How Much Does Amazon Take from Sellers?

Amazon, one of the world's largest online marketplaces, charges various fees to sellers to use its platform. These fees can vary depending on the type of product, selling plan, and other factors. Generally, Amazon takes a percentage of each sale made through its platform, but the exact amount can vary. The primary fees include the referral fee, which is a percentage of the sale price, and additional fees such as closing fees and fulfillment fees for those using Amazon's FBA (Fulfillment by Amazon) service.

Referral Fee: The referral fee is a percentage of the total sales price, including the item price and any shipping or gift-wrapping charges. This fee varies by category but typically ranges from 6% to 45%. For most categories, the fee is around 15%. For example, electronics might have a referral fee of 8%, while clothing could be around 17%.

Closing Fee: For media items such as books, music, and DVDs, Amazon charges a closing fee in addition to the referral fee. This fee is generally around $1.80 per item.

Fulfillment Fees: If sellers use Amazon's FBA service, they are charged for storage and fulfillment. The storage fee is based on the volume of inventory stored in Amazon's warehouses, and the fulfillment fee is based on the size and weight of the item. Fulfillment fees typically range from $2.50 to $5.00 per unit for standard-size items, and more for oversized items.

Additional Fees: Depending on the selling plan and services used, sellers might encounter other fees, such as high-volume listing fees, rental book service fees, or professional seller account fees, which are usually $39.99 per month.

Understanding these fees is crucial for sellers to accurately price their products and maintain profitability. To give a clearer picture, here is a simplified table illustrating the various fees based on a hypothetical sale:

Fee Type	Example Product Price	Referral Fee (15%)	Closing Fee	Fulfillment Fee	Total Fee
Electronics	$100	$15	N/A	$3.00	$18.00
Clothing	$100	$17	N/A	$3.00	$20.00
Book	$20	$3.00	$1.80	$3.00	$7.80

Sellers must consider these fees when planning their business strategy to ensure they can cover costs and remain competitive in the market. Keeping track of all the fees and adjusting prices accordingly can help maintain profitability and success on the Amazon platform.