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By Martin Heubel ยท October 20, 2025 ยท Curated by George's Blog
#Amazon recently raised the Subscribe and Save discount threshold for 3P Sellers from 15% to max. 20%. FMCG vendors should take note:
The increase is an early signal that Vendor Managers will try to anchor this new 15/20% discount as the new standard in 2026 AVNs.
As so often, history repeats itself: Back in 2020, Amazon pushed vendors hard to raise the standard Subscribe and Save discount from 5/10% to 10/15%. Now, we're entering the next stage.
Here's the good news:
๐๐๐๐ ๐ฏ๐ฒ๐ฐ๐ฎ๐๐๐ฒ ๐๐บ๐ฎ๐๐ผ๐ป ๐๐ฎ๐ป๐๐ ๐๐ผ๐ ๐๐ผ ๐ณ๐๐ป๐ฑ ๐ฎ ๐ฎ๐ฌ% ๐ฎ๐น๐๐ฎ๐๐-๐ผ๐ป ๐ฟ๐ฒ๐ฏ๐ฎ๐๐ฒ ๐ฑ๐ผ๐ฒ๐๐ป'๐ ๐บ๐ฒ๐ฎ๐ป ๐๐ผ๐ ๐ต๐ฎ๐๐ฒ ๐๐ผ ๐ฎ๐ฐ๐ฐ๐ฒ๐ฝ๐ ๐ถ๐.
Not just because it cuts into your margins. But because Subscribe and Save helps Amazon consolidate multiple orders into one and therefore ship items more efficiently to customers. Amazon even relocates popular SnS items to the same fulfilment centres to unlock additional cost savings.
All of this reduces Amazon's variable handling and shipping costs, directly improving its contribution margin. Yet, you as the brand are asked to fully fund this profitability initiative.
So during your upcoming trade negotiation, ask yourself:
Is your SnS marketing investment supporting your growth โ or Amazon's bottom line?
#amazonvendor #amazonstrategy