How Much Does Amazon Charge to Sell?

When considering selling products on Amazon, it's essential to understand the various fees associated with using the platform. Amazon's fee structure can be complex, but breaking it down can help sellers make informed decisions and manage their costs effectively. Amazon charges sellers in multiple ways, including referral fees, subscription fees, and fulfillment fees. Let's explore these fees in detail to get a clearer picture of how much it costs to sell on Amazon.

Referral Fees

Referral fees are a percentage of the total sales price (including the item price and any shipping costs) that Amazon charges sellers for each item sold. The percentage varies depending on the product category. Most categories have a referral fee between 6% and 45%, with the majority falling between 15% and 20%. Here’s a general overview of referral fees by category:

Category	Referral Fee Percentage
Apparel & Accessories	17%
Electronics	8%
Home & Kitchen	15%
Books	15%
Jewelry	20%
Health & Personal Care	15%

Subscription Fees

Amazon offers two types of selling plans: Individual and Professional.

• Individual Plan: This plan does not have a monthly subscription fee. Instead, sellers pay $0.99 per item sold. This plan is ideal for those who sell fewer items per month.

• Professional Plan: This plan costs $39.99 per month, regardless of the number of items sold. It is suited for high-volume sellers or those who require advanced selling tools and reports.

Fulfillment Fees

If you use Amazon's Fulfillment by Amazon (FBA) service, there are additional fees. FBA fees cover the cost of storing, picking, packing, and shipping products. There are two main types of FBA fees:

• Fulfillment Fees: These fees are charged per unit and vary based on the size and weight of the product. For standard-size items, the fee is typically around $2.50 to $5.00 per unit, while for oversized items, it ranges from $8.00 to $75.00 per unit.

• Monthly Storage Fees: These fees are based on the amount of space your inventory occupies in Amazon’s warehouses. Monthly storage fees for standard-size items are about $0.75 per cubic foot from January to September and $2.40 per cubic foot from October to December. For oversized items, the rates are $0.48 per cubic foot from January to September and $1.20 per cubic foot from October to December.

Additional Fees

Sellers might also incur additional fees depending on their specific situation, including:

• High-Volume Listing Fee: This fee applies to sellers who list a large number of items and need advanced listing tools. The cost is typically $0.05 per listing.

• Rental Book Service Fee: If you sell rental books, Amazon charges a fee of 15% of the rental price.

• Refund Administration Fee: If you issue a refund to a customer, Amazon charges a fee of $5.00 or 20% of the refund amount, whichever is less.

Cost Management Strategies

To manage these fees effectively, sellers should:

1. Regularly review their sales and fees reports to track costs and identify opportunities for optimization.
2. Optimize their product listings to reduce costs associated with returns and refunds.
3. Consider using Amazon's tools and resources, such as the FBA Calculator, to estimate fees and plan pricing strategies.

By understanding and managing these fees, sellers can better assess their profitability and make informed decisions about their Amazon business. Keeping track of all associated costs is crucial for running a successful selling operation on Amazon and ensuring that your business remains profitable.