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Amazon raises fees for the holidays – August 23, 2022

Posted by Jimi Patel | August 24, 2022

In an effort to offset surging costs, Amazon announces an FBA fee hike during the holiday season. From October 15 to January 14, third-party sellers enrolled in and using FBA will have to pay 35 cents per item sold in the USA or Canada. These extra charges will top off sellers’ existing fulfillment fees for using FBA services.

Their official announcement read:

“As we look ahead and prepare for the busy holiday shopping season, we expect greater utilization of our fulfillment network. Across the supply chain, this creates increased operating costs during this holiday peak period.

As a result, similar to other major carriers, we will introduce a holiday peak fulfillment fee from October 15, 2022, to January 14, 2023. The fee will be an average of USD 0.35 per item sold using the US and Canada FBA.”

In its defense, Amazon said they have “previously absorbed these cost increases,” but seasonal expenses are reaching new heights. Sellers have been using Amazon’s fulfillment services to shield themselves from the peak season fee hike charged by other carriers such as FedEx and the U.S. Postal Service. But with this new announcement, it seems like Amazon is passing on the burden of increasing operating costs to sellers. The company has already announced a 5% fuel and inflation surcharge in April after hiking fees in January.

Amazon has ensured sellers that despite the fee hikes, their fulfillment services remain 70% less expensive on average than comparable two-day shipping alternatives.

Schedule a meeting with your amazon seller consultant to discuss the further steps.