Should you be thinking about selling on Amazon, you could be asking, “How much does Amazon charge to sell?” Managing your business and optimising your earnings depend on knowing Amazon seller charges, regardless of your level of experience selling. Amazon presents a lot of chances for sellers, but negotiating its convoluted fee structure can be challenging. Running a profitable business depends on understanding exactly what to expect from listing costs to commissions.
Key Points:
- Professional accounts pay $39.99 a month; individual accounts pay $0.99 each item.
- Referral Fees based on the product category, 6% to 45%
- Charged based on item weight or size, fulfilment fees cover FBA services.
- Media products like books or DVDs pay closing fees of $1.80.
- Fees for refunds, high volume listings, and unmet orders add to this.
Understanding Amazon Seller Charges
“How much does Amazon charge for selling?” can be divided out into numerous fees depending on your seller account and the items you are offering. Depending on the category and price of the item, Amazon charges extra referral fees, fulfilment fees, and closing fees in addition to membership fees for the kind of seller account you have, individual or professional.
Setting appropriate rates and guaranteeing that your profit margins remain intact depend on an awareness of each of these expenses.
How Much Does Amazon Charge to Sell? A Quick Breakdown
Your selling account type and the items you are selling will affect the amount Amazon charges to sell. On Amazon, seller accounts fall mostly into two categories: Individual and Professional.
1. Individual Seller Account
- For Individual accounts, Amazon bills $0.99 every item sold.
- Those with low volume sales or those just starting out will find this account type perfect.
2. Professional Seller Account
- Professional accounts pay Amazon a $39.99 monthly subscription fee.
- High volume merchants or companies trying to scale would find this account type most appropriate.
The category of the product you are selling will determine the additional costs both kinds of accounts will pay.
How Much Does Amazon Charge for Selling? Breaking Down the Fees
Apart from the subscription costs, Amazon levies many additional fees based on the items you sell. The several charges are closely examined here:
1. Referral Fees
Amazon charges a referral fee a percentage of the whole selling price for each item you sell, including shipping. The product category will affect the percentage, which ranges from 6% to 45%. For instance, the referral fee for books may be as low as 15%, whereas for electronics it is often around 8%.
2. Fulfillment Fees
Should you utilise Amazon’s Fulfilment by Amazon (FBA) service, they charge fulfilment fees for shipping, choosing, and packing your goods. The weight and size of your purchases determine these fees. For fulfilment, tiny standard-size products, for example, run between $2.50 to $3.50 per unit.
3. Closing Fees
Amazon charges a closing fee of $1.80 per media item—books, DVDs, music—that it sells.
Amazon Seller Central Charges: Hidden Costs You Should Know
Apart from the main selling fees, Amazon Seller Central charges could cover other expenses that could surprise you. Here’s a closer look at a few of them:
- High Volume Listing Fees: Should you have a lot of goods, Amazon could charge extra for keeping those listings in place.
- Refund Administration Fee: Should you give a refund to a customer, Amazon will charge a little fee to handle the return.
- Unfulfilled Order Fees: Should an order not be satisfied by the seller and Amazon must intervene, they may be charged extra fees.
Especially if you run a high-volume store, you should keep a careful eye on these costs since they can rapidly eat into your profits.
How Plugbooks Helps You Manage Amazon Seller Charges
Control of Amazon seller charges can be difficult, particularly considering the several fees involved. That’s where Plugbooks finds applications. Connecting easily with both QuickBooks and Xero, Plugbooks is an accounting software that helps Amazon (and eBay) sellers track their money without effort.
Key Features of Plugbooks:
- Plugbooks automatically tracks all of your Amazon seller charges—including subscription fees, referral fees, fulfilment charges, and more.
- To maintain current with your bookkeeping, sync your Amazon transactions with QuickBooks or Xero in real-time.
- Plugbooks offer comprehensive reports that enable you to maximise revenues by better understanding of your expenses.
- Whether you sell on Amazon, eBay, or both, Plugbooks logs sales and expenses across all platforms all in one location.
Using plugbooks will save time, lower mistakes, and enable you to concentrate on expanding your company instead of manually managing spending and charges.
Final Thoughts:
Although selling on Amazon has excellent chances, running a profitable company depends on knowing how much Amazon charges for selling. From Fulfilment by Amazon fees to referral fees, doing business on Amazon may soon mount up. Still, you may better control these expenses and make wise financial decisions by applying technologies like plugbooks.
About ready to streamline your Amazon accounting?
Try Plugbooks.io to easily control your Amazon seller charges.