Respectful Spend

Independent businesses face a significant challenge—not because they lack creativity or quality, but because market conditions and intermediary platforms enable large corporations to capture a disproportionate share of profits. Research from the Forbes and MarTechCube show that complex distribution systems and steep fees are squeezing independent companies across industries. When you shop directly from a business, you help ensure your money benefits the creators and innovators instead of being absorbed by intermediaries.

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The Hidden Cost of Convenience

Online marketplaces offer unmatched convenience and global reach—but this convenience comes at a price. Major platforms like Amazon charge fee structures that include referral fees (often averaging around 15%), per-item fees, and additional closing fees, which together can significantly erode profit margins for your favorite brands which, Wix’s Amazon fee breakdown shows. This leads to a founder’s desire to avoid these platforms because fees divert money that should directly support their work.

Additionally, Builtin explains how these costs raise final prices for consumers and reduce the funds available for reinvestment into product quality and innovation. When you purchase through an intermediary marketplace (i.e. Amazon, eBay, Etsy, TikTok, etc), a significant portion of your spending goes to fees rather than directly supporting the business that created the product.

Note: intermediary marketplace should not be confused with retail reselling, see note at the bottom for more details.

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Direct Buying: Ensuring Your Money Benefits the Business

Choosing to purchase directly from the producer—via their own website or physical store—can make a tangible difference. By bypassing intermediary fees (which often average around 15% of the sale price), businesses retain a larger share of revenue, enabling them to reinvest in innovation and growth. For instance, Bookshop.org has built a model that supports independent bookstores by ensuring that more profit is returned directly to the stores rather than being siphoned off by third-party platforms.

Furthermore, a direct channels often yield higher profit margins and foster deeper customer relationships. When you buy directly, you’re empowering businesses to allocate more resources toward improving their products, expanding operations, and offering competitive pricing—all without the heavy burden of intermediary costs.

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A Vote for Innovation and Impact

Every direct purchase is a vote for a more innovative, resilient, and sustainable marketplace. Independent businesses drive quality and creativity—and research shows that when revenue remains with the creator, it fuels reinvestment into new ideas, which directly contributes to innovation and job creation.

This support is universal—it benefits businesses regardless of their location. Whether a company is based in a rural town or a bustling metropolis, your direct purchase helps ensure that profits are reinvested into quality and innovation, ultimately benefiting the broader economy and society.

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How to Put This Into Practice

Making a difference with your purchasing power is simpler than you might think. Before clicking “Buy on Amazon” or using another intermediary, take a moment to look up the product on the producer’s own website. Many businesses now offer robust direct-to-consumer platforms that provide exclusive deals, loyalty programs, and personalized customer service.

Here are some practical steps:

• Search Directly: Instead of relying on a third-party platform, use a search engine to find the product on the manufacturer’s website. This small extra step can have a significant impact.
• Look for Exclusive Offers: Many producers offer special discounts or promotions exclusively on their websites.
• Engage with the Brand: Direct transactions usually come with enhanced customer service and personalized experiences.

By taking these steps, you ensure that your money directly supports the business and contributes to its growth and positive impact.

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Final Thoughts

While major platforms offer unparalleled convenience, every direct purchase helps build a marketplace that values creativity, quality, and fair compensation. Your money, when spent directly, supports the businesses you believe in—allowing them to reinvest in innovation, improve product quality, and drive positive outcomes around the globe. A shift toward direct purchasing creates benefits that extend far beyond a single transaction.

Remember: use big corporations as a discovery tool, but choose to support the original producer directly. This simple change in your buying behavior ensures that your money truly makes a difference—fueling a more innovative, equitable, and sustainable economy for everyone.

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Empower yourself and others by choosing direct purchasing—helping the businesses you support thrive and make a positive impact on the world.

Notes: There is a difference between going through an intermediary marketplace and a reselling retailer. The differences are as follows:

• Intermediary Marketplace:
  • Role: Acts as a platform that connects independent sellers with buyers.
  • Inventory: Sellers maintain and own their own inventory; the marketplace itself does not hold the goods.
  • Revenue Model: Generates revenue by charging sellers fees (e.g., listing, transaction, or referral fees) for each sale made through the platform.
  • Examples: Amazon Marketplace, eBay, Etsy.
  • Customer Relationship: The platform may handle aspects of the transaction (like payment processing) but typically leaves product fulfillment and customer service to the individual sellers.
• Reselling Retail:
  • Role: A retailer purchases products in bulk from manufacturers or wholesalers, owns the inventory, and then sells the items to consumers.
  • Inventory: The retailer takes on the inventory risk by buying and holding stock before selling it.
  • Revenue Model: Makes a profit by marking up the wholesale price of the products when reselling them to customers.
  • Examples: Traditional brick-and-mortar stores like local boutiques, department stores, or online retail shops that are directly owned and operated by the retailer.
  • Customer Relationship: The retailer manages the entire sales process—from purchasing inventory to providing customer service—and has direct control over the customer experience.