π¨Amazon's New Sneaky Fee π¨
π₯ I have this theory that Amazon executives laugh at 3P sellers each time fees go up after making the big PR announcement that 2025 will have zero new fees. Sellers aren't laughing.
π΄ Amazon quietly rolled this one out while everyone was sleeping.
Say goodbye to partial shipment splits for standard-size products. What's really frustrating about this is that this was a handy way for sellers to save some coin. Amazon can't have that!
Starting February 20, partial shipment splits for standard-size products are no more. This allowed sellers, especially smaller sellers, to send inventory to fewer inbound locations than the Amazon-optimized shipment split at a reduced fee. It's truly a gut punch.
π‘ Alternative Options
What now? well, you still have the option to use the Minimal Shipment Split which involves a fee to send your FBA inventory to the fewest possible locations.
Another option is to send your stuff in using the Amazon-Optimized Shipment Splits selection which sends your inventory to multiple locations at no fee. To use this one, you need to have your act together and be on the same page with your prep warehouse.
π Big Picture
Two things are in play.
1. Amazon is making it clear that they have zero empathy for small sellers. Their days are truly numbered.
2. Amazon is squeezing sellers to get them to make the switch to AWD and sell that as a service. It's all so obvious.
When Amazon zigs, you should zag. there is no option other than to adapt and adapt FAST! Also, this means that having plenty of profit margin to play with will be more important than ever. When I'm coaching Amazon sellers, I always remind them that maintaining 20-25% net profit is extremely important in 2025. You never know when you will need to tap into it.
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P.S.
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