"Amazon are requesting a cost price reduction." They do this every year during t
By Ant Finch · February 23, 2026 · Curated by George's Blog
"Amazon are requesting a cost price reduction."
They do this every year during the AVN and it's an easy win if a vendor says yes.
The request isn’t the issue, it's whether we know what happens to our margin if we give in and lower our costs.
Which SKUs fall below our margin target?
What does it do to blended margin?
Is there a recovery plan?
Too many vendors give in to a request to reduce price. It's an easy solution.
But all it does is stabilise Amazon's Net PPM..and by giving it does not automatically equal more sales.
Giving price reductions is not a strategic way to manage Amazon or your margin.
----
🚀 I help Amazon vendors increase their margins by 5-20% in 90 days