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Regarding Inventory Placement Fees 2024

by Seller_FfMLv12BQFaVB

I need assistance from the Seller Central community. I am preparing to send a shipment for my product, which is running low in stock. My concern pertains to placement fees. As I create the shipment plan, I am unable to locate options for selecting minimum shipment splits, partial shipment splits, and Amazon optimized shipment splits. Is this entirely at Amazon's discretion when I ship out my new stock? Or will I have the opportunity to choose multiple warehouses to decrease the placement fee? Any guidance would be greatly appreciated. I apologize if this sounds naive, but I am seeking direction on this matter.

Thank you!

Tags: FBA, Fulfillment, Shipping, Shipping costs
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Seller_rI7BZIczK8iAC
In reply to: Seller_FfMLv12BQFaVB's post

I think you are confusing something. The Inventory placement fee is -.30 per unit and that allows you to send your shipment to ONE warehouse. You cannot chose the warehouse, it is defined by the shipping plan.

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Seller_FfMLv12BQFaVB
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decrease the placement fee?

There is no such thing. IN CASE you want to use Inventory placement you have to set your account in this way BEFORE CREATING THE SHIPPING PLAN and the fee is always -.30 per unit. No way to decrease or increase.

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Seller_FfMLv12BQFaVB
In reply to: Seller_FfMLv12BQFaVB's post

Does anyone know if there's an option when creating the shipping plans of sending the shipments to multiple warehouses instead of the one warehouse?

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Seller_FfMLv12BQFaVB
In reply to: Seller_FfMLv12BQFaVB's post

I would really like to know how do we know where to send our shipment. Will there be an option in the shipping plan to ship to multiple different warehouses to save on the inbound placement fee's?? , or does amazon decide this themselves?

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Seller_JwNE0xOCYbibW
In reply to: Seller_FfMLv12BQFaVB's post

I don't see it charging me OR telling me where to ship and how to split my shipments. Am I doing this wrong? Do we still do this through Shipments/Send to Amazon?

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Seller_TTG0TX5GOhqmW
In reply to: Seller_FfMLv12BQFaVB's post

The OLD setting to change between '1 center" or "many centers" is under the Gear icon in Seller Central (top right) then choose

Fulfillment by Amazon -> Inbound Settings -> Inventory Placement Options

In theory today, March 1st, that setting will be changing to a new setting that will include 3 options:

1 center (* big fee)

2-3 centers (* smaller fee)

4+ centers (* no fee)

At least that is our understanding... however as of 7:50 AM EST the change has not happened yet.

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Seller_TTG0TX5GOhqmW
In reply to: Seller_FfMLv12BQFaVB's post
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Seller_Rn2Wp18w9HiyF
In reply to: Seller_FfMLv12BQFaVB's post

When I tried it you have to manually split up the inventory into multiple boxes in order to qualify for the reduced fees if all your inventory will fit in one box that is. However, there was not much savings in doing that because of the increased shipping and box cost. You really need to have a shipment that is multiple boxes to begin with in order to benefit from the discounts. Otherwise, just ship it in one box and pay the piper.

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Seller_RVv3EUB85zEUX
In reply to: Seller_FfMLv12BQFaVB's post

I set my inventory settings as such:

I split my shipment into 4 boxes of roughly equal #s (44, 44, 43, 43)

And guess what, no option to pay any less than the upper fee range at $0.21 per unit. All I have the option to do is pay even more on shipping.

This is a joke, but I'm not surprised at all.

I'm not even given the option to not pay fees, and the supposed mid-tier discount on fees for partial split don't even exist.

And yes I made sure to create a brand new workflow **after** I changed my settings to make sure that wasn't a factor.

The cheapest option I have is to stick with a one box shipment, which would have cost only $7.71 before, but now costs $44.25, a 573% increase.

Edit: I'm sure the $14.00 or so I'll save on storage fees each month will go a long way to cover the additional $1,000.00+ in additional shipping fees I will be paying every month from here on out. Thank god for that. (/sarcasm)

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Seller_VJiXeUmrkuiwa
In reply to: Seller_FfMLv12BQFaVB's post

THIS IS INSANE! 100 units in one box, shipping is $14.95, placement fee is $230!!! NOT $23, but $230!! This is a Joke Amazon, there is no way we can survive. We won't be able to ship anything until it is fixed.

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Seller_RVv3EUB85zEUX
In reply to: Seller_FfMLv12BQFaVB's post

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Seller_VJiXeUmrkuiwa
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THIS IS INSANE! 100 units in one box, shipping is $14.95, placement fee is $230!!! NOT $23, but $230!! This is a Joke Amazon, there is no way we can survive. We won't be able to ship anything until it is fixed.

It will be really something special to watch Amazon justify still charging these fees on inventory lost during receiving, since they already still charge such fees for labeling and prep services even when they lose the entire contents of the box.

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