user profile
Sign in
user profile

Update to Amazon US referral and FBA fees, starting January 18, 2022

by News_Amazon

As we all get ready for another big holiday season, we would like to thank you for once again putting your trust in Amazon to power your business this year. Despite the ongoing challenges everyone has faced with COVID, supply chain bottlenecks, and a very challenging labor market, sellers have continued to thrive. US-based sellers sold more than 3.8 billion products, or 7,400 products per minute, in Amazon stores alone—and we welcomed more than 200,000 new third-party sellers to our US store, up 45% over the previous year. All while the number of American sellers who surpassed $1 million in sales grew by nearly 15%.

We are proud to have supported you during this time with significant investments in our fulfillment and delivery network, and through powerful new tools and services to help you grow your business. Since the start of the pandemic, we’ve more than doubled our US fulfillment capacity, spent over $15 billion across our fulfillment network to help keep employees safe, hired more than 628,000 people, and increased our US average starting wage to $18.00 an hour. That includes opening more than 350 new fulfillment centers, sortation centers, regional air hubs, and delivery stations in the US. With the 2021 holiday shopping season in full swing, we are hiring 150,000 more people across our US fulfillment network to ensure we are able to quickly receive your inventory and deliver your products to customers.

In addition, our teams are working to build services to grow your business, such as our Brand Referral Bonus, which helps you make your marketing dollars go further, as well as Search Analytics Dashboard and Product Opportunity Explorer, which offer insights on search performance and suggests new products to sell in Amazon’s store. We will also be increasing the benefits offered in the FBA New Selection program, and will help you kick start early sales with the New Seller Starter Pack, a new program that will launch in Q1 2022.

Throughout the pandemic we have worked to support you—postponing and keeping fee changes low, reducing or eliminating select fees like those for customer returns, and absorbing billions of dollars in increased costs on your behalf—all while making significant and necessary investments in people, technology, transportation, and infrastructure. As you’ve seen widely reported in the press and have likely experienced yourselves, costs are rising and we now need to make adjustments to next year’s fee structure in response. In 2022, we will adjust FBA fulfillment fees to partially offset the higher permanent operating costs we face going forward. This and prior fee changes since the pandemic continue to be lower than other logistics service providers. Accounting for these changes, our fees remain 30% less expensive on average than if sellers were to fulfill orders on their own, providing FBA sellers with premium expedited fulfillment and delivery speed for lower than standard service prices.

For a summary of all fee changes, go to amazon.com/selling-fee-changes. We welcome your feedback at fba-fee-announce-feedback@amazon.com and will review each comment.

Tags: News and Announcements
10
8558 views
153 replies
Reply
Most helpful reply
user profile
SEAmod
In reply to: News_Amazon's post

I believe the answers you are looking for around the increase in SnL FBA fees are available on one of these 3 help pages.

2022 FBA Small and Light fee changes

2022 FBA removal and disposal order fee changes

2022 FBA prep and label service fee changes

Susan

Jump to reply
30
153 replies
Quick filters
Sort by
user profile
Seller_XNRd1EOajnUmB
In reply to: News_Amazon's post

Understandable that costs increase. Interesting to see the off-peak storage increase.

My interest is peaked by the increase in small and light from 12oz to 3lbs and well as the new graded, sold as used for returns service.

What does everyone else think?

Reply
30
user profile
Seller_wyo87TbGVpAUV
In reply to: News_Amazon's post

The 271+ aged inventory storage fee should hopefully push some more inventory storage availability.

Reply
20
user profile
Seller_4FEHZiGTpEMxr
In reply to: News_Amazon's post

Wow. 5.2% is not nothing.

If you sell the same product as Amazon does, forget it. You cannot compete.

Reply
290
user profile
Seller_OChH0VD9utdxq
In reply to: News_Amazon's post

Lets give discounts to the next wave of get rich quick middlemen and the next cheap and easy chinese brand thats one letter different than the last.

Reply
40
user profile
Seller_OBMEc8OBQy4TW
In reply to: News_Amazon's post

Reply
130
user profile
Seller_poiPOplAjQA1V
In reply to: News_Amazon's post

Will this mean that the quality of FBA fulfulment will improve? The FBA fee increase for my goods is between 9-10%. So its pretty steep but what choice do we have (I don’t have the time for FBM). Wouldnt be as bad to swallow if they took care of the units that go missing even after confirming receipt, the late deliveries that get refunds, units that are mislabeled (despite me labeling correctly), delays in receiving goods at the FC, aggravating seller support. The fees have gone up over that last few years and the quality of FBA fulfillment seems to have gone down in that time.

Not getting my hopes up … just need to be prepared to raise prices again and get even worse support. C’est la vie!

Reply
100
user profile
Seller_dgwCFZinqInQC
In reply to: News_Amazon's post

lol this is nothing, y’all overreacting haha

Reply
10
user profile
Seller_JSkKTxOgzk1ON
In reply to: News_Amazon's post

If you lower your average starting wage down from $18 can you reduce the FBA fees? If so, lets do that.

Reply
30
user profile
Seller_txSf2GDaduu2O
In reply to: News_Amazon's post

Small and light is changing from 12oz to 3lb, which is great - but will it still be capped at $7 sell price to be eligible? Really wish that price cap would be lifted!!

Reply
70
user profile
Seller_MwCWEj52qYmsI
In reply to: News_Amazon's post

Am I the only one confused by Small and Light changes? Like the price cap is $7 and a 3 lb item costs 4.94 to fulfill… So after a 15% fee we are left with $1.01 BEFORE accounting for cost of goods?

Is the cap going up? Or is this change about as well thought out as most things at Amazon seem to be?

Reply
110
Go to original post

Similar Discussions