Amazon has recently changed the sales commission fees and logistics distribution fees in the UK and Europe. For fashion goods such as shoes and handbags, the drop was as high as 45 Euros. It is understood that this change in sales commission fees will take effect on April 1, 2020. The complete list of sales commission changes is as follows:
Amazon Fulfillment and Prime Sales Shoe Clothing and Handbag Sale Commission Promotions
From March 1, 2020 to February 28, 2021, the sales commission fee will be reduced from 15% to 7% for the portion of the total sales price that exceeds € 45 / £ 40. For example, for a product with a total price of 75 Euros, the sales commission for the first 45 Euros is 15% and the remaining 30 Euros is 7%, so the total sales commission fee is 8.85 Euros (€ 45 * 15% + € 30 * 7% ).
And this promotion is only applicable to products completed through Fulfilment by Amazon and seller Prime. Accessories (handbags, belts, sunglasses, shoe accessories, etc.) will also participate in the promotion.
Personal care appliances
For personal care devices with a total sales price of € 10 / £ 10 or less, the sales commission fee will be reduced from 15% to 8%. For products with a total sales price above € 10 / £ 10, the sales commission will remain at 15%.
Computer and electronic accessories
For the portion of the total selling price not exceeding € 100 / £ 100, the sales commission fee will increase from 12% to 15%, and for the portion of the total selling price exceeding € 100 / £, the sales commission fee will decrease from 12% to 8 %. For example, for a product with a total price of € 175, the sales commission for the first € 100 is 15%, and the sales commission for the remaining € 75 is 8%, so the total sales commission fee is € 21 (€ 100 * 15% + € 75 * 8%).
Digital Services Tax in Italy
With the introduction of a 3% digital service tax in Italy, Amazon will adjust sales commissions on Amazon.it starting April 1, 2020. For example, for a product with a current sales commission of 15%, the new sales commission fee is 15.45%, which is an increase of 3%. If there are further changes to the digital service tax, the introduction fee will be adjusted accordingly.
Starting April 1, 2020, Amazon will integrate ring accessories into the Amazon Device Accessories category. This will lead to an increase in sales commissions from 12% to 45%.
FBA fulfillment fee changes
FBA fulfillment fees will be adjusted in the UK, Germany, France, Italy, and Spain on April 1, 2020, and will be applicable to FBA, pan-European FBA and European distribution networks.
FBA minimum long-term storage fee changes
Starting April 1, 2020, the minimum long-term storage fee (€ 0.10 / £ 0.10 per unit) will be cancelled for non-media products with inventory in excess of 365 days in the Amazon European market. The final charge for this fee will be made on the inventory evaluation date of March 15, 2020. The long-term storage fee per cubic foot / meter will remain the same, and the minimum long-term storage fee (€ 0.10 / £ 0.10 per unit) will still apply to products that have been in stock for more than 365 days.
Long-term storage fees are supplementary to regular inventory storage fees. Long-term storage fees will not be charged if a request is made to dismantle or dispose of these devices before the monthly inventory evaluation date.
FBA removal order fee changes
Effective April 1, 2020, Amazon will change the fee structure for returning inventory for local and multinational orders. Removal orders will be charged based on the size and weight of the items removed, and there will be no change in the rate of disposal orders.
In addition, Amazon will continue to charge different rates for local and cross-border customs clearance, however, if the return destination is located in the United Kingdom, Germany, France, Italy or Spain, the goods fulfilled through the pan-European FBA will be charged at the local rate.