His business plan is to profit solely on membership fees without taking any cut of products sold. This guy also created quidsi.com (which includes diapers.com, soap.com, casa.com to name a few), and sold it to Amazon for $550 million. I think his racket is to create online retailers that take a piece of Amazon's market share until he's bought out. The guy doesn't even have to reach into his pocket, he's got investors wrapped around his finger.