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By Martin Heubel ยท July 29, 2025 ยท Curated by George's Blog

The silent killer of your #Amazon vendor margins?

Fractional ownership.

- Commercial teams know their retail budgets

- Media teams know their advertising spending

- Finance teams have insights into financial disputes

The problem is:

๐—˜๐—ฎ๐—ฐ๐—ต ๐—ฑ๐—ถ๐˜ƒ๐—ถ๐˜€๐—ถ๐—ผ๐—ป ๐—ผ๐—ป๐—น๐˜† ๐—ต๐—ฎ๐˜€ ๐—ถ๐—ป๐˜€๐—ถ๐—ด๐—ต๐˜ ๐—ถ๐—ป๐˜๐—ผ ๐˜๐—ต๐—ฒ๐—ถ๐—ฟ ๐—ฏ๐˜‚๐—ฑ๐—ด๐—ฒ๐˜๐˜€ ๐—ฎ๐—ป๐—ฑ ๐˜€๐—ฝ๐—ฒ๐—ป๐—ฑ๐—ถ๐—ป๐—ด.

So every team thinks their investments are reasonable.

The better way?

ยป Appoint a central team that brings all the pieces together:

- Cost prices

- Trade terms

- Advertising costs

- Supply chain benefits

- Chargebacks

- Shortages

- Price variances

- โ€ฆ

Then, divide your total spend by your Net Receipts.

If your investments are >35%, your teams should:

- Renegotiate cost prices

- Reduce trade terms

- Improve supply chain efficiencies

- Request chargeback waivers

- Escalate financial disputes

Then: rinse and repeat.

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How are you dealing with fractional ownership structures? Let me know in the comments!

#amazonvendor #amazonstrategy

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