🛍️ Black Friday? Check. Year-End Reflections? Check. Fee Updates? Not Quite What They Seem.

Amazon claimed “no fee increases” for FBA in 2025, but that doesn’t tell the whole story.

While referral and FBA fees remain untouched, other programs quietly see changes that could impact your bottom line. So, this will be your series of posts that explain it all.

1️⃣ Multi-Channel Fulfillment (MCF) Fee
Starting January 2025, this fee will rise by 3.5% for standard delivery on units over 1 lb.

So, If you rely heavily on MCF for platforms like Shopify, eBay, or your own DTC site, these added costs can quickly eat into your margins.

2️⃣ MCD Outbound Transportation Fee
The Multi-Channel Distribution (MCD) program allows sellers to use Amazon's logistics network to fulfill orders across multiple sales channels, not just Amazon.

Previously, MCD charged a fixed transportation fee for shipping inventory to various locations, regardless of distance.

Starting April 1, 2025, Amazon is introducing a distance-based model for MCD transportation fees, shifting to a distance-based model. If you rely on MCD for logistics, be prepared for variable costs depending on delivery distance.

3️⃣ Amazon Warehousing and Distribution (AWD)
Your centralized hub to streamline inventory management charges three main fees:

• Storage Fees: For storing products in Amazon’s distribution centers.
• Processing Fees: For moving inventory in and out of these centers.
• Transportation Fees: For shipping inventory to other fulfillment centers or sales channels.

Well, starting April 1, 2025, Amazon is introducing AWD Smart Storage, offering discounts on storage fees for sellers who maintain sufficient inventory levels.

4️⃣ Buy with Prime Fulfillment Fees
We all know that this program allows sellers to offer Amazon’s trusted Prime benefit, and as for today, fees for Buy with Prime include:
• Fulfillment Fees: Charged per unit shipped.
• Prime Service Fee: Based on the order value, covering the cost of providing Prime benefits.
• Payment Processing Fee: For orders using Amazon Pay (not applicable for Shopify sellers).

But starting January 15, 2025, fulfillment fees for some large standard-size items will decrease, while Holiday Peak Fulfillment Fees will apply from October 15, 2024, to January 14, 2025.

By focusing on selective fee adjustments, they aim to maintain a structure that encourages sellers to thrive under existing rates while implementing updates that don’t drastically impact overall profitability.

We will see all the changes in depth tomorrow, but for now... What’s your take on these updates? Are these changes manageable, or are sellers facing a game of “survive or thrive”?