When we talk about the FBA fee on Amazon, it changes every year. This fee includes the amount that is charged per unit for finding, labeling, and shipping products to customers all over the world. You can determine this fee on the basis of the size of the item to be shipped. Not only its size but also its weight.
Many people are curious to know would there be any changes in the FBA fee this year. The answer is yes but it is undoubtedly not enough. If you are interested to know the reason behind it and the percentage of this change, then you must read this guide till the end. You will surely get the answers to all your questions regarding it.
So, what are you waiting for then? Let’s begin!
FBA Outbound Fee
It is expected that the FBA outbound fee will be increased by 0.22 dollars on average this year. The FBA fulfillment fee will be reverted back to the non-peak period rates where all the rates include a 5% fuel along with the inflation surcharge. For your information, the peak fulfillment fee is not applied to the FBA Small and Light program.
Let us tell you that on 16th February 2023, apparel products will start using the greater unit weight for calculating the shipping weight for all types of products no matter what the category is.
Increase in Storage Fees
In 2023, fees for storage on Amazon will be increased. It includes off-peak and peak storage fees where the increase will take place monthly. When we talk about off-peak storage fees, it will take place from January to September when there will be an increase of 0.04 dollars per cubic foot. And when we talk about peak storage fees that will take place from October to December. During this period, there will be an increase of 0.2 dollars per cubic foot for a non-sortable network.
Reduced Returns Processing Fees for Shoes and Apparel
In 2023, there will be a reduction in returns processing fees for apparel and shoes on Amazon where this fee is also included in FBA cost. This rate would be approximately 0.2 dollars per return.
Fuel and Inflation Surcharge
Fuel and Inflation Surcharge for Amazon FBA fees was introduced earlier this year. It also includes a storage utilization surcharge which has been introduced for suppliers with a high cube of inventory stored in the fulfillment centers of Amazon relative to the cube of the seller’s weekly sales. This change will take effect on about 8% of the sellers on 1st April 2023.
Let us tell you that the reduction in the Fuel and Inflation Surcharge will be helpful in lowering the fees in different programs offered related to Amazon. For example, U.S. FBA New Selection Program’s sales will be increased for eligible new-to-FBA parent ASINs.
For your information, there will be an increase in the surcharges that are applied to the inventory stored for about 271 to 365 days. On 15th April 2023, a new surcharge will be introduced. If you want to stay updated about it, you must consult Scale Fortune. No doubt, it is one of the best companies that can provide you with the best private label services, FBA-related information, and many other Amazon-related services you need.
Let us tell you that the newly introduced inventory surcharge includes the charges applied to the inventory stored between 180 to 270 days that excluded product categories such as watches, jewelry, bags, shoes, and apparel.
What To Do With Increased FBA Fee?
If you are an Amazon seller, you can not do much about FBA fulfillment fees increasing. But you can work on the optimization of your business strategies that revolves around sizes, categories, and the success of the products you are selling for enhancing profitability.
Amazon sellers must be aware of what is going on in the market no matter if it is related to the products, selling strategies, or FBA fees. There are a lot of chances that the FBA fee will be changed in 2023 considering different factors. We have explained them all and hope this guide would be helpful to you!