Ooops. I'm not a contractor - that was meant to say "ASK a contractor...".

      --
      W..w..W - Willy Waterloo washes Warren Wiggins who is washing Waldo Woo.
    9. Re:What stops people from bypassing Amazon? by Anonymous Coward · · Score: 0

      Because typically there are pricing agreements made between the local shops and the storefront, and all arrangements are made through the storefront. Also, you usually have guarantees of satisfaction, backed by someone like Amazon, which give a degree of peace of mind. It is (perhaps wrongly) assumed that too many complaints and a local business will be dropped. Amazon acts as a ore-screener. Not much different than what is currently offered through Home Depot (except made your credit card number won't be hacked).

      After having to purchase and install a new water heater recently, I can see how this could be a huge revenue source. The local plumber stated the storefront collected about 60% of the bill as their cut. Amazon offering only 25% plus increased exposure would give them a huge advantage. And that's for nothing more than scheduling appointments and dropping contractors when there are too many complaints. Even Angie's List charges a yearly fee.

      More and more, Amazon seems to be assuming Sears's vaunted position of being the go to place for most anything, and what Sears could have become if they would have gotten their web presence together sooner. I had called Sears first as they advertised same day installation if purchased from them. After being transferred 8 different times to people who had no clue, and finally told they don't offer that in my area, I ended up purchasing from Amazon as Home Depot couldn't even give me a date for delivery. If Amazon offered installation as well and could have saved me the couple of days of finding a plumber, I would have just dealt with them from the start, giving them an even bigger percentage of profit on the transaction.

    10. Re:What stops people from bypassing Amazon? by Etherwalk · · Score: 1

      Not much different than what is currently offered through Home Depot (except made your credit card number won't be hacked).

      Ratings. Uber has totally overthrown the cab industry because of ratings. Drivers are generally good because they have to maintain 4.7 out of 5 on a customer rating to stay in good standing with uber. Now think how many bad contractors there are.

      A reliable third-party rating system gives you at least a minimum amount of accountability.

    11. Re:What stops people from bypassing Amazon? by FlyHelicopters · · Score: 1

      These business are local businesses which originally did not depend on Amazon. So what stops people from bypassing Amazon after locating the business?

      That will happen to some extent, but keep in mind that Amazon will also refund the difference if you're offered a lower price from the same provider.

      Amazon also provides their A-to-Z guarentee, if I have a problem, I have someone to complain to besides the service provider.

      I may not know "Joe's Ceiling Fan Installation Company", but I know who Amazon is. I also know what kind of customer service Amazon provides.

      If Joe shows up and does a crappy job, or if he tries to charge me more, or if something else goes wrong, Amazon will make it right.

      That has value to me.

    12. Re:What stops people from bypassing Amazon? by Anonymous Coward · · Score: 0

      Because we also know through Amazon that ratings can be gamed :)

      I had gone through Home Advisor a few times, and even with their ratings, got screwed by a contractor. Imagine my surprise when I learned contractors have final say over any poor rating. Not something you learn until after you've been fucked.

      Also, for some people at least, there is value in someone else making all the arrangements and making sure everything goes right, even if it costs a couple of bucks more.

      Plus I imagine this will segue into selling extended warranties and the like, which is an absolute goldmine.

  7. Worthless until they do something about reviews by Shadow+of+Eternity · · Score: 1

    Amazon's had a growing problem for some time with astroturfed reviews. On products it's reasonably possible to get a feel for things even through that because of the sheer numbers involved, but for contractors and labor it's going to be a critical problem.

    --
    A bullet may have your name on it but splash damage is addressed "To whom it may concern."
    1. Re:Worthless until they do something about reviews by Anonymous Coward · · Score: 0

      I've had many reviews rejected for not meeting their guidelines, the only way to get them through is to strip away almost all negative words, then it's not an accurate review. Another this is their averaging method, lots of one or two star ratings, yet they still have an overall four star rating.

    2. Re:Worthless until they do something about reviews by Slashdot+Parent · · Score: 1

      If they restrict reviews to paying customers (customers who paid through Amazon's), I think that would make it too expensive to game the system on a large scale. How much would you be willing to pay for the privilege of writing a fake review?

      --
      They don't grade fathers, but if your daughter's a stripper, you fucked up. --Chris Rock
  8. The last contractors I hired... by Anonymous Coward · · Score: 0

    To install a new oven, couldn't get it to fit in the cabinet so he used a hammer and screwdriver to trim the wood. Then he didn't even install the screws that held it in place, the first time I opened the oven door the entire oven fell out dangling by the gas supply line. The idiot contractors had a heavy Russian accent. Rather then call them back in to fu@k it up more, I did it myself. Then there was the fence contractor from home depot, they installed the fence 10 feet away from where I told them, and wanted another $1200 to put it in the correct spot. I will never hire anyone to work on my house again, I'll learn how to do it myself.

    1. Re:The last contractors I hired... by fish+waffle · · Score: 2

      Yeah, my experience is that anyone remotely competent is booked forever, while those you can get are all too weighted to the blithering idiot side of the scale. It has inspired me to do my own work, in which I have learned a lot, and realized that I am also somewhat incompetent (but less so than many others, and cheaper, if also much slower).

    2. Re:The last contractors I hired... by bugs2squash · · Score: 1

      I've had the opposite experience. I try to do a lot of jobs myself and that means that it's not generally an emergency when I call someone and I can wait for someone who is getting good reviews or a personal recommendation from a friend/neighbor, but the roto-rooter guy had a root cutting tool that I will never own and he was quick and efficient at getting my drain line unplugged, the heating guys spent days crawling around under my house, a service I was very willing to pay for having done far too much of that myself. I could never have done as good a job making the kitchen cabinets as the carpenter I employed. In general the people coming to the house have been courteous, fair and competent.

      --
      Nullius in verba
    3. Re:The last contractors I hired... by l0n3s0m3phr34k · · Score: 1

      At least when it's your own personal incompetency you can realize your mistakes and fix them, without additional contractor complications. You'd quickly realize "that won't work" and actually fix that issue than just "finishing quickly" or taking a crowbar / hammer to whatever and beating on it until it fits / works.

    4. Re:The last contractors I hired... by Shados · · Score: 1

      Yeah, dealing with contractors feel like getting a job. It all ends up with a personal network and connections if you want anything good.

      I don't even care how much I pay, if there was any kind of correlation between price and quality of the work. But there isn't. The guy with a razor thin profit margin is often leagues better than the one who charges you twice as much for the same work. Once i find a good one, I just tip them an absurd amount to make sure they want to work for me again (especially for cheaper jobs. Professional painters are paid very little, and its not easy to get it done perfectly... A plumber can be another story, where some trivial jobs cost a fortune).

      At this point I just don't bother calling someone without a strong referal. It never works out,

    5. Re:The last contractors I hired... by Anonymous Coward · · Score: 0

      It has inspired me to do my own work, in which I have learned a lot, and realized that I am also somewhat incompetent (but less so than many others, and cheaper, if also much slower).

      Why pay someone to fuck it up when you can fuck it up yourself just as well for a lot less?

    6. Re:The last contractors I hired... by jonwil · · Score: 1

      As long as your work on that oven didn't require messing with the gas system without an appropriate license (from the sounds of it since you didn't mess with the gas lines though)

    7. Re:The last contractors I hired... by LaurenCates · · Score: 1

      Agreed.

      I've been in the position during the past year where I've needed a new accountant and a lawyer for running a new business.

      Know how I found them? Friends who run their own businesses.

      Good ratings on Amazon are absolutely nothing compared to a single recommendation from a trustworthy friend, and I most certainly would look for contractors the exact same way.

      --
      Some people don't believe in fairies. I don't believe in The Patriarchy.
  9. the river keeps rolling by crgrace · · Score: 5, Insightful

    And so it goes.

    Yet another step to insert a system to mediate and "facilitate" peer-to-peer transactions. I can almost feel the middle class getting poorer as more and more middlemen scrape off their percentage.

    The technology that so many people thought would set us free is being applied to bring us back 100 years when most labor was casual and few people knew if they'd have a job next year.

    Car sharing, house sharing, "free" content generation, task rabbit type casual labor.... no wonder the middle class in the USA is hurting. This might be more effect than cause but we're in an undiscovered country, that's for sure.

    1. Re:the river keeps rolling by Anonymous Coward · · Score: 1

      We're already there. At-will employment basically means I don't know if I'll have a job tomorrow.

      But there's further to go. Why have those expensive employees? Why pay payroll tax and FICA and employee benefits at all? Turn those once-employees in to a permanent contractor class, each tasked with involuntarily "running their own business", and let the IRS collect the thousands of dollars of taxes we're saving directly from those poor slobs. 1099s for everyone! It's not like the IRS is enforcing those employee vs. independent contractor rules or anything.

    2. Re:the river keeps rolling by Anonymous Coward · · Score: 0

      This system (like uber and airbnb) results in *less* middlemen, not more. In this system, the middleman is a semi-autonomous computer system. What is the alternative? A company. Workers provide their services to a company in exchange for pay, and the company sells the resulting product to a customer. Companies generally are middlemen...perhaps always.

      Uber connects individual drivers directly to people looking for a ride. The general alternative is that the taxi driver is employed by a taxi company, which scrapes even more money off the fare.

      Companies have their place, especially when the product requires many people, but for products that require one worker, facilitating peer-to-peer transactions seems like the way to go.

    3. Re:the river keeps rolling by Anonymous Coward · · Score: 0

      You do realize that the "semi-autonomous computer system" is wholly owned and operated by a large for-profit company, right? If you don't think Uber is scraping every bit as much off as any other taxi company, you're delusional.

      They're also not merely "connecting" drivers with passengers, they're regulating the entire presentation and experience, down to what kind of car you can drive and who/where you're allowed and not allowed to pick up – yet somehow they employ zero drivers in spite of these IRS rules.

      Captcha: fewer

    4. Re:the river keeps rolling by poet · · Score: 1

      The U.S. is hurting? From this side of the pond things are looking pretty good. The dollar is rocking (so much that we can get EU people 1 for 1), unemployment is down for educated people and business is up even for small business.

      --
      Get your PostgreSQL here: http://www.commandprompt.com/
    5. Re:the river keeps rolling by Anonymous Coward · · Score: 0

      The semi-autonomous computer system is owned by a company, but being more efficient, the middleman effect is lowered. Uber scrapes 20% off the fare, while cab companies scrape about 33%, according to the first google result I found: http://work.chron.com/much-fare-taxi-drivers-keep-22871.html

      Of course, with Uber you use your own vehicle, which likely accounts for another 5% for wear and tear on your car ($10/day of maintenance and $200/day revenue seems reasonable to me). I don't think the difference is huge, but I do suspect you're moderately better off driving for Uber. The other advantage is that you can drive as little as you want...no cab company would lend you a car if you're working 10 hours a week. Honestly, if you were a cab driver, would you choose a cab company instead?

      Correcting someone's grammar is worthwhile if you're unsure what they meant or you think they'd benefit by being corrected. Correcting someone's grammar just to feel superior does not actually make you superior.

    6. Re:the river keeps rolling by Anonymous Coward · · Score: 0

      Okay, sure, you're right: you might indeed be slightly more efficient by completely ignoring legislated maximum rates, laws requiring accommodation for the disabled, laws requiring the posting of driver identification, laws limiting the number of consecutive hours worked, and laws requiring photographic passenger logs in case you're assaulted. Bonus points for lowballing your commercial insurance policy, so that the aggregate claims maximum doesn't meet local legal requirements, and so it only applies on a contingent basis (if at all) when a passenger isn't in the car.

      I'd probably choose a taxi company that employed its drivers as the W-2 employees they are, didn't put me at risk of getting my personal auto insurance policy cancelled for unauthorized for-hire driving, and didn't spy on journalists for fun.

  10. Phew! Finally! by stox · · Score: 4, Funny

    Where else was I going to find a "Goat Grazing Service"?

    --
    "To those who are overly cautious, everything is impossible. "
    1. Re:Phew! Finally! by HiThere · · Score: 1

      I could find one for you, were I to feel like it. There's a local goatherd who's currently working the the city park, but who also does backyards, or other places that need a short trim.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    2. Re:Phew! Finally! by samwichse · · Score: 1

      I know you were speaking ironically, but I've hired goats for old-field recovery (rehabbing a field site that infilled with exotic shrubs like english/eurasian privet, honeysuckles, multiflora rose, buckthorn, russian and autumn olive).

      They bring in the goats, stake them with a 15-20' chain and let them eat to their heart's content. You're paying for transportation to the site, veterinary care, water, and supplemental feed (the food quality is so bad, the goats can starve to death packed full of roughage).

      We did a chunk of land like this, and a chunk of land with volunteers with swedish axes, saws, and loppers. The goats did a more thorough job and MUCH faster (and you didn't have to burn a brush pile after). The only downside to the goats is they're non-selective... you can't leave any nice native species you find (bye bye hazelnut!).

      Sam

  11. Only where available by reboot246 · · Score: 2

    I checked a bunch of categories and all I got was "We're sorry, no pros near ZIP xxxxx".

    Maybe in the future there will be somebody nearby who can work on something for me. Until then I'll just get by the way I always have. I can live without Amazon's assistance.

    1. Re:Only where available by MightyYar · · Score: 1

      Yes, most of the services are not available here either - and I'm less than a mile from Philly, so it isn't about being out in the boondocks.

      --
      W..w..W - Willy Waterloo washes Warren Wiggins who is washing Waldo Woo.
    2. Re:Only where available by Anonymous Coward · · Score: 0

      Move to somewhere relevant. Here in San Francisco I can get all of them.

  12. 10 or 20%? For what? by Bruce66423 · · Score: 2

    The concept seems good - but unless they are adding a lot of value, all they are doing is providing the same service as Yellow Pages, with the possibility of reviews. Or am I missing something? The review concept would be useful, but that's about it, surely.

    1. Re:10 or 20%? For what? by sumdumass · · Score: 1

      I was kind of thinking the same thing. Except instead of yellow pages, I was thinking angie's list. They do some subscription thing to make money but screen reviews and only allow customers of whatever services to make them. I think they are limited to home improvement type stuff though.

    2. Re:10 or 20%? For what? by FlyHelicopters · · Score: 2

      The concept seems good - but unless they are adding a lot of value, all they are doing is providing the same service as Yellow Pages, with the possibility of reviews. Or am I missing something? The review concept would be useful, but that's about it, surely.

      Amazon will kick off providers who are not doing a good job, Amazon provides their A-to-Z guarantee, so if I have a problem, I don't have to pay (or Amazon pays me back).

      That is why.

      I've already booked someone for Thursday this week, I think this is a wonderful service and I expect to use it several times a year.

      In my experience, Amazon's customer service is second to none, they understand that a long term customer is worth more than short term profits, they often have refunded me without requiring a cheap return or sent out a replacement, or taken something back past the 30 day return policy, without my having to make a fuss.

      As a result, I spend a lot of money there, just bought several hundred dollars worth of LED light bulbs this week, as an example.

      Give me great service and I'll give you my business, it is just that simple.

    3. Re:10 or 20%? For what? by Anonymous Coward · · Score: 0

      I have had several service people (plumbers, electricians, etc.) ask for me to leave a review on Angie's List. Each time I fire up the computer, head on over, then remember that you need to be a paid member to leave a review. I assume this is to prevent abuse, but I am also sure there is just about no way I would pay to be a member just to review someone unless I had something very critical to say (so the reviews might skew one way).

      At least with Amazon they will be able to verify that I paid for the service and will allow me to leave a verified review without me having to pay for the privilege.

    4. Re:10 or 20%? For what? by redbeardcanada · · Score: 1

      I think the killer value will be when they combine this with their drone delivery service...

  13. Other Work by PPH · · Score: 1

    I saw the demolition robot in "I Robot".

    Sorry sir. Did you say Evergreen Road or Place?

    --
    Have gnu, will travel.
    1. Re:Other Work by Krishnoid · · Score: 1

      It's actually Evergreen Terrace, but hey, it's all good.

  14. Noway by AndyKron · · Score: 2

    I think a 10-20% cut is bullshit. I'm really starting to hate Amazon almost, but not quite, as much as Apple.

    1. Re:Noway by Anonymous Coward · · Score: 0

      Herpa love the Google derp. How do you guys love/hate companies so much.

    2. Re:Noway by gnupun · · Score: 1

      Once you have used the local service once through Amazon, won't you get a business card/address from the service person? Why do you need to use Amazon for the next booking? You can book the service directly the next time around saving you the 10-20% Amazon commission.

    3. Re:Noway by Anonymous Coward · · Score: 0

      Because then you will pay the regular price instead of the one Amazon negotiated for you?

    4. Re:Noway by kent_eh · · Score: 1

      But without the 10-20% Amazon cut. The difference probably won't be that significant.

      I'm more concerned about the idea of "standardizing prices". Especially if they try to do it over larger areas.
      The cost of doing business is different in different locations, why would you expect the price to be the same?

      --

      ---
      "I can't complain, but sometimes still do..." Joe Walsh
  15. Note to self... by Anonymous Coward · · Score: 0

    short Angie's List tomorrow.

  16. Standardized pricing? Good luck with that. by JimMcc · · Score: 1

    What caught my eye in the fine summary was "One of Amazon's goals is to help standardize the price for various services, so there aren't any surprises when the bill comes due." We live on a rural ferry served island. It is considered a destination for tourists and rich retires alike. The result is that the cost of living is significantly higher than on the other end of the ferry. The ferry consumes several hours for a round trip and is $40-$50 depending on the season so even if you commute from the mainland it is still quite expensive. So is Amazon going to tell a service person who registers here that they must charge the same amount as somebody on the mainland?

    I can understand trying to normalized rates at a macro level like a greater metropolitan area or a large region, say "southern California", but to break it down detailed enough to take care of micro regions is going to be pretty tough, or expensive.

    1. Re:Standardized pricing? Good luck with that. by Shados · · Score: 2

      I'd expect them to just do it by zip code...And there's always going to be edge cases.

    2. Re:Standardized pricing? Good luck with that. by Anonymous Coward · · Score: 0

      Yes this won't work because your corner case won't work. I'll notify Amazon.

    3. Re:Standardized pricing? Good luck with that. by JimMcc · · Score: 1

      Not really my point.

      My point is that if a large company establishes "standard" pricing there will be areas where it works well, and areas where it doesn't. The big problem, which I guess I didn't touch on, is that the sheeple will just spout whatever price they are fed by a big company without thinking about the realities of the areas in which they live. "What do you mean that you won't install my bathtub for the Amazon price just because I live up a 100' flight of beautiful artistic rock stairs and the house has the original lead plumbing in it."

      But like so many other things, the service is tailored to densely packed cookie cutter regions and will be force fit to areas that are outside the norms.

    4. Re:Standardized pricing? Good luck with that. by KermodeBear · · Score: 1

      That, and not all plumbers, electricians, tutors, cleaners, painters, etc. are equal.

      Some are experienced and produce amazing work. Others just started and have a lot to learn.

      A standard rate of pay means that the guy who does the crap work gets paid the same as the guy who does the great work.

      --
      Love sees no species.
    5. Re:Standardized pricing? Good luck with that. by gnupun · · Score: 1

      Why not? Amazon has been trying to "standardize" ebook pricing to less than $10. They spent $0 creating that book and all they care about is maximizing their profit formula: books sold x commission regardless of how it hurts the creators and the industry. I find it ridiculous that middlemen/distributors have more control and power over a product/service than the creators themselves.

  17. Sears and Home Dept have been doing that for years by Anonymous Coward · · Score: 1

    Yawn.

  18. I still wonder how people in the Internet world by ruir · · Score: 1

    still bend over and let them being raped being 10 to 20% over commissions to a middle man that provides very little added value other than connect you to your customers. Why not reaching them directly? Why not launching a competing service that bills it a 5 euro fee, or that charges you 20 euros per month, period?

    1. Re:I still wonder how people in the Internet world by AuMatar · · Score: 1

      Because reaching your customers directly is hard. If it was easy, nobody would sign up for these services. Its especially hard for a small business like these- you expect them not only to be master craftsmen, but master marketers, master SEOs, and master businessmen as well? And do all of it in the span of a working day? Not exactly realistic. Now alternatives competing on margin- that can and will happen. Amazon isn't even the first here. Some of them, like ANgie's list, are paid for by monthly subscriptions.

      --
      I still have more fans than freaks. WTF is wrong with you people?
    2. Re:I still wonder how people in the Internet world by ruir · · Score: 1

      Well I signed up for elance, but between their commissions, the unreal price expectations of customers, and the rate indians offer, I never bothered to take a project. I do not particularly enjoy working for free. However it is particularly interesting seeing USA customers saying "we do not welcome indians" for this gig, but then defining an impossible price range for a guy in the 1st world to meet.

  19. Esther Rosenblatt, at your service. by Anonymous Coward · · Score: 0

    nt

  20. taskrabbit / homejoy / others haveto much control by Joe_Dragon · · Score: 1

    taskrabbit / homejoy / others are to much control over the workers for them to be 1099's.

  21. what about parts? an job that takes much loger by Joe_Dragon · · Score: 1

    what about parts? an job that takes much longer others of the same time? A room that size of 4 rooms so the contractor loses money on supplies costs.

    What about some Islands with round trip tolls of $6

  22. Best quote I've heard all year by rsilvergun · · Score: 1

    "Finance is no longer a tool for getting money into productive businesses but instead for getting it out"...

    --
    Hi! I make Firefox Plug-ins. Check 'em out @ https://addons.mozilla.org/en-US/firefox/addon/youtube-mp3-podcaster/
  23. Drones by Anonymous Coward · · Score: 0

    And then they can send out repair parts via drone.

  24. Goat grazing by goombah99 · · Score: 1

    Sadly there are no Goat Grazing service providers near me

    --
    Some drink at the fountain of knowledge. Others just gargle.
  25. Nice! by nospam007 · · Score: 1

    I sure need some 'home service' from time to time.

    If Amazon can save me all that time in the adult classifieds, I'm all for it.

  26. Re: Worthless until they do something about review by Anonymous Coward · · Score: 0

    Odd. I have not had an issue sending a negative review for two different products. With one being an amazon product and another simply being fulfilled by Amazon. Both reviews are listed in the product reviews to myself and others.

    Maybe your reviews were poorly written and full of opinions rather than facts?

  27. Labor-related middlemen generally == bad idea. by sethstorm · · Score: 1

    N/T

    --
    Twitter supports and protects racists - by smearing their critics with the "Hate Speech" label.
  28. You are a Nigger by Anonymous Coward · · Score: 0

    In spirit, if not genetically.

  29. performing arts? by Anonymous Coward · · Score: 0

    Thanks Amazon, I've always wanted a ballet in my living room, i just couldn't find a local performer.

  30. People will get around it, no worries by LaurenCates · · Score: 1

    When I did a short stint at Fiverr for grins, I would occasionally get people who would try and send me links to direct me offsite so we could haggle without the limitations set by Fiverr.

    I have no doubt people will be doing this on Amazon, too.

    --
    Some people don't believe in fairies. I don't believe in The Patriarchy.
  31. Going for the Hipsters Demographic by Irate+Engineer · · Score: 1

    The *only* folks who will go for this will be hipsters who would rather talk to an Amazon app on their iPhones than directly with a grubby blue collar contractor.

    I have a neighbor who is a licensed construction foreman. When I need work done on my old house, I basically can assist with demo, site prep, and cleanup and he gives me a big break on the bill. He goes home with a case of my homebrew beer when it is all done.

    That Amazon can even propose this business model really describes the sad state of affairs of the middle class, community, and humanity's ability to interact face-to-face. We need to put the fucking phones down and talk to each other.

    --

    Left MS Windows for Linux Mint and never looked back!

    Vote for Bernie in 2016!

    1. Re:Going for the Hipsters Demographic by Ash-Fox · · Score: 0

      I have a neighbor who is a licensed construction foreman.

      I don't.

      and he gives me a big break on the bill. He goes home with a case of my homebrew beer when it is all done.

      Previously offered people such things and they declined, they wanted the full amount.

      That Amazon can even propose this business model really describes the sad state of affairs of the middle class, community, and humanity's ability to interact face-to-face.

      I don't believe there is an issue face-to-face in my circumstance.

      We need to put the fucking phones down and talk to each other.

      My anecdotal evidence shows that this direct approach doesn't work.

      --
      Change is certain; progress is not obligatory.
    2. Re:Going for the Hipsters Demographic by Irate+Engineer · · Score: 0

      Gosh, I'm sorry. Are any of your neighbors good for anything, or are they all hipsters too?

      I guess Instagram and the aviator sunglass industry needs some love too.

      --

      Left MS Windows for Linux Mint and never looked back!

      Vote for Bernie in 2016!

    3. Re:Going for the Hipsters Demographic by OhPlz · · Score: 1

      Why? You want everyone to socialize with contractors just because you happen to have one living across the street from you? That argument makes no sense. For many, this is just another thing to deal with. Get estimates, pick one and try to find out if they're scumbags or not, hire them, have them do the work. It's similar to having the furnace cleaned or having major work done on a vehicle. I want decent people to do the work, but I don't want to sit down and have a meal with them. The quicker the whole process can be completed, the better. If Amazon can make finding and hiring a contractor easier, so be it.

      What you're proposing doesn't scale well. I'm sure the contractors would prefer to get in and do the work quickly and efficiently too. The less time they waste, the more jobs they can do, the more they earn. They're probably about as excited about socializing with potential customers as the customers are with them.

    4. Re:Going for the Hipsters Demographic by Ash-Fox · · Score: 0

      Are any of your neighbors good for anything, or are they all hipsters too?

      They're nice people, but no, they don't have a trade and my area wouldn't be considered posh either.

      are they all hipsters too

      I'm not a hipster.

      I guess Instagram

      Sorry, I don't really spend any time doing social networks online, my off-line one dominates my time more.

      --
      Change is certain; progress is not obligatory.
    5. Re:Going for the Hipsters Demographic by Anonymous Coward · · Score: 0

      "My anecdotal evidence shows that this direct approach doesn't work."

      Maybe it's true in your case because you're an asshole?

    6. Re:Going for the Hipsters Demographic by Ash-Fox · · Score: 1

      Maybe it's true in your case because you're an asshole?

      I suspect it's more likely that expecting good graces when people generally aren't doing well financially is difficult.

      --
      Change is certain; progress is not obligatory.
  32. Re:taskrabbit / homejoy / others haveto much contr by Anonymous Coward · · Score: 0

    You would think so, but all of those services currently issue 1099s, not W-2s:
    http://sfist.com/2014/09/18/are_startups_in_the_1099_economy_ta.php

  33. Made up info? by monkeyzoo · · Score: 1

    The article linked to as "standardize the price for various services..." mentions nothing about that at all.