Are you aware of the FBA fee? If not, let us tell you it is the fees that are needed to be paid to Amazon in order to have it fulfill your order or requirements. It includes all the processes like packing the products, shipping them, and providing them to the customers. It may also include the return process of the products.
For your information, the FBA fee also gets increases with the passage of time. It is also directly proportional to the costs of the recent growth of Amazon. Amazon has decided to increase its FBA fee which depends upon the size and weight of the products of the sellers.
Rise In FBA Fee Plan
Amazon has decided to increase its FBA fee from 15th October. For your information, Amazon will charge 5.06 dollars from October 15 to January 14 for the fulfillment of items that weigh about 1lb.
The rise in the FBA fee plan also includes the introduction of an aged inventory surcharge for those units that will be stored in fulfillment centers for about 271 to 365 days. Those products that will be stored for more than 365 days will be charged with the aged inventory surcharge.
How To Lower Amazon FBA Fee
Many people wonder how they can lower the Amazon FBA fee, here is the answer to their query. First, you have to send only particular items or products to an Amazon Fulfillment Centre. Then, you have to monitor your inventory performance dashboard closely.
At last, you can sell all the selected items in the bundle. This process might be quite tricky for you but there is nothing to worry about when the option of Scale Fortune is available to you. It is a company that is well-known for its Amazon-related services such as a private label.
You do not have to worry about the growth of your Amazon business once you consider this company!
Common Types of FBA Fees
Majorly, there are two types of FBA fees that are charged by Amazon. Let’s have a look at them!
- Fulfillment Fees
Fulfillment fees include the costs of shipping and packing the products. It also includes the customer service cost too. If any product is returned by the customer, its cost is also included in the whole package.
- Monthly Inventory Storage Fees
Monthly inventory storage fees include the cost of storing the items in warehouses of Amazon. These warehouses are also known as fulfillment centers.
Why People Consider Amazon FBA
No matter if Amazon FBA has a specific fee, people still prefer it to grow their businesses. Some people learn the business growth techniques themselves while others consider the Amazon service providers that help people grow their businesses on Amazon.
Here are some important reasons you should consider Amazon FBA:
- The reputation of Amazon is very good as customers trust this platform. After placing their order, they are pretty sure they will get their order in days.
- Amazon FBA allows sellers to send their products to customers with super-fast shipping service. You can compete with your biggest competitors with the help of a fast shipping service.
- Amazon FBA is a one-stop shop as it allows you to manage a warehouse, ship teams, and customer service representatives.
- When you consider Amazon FBA, all your business products get processed, delivered, and returned timely. So, paying the FBA fee is worth it!
Amazon FBA Fee Calculator
Do you know how the FBA fee is calculated? Aren’t you curious to know about its calculator? If yes, then you must move forward to learn about this fee calculator. Learn how to use Amazon’s FBA fee calculator!
Using Amazon’s fee calculator does not include rocket science as it is pretty straightforward. First, you have to find the items or products that you want to sell on Amazon. Enter the estimated weight of those products and packaging dimensions.
Next, you have to plug in the self-fulfillment details including the price of the products, storage fees, sold goods’ costs, and shipping costs. Click on the Calculate button when you are done putting all the little details about the products you have chosen to sell.
To conclude, you must know about the FBA fee and its importance in Amazon. The rise in this fee depends upon the growth of Amazon and it works on the rule of first in first out. We hope this guide will be helpful for you if you are an Amazon seller.