Amazon Fees
Amazon is the ideal platform for sellers who are looking to increase their sales, have a greater reach and save thousands of dollars in distribution costs.
Every day, millions of sellers choose to make their products available to more than 300 million active buyers on the platform. In order for Amazon to store and distribute their products, sellers have to purchase plans and pay fees depending on the needs of their business.
If you want your business to start selling on Amazon, you should know the available selling plans of Amazon stores, and choose the option that best suits your business.
Amazon offers Individual or Professional plans: depending on the number of products you sell per month, you can choose the plan that suits your business model.
For each item sold on the platform, Amazon charges a Referral Fee, this fee varies according to the product category and other product specific details.
Shipping of products can be done by you - the seller Fulfillment by Merchant, or you can choose to have Amazon handle the shipping, customer service, and customer returns by using Fulfillment by Amazon (FBA).
Selling Plans
Selling plans are flexible and allow you to choose between paying per product sold or fixed charges per month. These plans can be canceled or changed at any time as the business needs change.
Individual Plan
- $0.99per item sold (+ additional selling fees)
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This plan is ideal for companies that: sell less than 30 products per month, do not manage large inventories, do not use advertisements or use advanced tools, or simply do not yet decide what to sell.
Professional Plan
- $39.99 a month (+ additional selling fees)
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This plan is Ideal for companies that: sell more than 30 products, advertise their products, use advanced sales tools, and want to appear in the first search results related to their products.
Referral Fees
In addition to the Selling Plan you have chosen, for each product sold Amazon charges Referral Fees according to the category to which the product belongs. On average, the Referral Fees range from 8% to 15% with a minimum Referral Fee of $ 0.30.
The Referral Fees for some of the most popular categories are:
Toys and Games:
Referral fee percentage: 15%
Referral fee minimum: $0.30
Consumer Electronics:
Referral fee percentage: 8%
Referral fee minimum: $0.30
Video Game Consoles:
Referral fee percentage: 8% + $1.80 closing fee
Referral fee minimum: $0.30
Office Products:
Referral fee percentage: 15%
Referral fee minimum: $0.30
Everything Else:
Referral fee percentage: 15%
Referral fee minimum: $0.30
There are many more categories available, sellers need to make sure not to place their products in the "Everything Else" section without first making sure that there is no category that matches their products.
Fulfillment Fees
Fulfillment costs vary depending on whether you have decided to take care of the shipments yourself (FBM) or use Fulfillment by Amazon (FBA)
Fulfillment By Seller
For the Fee calculation, the type of product, type of shipping Domestic (Standard, Expedited or Two Day) or International (Standard or Expedited) is taken into account. All shipping and handling charges are borne by the seller.
Fulfillment By Amazon
This fee includes delivery, packaging, shipping, customer service and product returns. The calculation takes into account the Size Tier, Maximum Dimensions, Shipping Weight and Packaging.
Fulfillment By Amazon also has a Storage Fee for all the products that are stored at Amazon’s warehouse:
January - September: $ 0.75 per cubic foot for Standard Size.
September - January: $ 2.40 per cubic foot for Standard Size.
If you want to know more about all the features of each selling plan, all Category Referral Fees, specific costs and additional shipping costs, contact the experts at Mrkt360 now. We will provide you with the information and knowledge you need to make the best decision and start selling on Amazon now!
