Update to US FBA fulfillment fees starts April 28
Since the start of the pandemic, we have significantly invested in Amazon’s store and fulfillment operations to better support you and our customers. We’ve nearly doubled fulfillment capacity, added over 750,000 full- and part-time roles, and our average hourly wage in the US has climbed from $15 to $18. These investments enabled tremendous growth for sellers, who have increased sales in our store by more than 70% during this time.
Like many, we have experienced significant cost increases and we have absorbed them, wherever possible, to reduce the impact on our selling partners. When we did increase fees, we were focused on addressing permanent costs and ensuring that our fees were competitive with those charged by other service providers. In 2022, we expected a return to normalcy as COVID-19 restrictions around the world eased, but fuel prices and inflation have presented further challenges. It’s still unclear if these inflationary costs will go up or down, or for how long they will persist. Rather than a permanent fee change, we will be employing a fuel and inflation surcharge for the first time—a mechanism broadly used across supply chain providers.
Beginning April 28, we will implement a fuel and inflation surcharge of 5% on top of our current Fulfillment by Amazon (FBA) fulfillment fee per-unit rates. We know that changing fees affects your business. Our teams are working each and every day to ensure that FBA remains a great value for the premium fulfillment and delivery service it provides. Since 2020, and inclusive of this change, Amazon has increased fulfillment rates less than other carriers and continues to cost significantly less than alternatives.
For more information, go to 2022 US FBA fulfillment fee changes.
Thank you for your understanding, and we look forward to our continued partnership.
0 replies
Seller_Hp6fC7PtyPMFa
It’s funny how all these American companies justify higher prices by claiming increased costs yet when it’s time to report their earnings they’re all reporting record profits.
Seller_H6Zg7YhbLFtxU
So is this 5% on pick, pack ship fees only? Or does it also increase our storage, inventory placement, removal, destroy, etc fees as well? This makes a huge difference as we need to account for all of it in our pricing structures.
Thanks,
TJB
Seller_GUAOqRYicSfGk
We will have to do less FBA then. We’re getting squeezed from every direction right now, and something has to give. We’re actively assessing whether doing business with Amazon in the capacity we’re currently doing business with Amazon, makes sense anymore. It’s the least profitable part of our business by a mile. Likely what this means is that lower margin items, which is about half of what we sell on Amazon, will be removed from Amazon. On those items, we are often the only seller on Amazon, and raising prices isn’t an option. Funny, when we raise prices, Amazon often removes the buy box. When they raise prices, it’s the cost of doing business.
Seller_w9anO0M8iPFUa
Wow, can I charge Amazon and inflation surcharge for their charges against me? They literally do nothing but collect income from other peoples products what a gimmick. God I hate this site.
Seller_GUAOqRYicSfGk
Also, an inflation surcharge is ridiculous. Prices aren’t ever going to decline, so adding an inflation surcharge is silly time. It’s a price hike, call it what it is. We’re not stupid.
Seller_GLo4Th5ghVJb3
How do you expect us to do FBA, then? The fees were already too high. I’m already paying Fulfillment fee about $5 for an item that I sell for $9. Not even talking about other expenses.
Seller_wb4FffyknH7Lh
My chief complaint here is timing. They’re giving us 15 days notice. It’s not enough time.
I’m pretty certain that we’re stuck in an inflationary spiral until we’re hit by a significant recession. I’m just going to pass the cost increase to the customer and hold-on for better times.
Update to US FBA fulfillment fees starts April 28
Since the start of the pandemic, we have significantly invested in Amazon’s store and fulfillment operations to better support you and our customers. We’ve nearly doubled fulfillment capacity, added over 750,000 full- and part-time roles, and our average hourly wage in the US has climbed from $15 to $18. These investments enabled tremendous growth for sellers, who have increased sales in our store by more than 70% during this time.
Like many, we have experienced significant cost increases and we have absorbed them, wherever possible, to reduce the impact on our selling partners. When we did increase fees, we were focused on addressing permanent costs and ensuring that our fees were competitive with those charged by other service providers. In 2022, we expected a return to normalcy as COVID-19 restrictions around the world eased, but fuel prices and inflation have presented further challenges. It’s still unclear if these inflationary costs will go up or down, or for how long they will persist. Rather than a permanent fee change, we will be employing a fuel and inflation surcharge for the first time—a mechanism broadly used across supply chain providers.
Beginning April 28, we will implement a fuel and inflation surcharge of 5% on top of our current Fulfillment by Amazon (FBA) fulfillment fee per-unit rates. We know that changing fees affects your business. Our teams are working each and every day to ensure that FBA remains a great value for the premium fulfillment and delivery service it provides. Since 2020, and inclusive of this change, Amazon has increased fulfillment rates less than other carriers and continues to cost significantly less than alternatives.
For more information, go to 2022 US FBA fulfillment fee changes.
Thank you for your understanding, and we look forward to our continued partnership.
Update to US FBA fulfillment fees starts April 28
Since the start of the pandemic, we have significantly invested in Amazon’s store and fulfillment operations to better support you and our customers. We’ve nearly doubled fulfillment capacity, added over 750,000 full- and part-time roles, and our average hourly wage in the US has climbed from $15 to $18. These investments enabled tremendous growth for sellers, who have increased sales in our store by more than 70% during this time.
Like many, we have experienced significant cost increases and we have absorbed them, wherever possible, to reduce the impact on our selling partners. When we did increase fees, we were focused on addressing permanent costs and ensuring that our fees were competitive with those charged by other service providers. In 2022, we expected a return to normalcy as COVID-19 restrictions around the world eased, but fuel prices and inflation have presented further challenges. It’s still unclear if these inflationary costs will go up or down, or for how long they will persist. Rather than a permanent fee change, we will be employing a fuel and inflation surcharge for the first time—a mechanism broadly used across supply chain providers.
Beginning April 28, we will implement a fuel and inflation surcharge of 5% on top of our current Fulfillment by Amazon (FBA) fulfillment fee per-unit rates. We know that changing fees affects your business. Our teams are working each and every day to ensure that FBA remains a great value for the premium fulfillment and delivery service it provides. Since 2020, and inclusive of this change, Amazon has increased fulfillment rates less than other carriers and continues to cost significantly less than alternatives.
For more information, go to 2022 US FBA fulfillment fee changes.
Thank you for your understanding, and we look forward to our continued partnership.
0 replies
0 replies
Seller_Hp6fC7PtyPMFa
It’s funny how all these American companies justify higher prices by claiming increased costs yet when it’s time to report their earnings they’re all reporting record profits.
Seller_H6Zg7YhbLFtxU
So is this 5% on pick, pack ship fees only? Or does it also increase our storage, inventory placement, removal, destroy, etc fees as well? This makes a huge difference as we need to account for all of it in our pricing structures.
Thanks,
TJB
Seller_GUAOqRYicSfGk
We will have to do less FBA then. We’re getting squeezed from every direction right now, and something has to give. We’re actively assessing whether doing business with Amazon in the capacity we’re currently doing business with Amazon, makes sense anymore. It’s the least profitable part of our business by a mile. Likely what this means is that lower margin items, which is about half of what we sell on Amazon, will be removed from Amazon. On those items, we are often the only seller on Amazon, and raising prices isn’t an option. Funny, when we raise prices, Amazon often removes the buy box. When they raise prices, it’s the cost of doing business.
Seller_w9anO0M8iPFUa
Wow, can I charge Amazon and inflation surcharge for their charges against me? They literally do nothing but collect income from other peoples products what a gimmick. God I hate this site.
Seller_GUAOqRYicSfGk
Also, an inflation surcharge is ridiculous. Prices aren’t ever going to decline, so adding an inflation surcharge is silly time. It’s a price hike, call it what it is. We’re not stupid.
Seller_GLo4Th5ghVJb3
How do you expect us to do FBA, then? The fees were already too high. I’m already paying Fulfillment fee about $5 for an item that I sell for $9. Not even talking about other expenses.
Seller_wb4FffyknH7Lh
My chief complaint here is timing. They’re giving us 15 days notice. It’s not enough time.
I’m pretty certain that we’re stuck in an inflationary spiral until we’re hit by a significant recession. I’m just going to pass the cost increase to the customer and hold-on for better times.
Seller_Hp6fC7PtyPMFa
It’s funny how all these American companies justify higher prices by claiming increased costs yet when it’s time to report their earnings they’re all reporting record profits.
Seller_Hp6fC7PtyPMFa
It’s funny how all these American companies justify higher prices by claiming increased costs yet when it’s time to report their earnings they’re all reporting record profits.
Seller_H6Zg7YhbLFtxU
So is this 5% on pick, pack ship fees only? Or does it also increase our storage, inventory placement, removal, destroy, etc fees as well? This makes a huge difference as we need to account for all of it in our pricing structures.
Thanks,
TJB
Seller_H6Zg7YhbLFtxU
So is this 5% on pick, pack ship fees only? Or does it also increase our storage, inventory placement, removal, destroy, etc fees as well? This makes a huge difference as we need to account for all of it in our pricing structures.
Thanks,
TJB
Seller_GUAOqRYicSfGk
We will have to do less FBA then. We’re getting squeezed from every direction right now, and something has to give. We’re actively assessing whether doing business with Amazon in the capacity we’re currently doing business with Amazon, makes sense anymore. It’s the least profitable part of our business by a mile. Likely what this means is that lower margin items, which is about half of what we sell on Amazon, will be removed from Amazon. On those items, we are often the only seller on Amazon, and raising prices isn’t an option. Funny, when we raise prices, Amazon often removes the buy box. When they raise prices, it’s the cost of doing business.
Seller_GUAOqRYicSfGk
We will have to do less FBA then. We’re getting squeezed from every direction right now, and something has to give. We’re actively assessing whether doing business with Amazon in the capacity we’re currently doing business with Amazon, makes sense anymore. It’s the least profitable part of our business by a mile. Likely what this means is that lower margin items, which is about half of what we sell on Amazon, will be removed from Amazon. On those items, we are often the only seller on Amazon, and raising prices isn’t an option. Funny, when we raise prices, Amazon often removes the buy box. When they raise prices, it’s the cost of doing business.
Seller_w9anO0M8iPFUa
Wow, can I charge Amazon and inflation surcharge for their charges against me? They literally do nothing but collect income from other peoples products what a gimmick. God I hate this site.
Seller_w9anO0M8iPFUa
Wow, can I charge Amazon and inflation surcharge for their charges against me? They literally do nothing but collect income from other peoples products what a gimmick. God I hate this site.
Seller_GUAOqRYicSfGk
Also, an inflation surcharge is ridiculous. Prices aren’t ever going to decline, so adding an inflation surcharge is silly time. It’s a price hike, call it what it is. We’re not stupid.
Seller_GUAOqRYicSfGk
Also, an inflation surcharge is ridiculous. Prices aren’t ever going to decline, so adding an inflation surcharge is silly time. It’s a price hike, call it what it is. We’re not stupid.
Seller_GLo4Th5ghVJb3
How do you expect us to do FBA, then? The fees were already too high. I’m already paying Fulfillment fee about $5 for an item that I sell for $9. Not even talking about other expenses.
Seller_GLo4Th5ghVJb3
How do you expect us to do FBA, then? The fees were already too high. I’m already paying Fulfillment fee about $5 for an item that I sell for $9. Not even talking about other expenses.
Seller_wb4FffyknH7Lh
My chief complaint here is timing. They’re giving us 15 days notice. It’s not enough time.
I’m pretty certain that we’re stuck in an inflationary spiral until we’re hit by a significant recession. I’m just going to pass the cost increase to the customer and hold-on for better times.
Seller_wb4FffyknH7Lh
My chief complaint here is timing. They’re giving us 15 days notice. It’s not enough time.
I’m pretty certain that we’re stuck in an inflationary spiral until we’re hit by a significant recession. I’m just going to pass the cost increase to the customer and hold-on for better times.
