Just when you thought Amazon.com
Amazon is in the process of incorporating the Bill Me Later service into its site, though it's likely to miss the holiday-season rush. The timing isn't a concern, however, since Amazon is now a profitable e-tailer year-round.
Actually, more important than the implementation is that Amazon, being so impressed with Bill Me Later, is acquiring an undisclosed minority stake in the company.
As its name implies, Bill Me Later -- a competitor to eBay's
Hundreds of online storefronts already use Bill Me Later. Web-based sellers including Overstock.com
Bill Me Later didn't need Amazon on board to thrive. It was already one of Inc. magazine's fastest-growing companies. In fact, the company has been an easy sell ever since market researcher Jupitermedia found that Bill Me Later users tend to spend more online when presented with the convenience of delaying payments.
Still, that doesn't make Amazon's leap insignificant. Now that the leading e-tailer is on board, a smaller rival will have a harder time not matching Bill Me Later's level of convenience. So Bill Me Later is getting a client, an investor, and a validation stamp all from a single handshake.
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Longtime Fool contributor Rick Munarriz thinks buyers can abuse the generosity of delayed-payment services to their own detriment. He is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early. He does not own shares in any of the companies in this story. The Fool has a disclosure policy.