Amazon Marketplace Fees (What Are They + Other FAQs)
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Amazon marketplace fees are one of many costs you must consider when selling on Amazon.
Understanding how these fees work will help sellers set more accurate prices for their products and save money in the process. Read on as we break down how Marketplace fees work and what they cover!
2022 Amazon Marketplace Fees
There are four categories of fees sellers must be aware of on Amazon: Referral Fees, Account Fees, Fulfillment Fees, and Storage Fees [currentyear]. Each type of fee has different criteria for determining the fee amount, which often confuses sellers. For sellers to be successful on Amazon, they must understand when and how they are charged.
To see the categories of Amazon Marketplace fees, why they are charged, and more, read on!
What are Amazon selling related fees?
When you sell products on Amazon, there are three types of sales-related fees you can pay: Referral Fee, Minimum Referral Fee, and Closing Fee.
Since these rates vary by item category and selling price, it can be a bit of a research effort to find out what the exact cost is!
Below is an overview of the potential fees in each category.
Seller Fee Type | how much to charge | fee basis |
Referral fee | Sellers must pay a referral fee of 6% to 45% of the sale price (most sellers pay 15%), and if their referral fee falls below the minimum referral fee, they will be charged more. | category |
Minimum referral fee | Sellers will be charged up to $2 if the referral fee is less than Amazon’s minimum referral fee. | category |
variable settlement fee | $1.80 | All media categories |
What is the Amazon Referral Fee and Minimum Referral Fee?
Amazon sellers pay a referral fee for each item sold, whether you sell through a personal or professional account.
Two things determine your referral fee: the product category and the selling price of the item. For most sellers, it’s calculated as 15%, but it ranges from 6% to 45%.
What is the Amazon closing fee?
For items in the media category, there is an additional closing fee of $1.80 in addition to the referral fee. Some of the things that are assessed as closing costs are:
- books
- DVD
- music
- Software and Computer/Video Games
- video
- video game console
What are the Amazon seller account fees?
Amazon offers two types of Amazon seller accounts to meet the specific selling needs of low-volume individual and high-volume business sellers.
In the table below, sellers can find the fee amounts and monthly listing fees for each type of Amazon seller account.
Amazon Seller Account Types | best choice | Monthly fee amount | Listing fee amount |
individual seller | Individual and occasional commercial sellers | $0 | 99 cents per item sold |
Professional seller | Business and volume sellers | $39.99 | $0 |
The monthly fee for the next month will be charged in advance but can be cancelled at any time by logging into your seller account and going to “Your Account”.
What are the Amazon shipping credits and costs for sellers?
While shipping credits and fees are not seller fees, sellers can pay dearly if they’re not careful!
Also, when Amazon pays sellers for shipping, their shipping is often lower than what the sellers pay for shipping themselves.
To avoid spending all your profits on shipping costs, find out how much credit Amazon will give per product before selling any!
Above, sellers can find the shipping credits Amazon offers for shipping within the US.
Figuring out your shipping credit and comparing it to the actual cost of sending an item is critical in determining whether you can make a profit on each item.
While many sellers find that Amazon may be the ideal marketplace for some products, it’s not necessarily for everything you sell!
What are Fulfillment by Amazon (FBA) fees?
For Amazon sellers looking for a more hands-off approach, Amazon offers Amazon FBA fulfillment.
FBA is a service that allows you to ship inventory to Amazon’s fulfillment centers, which will store it for you.
Once your product is sold, Amazon will package and ship the item to the customer, and send you payment for the sale.
Although Amazon charges fees to use FBA, many people believe that certain items are worth investing in.
However, before joining FBA, be aware of the total charges you pay to store and ship your products, as these vary by product size and weight.
Overall, Amazon’s FBA fees are pretty simple — picking, packing, and shipping costs are all combined into one fee.
Additionally, there are FBA fees for inventory storage, which include return processing for items returned to Amazon.
What are the Amazon FBA inventory storage fees?
In addition to referral, account, and fulfillment fees, FBA charges additional inventory storage fees.
FBA inventory storage fees are for storing your products in Amazon warehouses.
Effective February 1, 2022, Amazon has changed the monthly FBA inventory storage fee schedule.
To learn more, you can also read our posts on Amazon Marketplace return policy, what is the Amazon referral fee, and what is Amazon Seller Central.
in conclusion
Amazon marketplace fees can be a difficult subject for sellers to understand
understand. This guide reviews what Amazon sellers need to know about referral, account, fulfillment, and storage fees.
Getting these fees right is critical for sellers looking to profit from Amazon sales!