Amazon recently updated its FBA fees, specifically related to the storage utilization and low level inventory. Calculating the new fees and understanding when they are applied is challenging for many sellers, especially when added to the other responsibilities of managing a seller central account. It’s important for sellers to understand these fee updates in order to make necessary changes and reduce costs. This article will outline the 2024 Amazon storage fee updates, focusing on the changes to the storage utilization surcharge and the low level inventory penalties. Learn about how these inventory fees are calculated and what sellers can do to be proactive and avoid additional costs. This article will also summarize best practices for inventory management and answer frequently asked questions. For a complete summary of the FBA updates, see this blog post about 2024 FBA fee changes.
Amazon Returns Processing Fee Change 2024
Amazon recently announced they will be updating their returns processing fee in 2024. This update will change how Amazon charges for return fees. They are introducing return rate thresholds for product categories. Along with the updated fees, there’s an updated FBA Returns dashboard that shows sellers if they are above or below these thresholds. Understanding these updates is important for sellers to avoid unexpected charges. Sellers that reduce the number of returns will reduce costs related to FBA fees, improve customer satisfaction, and improve the profitability of their business. This post will cover the returns processing fee, 2024 changes to the returns processing fee, the updated FBA Returns dashboard, and best practices for reducing Amazon returns.
Amazon Ships in Product Packaging Program
The Amazon Ship in Product Packaging program can help you reduce costs by minimizing packaging, damages, and FBA fees. This program is available to all sellers who use Fulfillment by Amazon (FBA) starting February 5th, 2024. The SIPP program, formerly known as Ships in Own Container (SIOC), reduces packaging by verifying products that can be shipped without an Amazon box, envelope, or bag and arrive to customers undamaged. Qualified products will ship in their own branded product packaging without any additional Amazon packaging material. This lowers FBA fees, reduces waste, and increases brand awareness to connect with customers. If you’re thinking of redesigning your product packaging or curious if your current packaging qualifies, continue reading to understand the benefits, packaging requirements, and testing requirements for the Ships in Product Packaging program.
Supply Chain by Amazon
Supply Chain by Amazon is a suite of fulfillment services that allows sellers to integrate their supply chain end-to-end from factories and suppliers to distribution centers to delivery options to the end customer. Supply Chain by Amazon will help you keep products in stock, ship faster and more reliably to the end customer, and lower costs relative to alternative methods. Amazon customers expect in-stock and fast delivery, this program enables sellers to meet those demands. Enrolling in Supply Chain services allows you as the seller to focus on your strengths like product development, while outsourcing logistics, shipping and fulfillment to Amazon, which is their strength. This post will cover the different components of the supply chain including freight & logistics, storage & distribution, replenishment & fulfillment, and customer delivery.
Step by Step How to Send Amazon FBA Shipment
This is a step by step guide on how to send an Amazon FBA shipment. Amazon FBA (fulfillment by Amazon) is a service provided by Amazon that allows sellers to have Amazon warehouse your inventory, as well as pick, pack and ship orders to your Amazon customers. Utilizing Amazon FBA will get your products Prime shipping eligible, which is an important perk for Amazon customers who already have confidence in the shopping and shipping experience. Making sure you send in accurate shipments is vital for successful inventory management so that Amazon customers get the right product when they order it. The steps for sending in Amazon FBA inventory include ensuring your account is set up properly, preparing the inventory, creating a shipment, and sending the FBA shipment.