Amazon FBA Fees Going Up - 5 Things You Need to Know!

TL;DR

Amazon is introducing new FBA fees, including fees for fulfillment center transfers, low inventory levels, and high return rates in categories such as apparel and shoes.

Transcript

Amazon is changing its FBA fees I'm going to give you the synopsis high level to start I'll go into some details my name is Stephen Pope I'm the founder of my Amazon guy I've got my new aquarium this is the first video and shot where you can see the full aquarium uh unfortunately you can't see any fish so it kind of defeated the purpose of the inst... Read More

Key Insights

• 🤱 Amazon is introducing new FBA fees, including fees for fulfillment center transfers and low inventory levels.
• 👠 Sellers in categories with high return rates, like apparel and shoes, will face increased fees.
• 🤱 There are some positive changes for sellers, including reduced referral fees for certain apparel products.
• 🤱 Shipping inventory to multiple locations can help sellers avoid or reduce inbound placement service fees.
• 🤱 The new fees will go into effect on April 1st, with the exception of the return processing fee, which will start on June 1st.
• ↩️ Sellers should review their product's return rate on the FBA returns dashboard to understand if they will be affected by the return processing fee.
• ↩️ The return processing fee may vary depending on the product category and return rate.

Questions & Answers

Q: What are the changes in Amazon's FBA fees?

Amazon is charging additional fees for fulfillment center transfers and offering discounts for shipping to multiple warehouses. They are also introducing a low inventory level fee and increasing LTSF fees and aged inventory fees.

Q: How will the new fees affect sellers?

Sellers who consistently have low FBA inventory will be charged a fee for not shipping in enough products. Fees for products with high return rates, such as apparel and shoes, will also increase.

Q: Are there any positive changes for sellers?

Yes, Amazon will reduce referral fees for apparel products priced below $20, and there will be a new lower pricing structure for Amazon Vime.

Q: What should sellers do to avoid or reduce inbound placement service fees?

Sellers can use the discounted FBA inbound placement service by shipping inventory to multiple locations across Amazon's network. This will help reduce or eliminate the fees.

Summary & Key Takeaways

• Amazon is charging additional fees for fulfillment center transfers and offering discounts for shipping to multiple warehouses.

• A low inventory level fee will be introduced for sellers who consistently have low FBA inventory.

• LTSF fees and aged inventory fees will increase, and fees for products with high return rates, like apparel and shoes, will also go up.