Fulfillment by Amazon – 2019 Changes You Should Know
With the new year comes new FBA fees for Amazon sellers. Beginning on February 15th, Amazon is making a few changes to fulfillment, storage, and referral fees for this year. Here’s a quick overview of the changes that could potentially affect your account.
2019 FULFILLMENT FEE CHANGES
Starting February 19th, there will be a small increase in fulfillment fees for products that are in cost tiers greater than 10 oz. to reflect the cost of fulfillment and transport. There will also be changes in dimensional billing weight for oversize items.
New separate fulfillment fees for dangerous goods (those that are flammable, aerosol substances, or lithium-ion batteries) will be added. Lastly, in September 2019 expect to see a discount of 5 to 10% per item added to the subscribe and save program.
2019 STORAGE FEE CHANGES
Long-term storage fees: Starting February 15th, there will be no fees for units that have been at the fulfillment center for 181 to 365 days. The last charge for those holding units at the fulfillment center during this time period is January 15, 2019. There will continue to be long term storage fees for those units that are stored for more than 365 days.
New separate fulfillment fees for dangerous goods (those that are flammable, aerosol substances, or lithium-ion batteries) will be added. Lastly, in September 2019 expect to see a discount of 5 to 10% per item added to the subscribe and save program.
2019 STORAGE FEE CHANGES
Long-term storage fees: Starting February 15th, there will be no fees for units that have been at the fulfillment center for 181 to 365 days. The last charge for those holding units at the fulfillment center during this time period is January 15, 2019. There will continue to be long term storage fees for those units that are stored for more than 365 days.
Minimum Long-term storage fees: Starting February 15th, the last minimum long-term storage fee for units at the fulfillment center more than 365 days will be reduced from $0.50 per unit to $0.15 per unit. January 15, 2019 is the last date for $0.50 per unit charges.
Monthly inventory storage: Starting April 2019, there will be separate monthly storage charges for dangerous goods (those that are flammable, aerosol substances, or lithium-ion batteries) starting with those stored in March 2019. There will be no changes to monthly inventory storage fees for other products.
2019 REFERRAL FEE CHANGES
Referral fees are based off changes in the industry costs and functions. More information concerning specific categories can be found here.
FAQ
- Will the fulfillment fee changes be applied to products ordered before February 19, 2019?
When the shipments leave Amazon fulfillment centers, the FBA fulfillment fees are charged. Therefore, products that are ordered before February 19, but leave fulfillment centers on or after that date will reflect the new fulfillment fees. - How do I know which products will be charged and how much are the long-term storage fees?
The Inventory Age and Inventory Health reports can help you figure out which products could be charged long-term storage fees on the next inventory cleanup date. The Recommended Removal report can help you find the products that are up for a long-term storage fee, and the plan of action to remove them. - Will I be charged for both the long-term storage fees and the minimum long-term storage fees if my units have been at the center for more than 365 days?
No, items that are at the fulfillment center for more than 365 days will be charged the greater of the two fees. - Can I avoid the fee by submitting a removal order before the inventory cleanup date, or does the inventory have to be out of the fulfillment center before the cleanup date?
You can avoid the fee if the removal order is submitted before the cleanup date. All items that are in the fulfillment center prior to physical removal are still subject to sale.