As an Amazon Seller who utilizes FBA as your shipping method, you've undoutably heard about Amazon's new Inbound Placement Service Fee that is causing major chaos amongst Amazon Sellers.
According to Amazon, they are implementing this fee to cover the cost of strategically placing inventory within their fulfillment network. This means storing products closer to customers, allowing for faster deliver times and potentially lower overall shipping costs.
As a result, Amazon Sellers who create their shipping plans on Amazon Seller Central have seen a dramatic increase in inbound shipping fees to Amazon in form of an increased number of locations to ship to and / or inbound placement fees as high as .32 per unit. In fact some Amazon Sellers have stated that their shipping fees to Amazon as a result of the Inbound Placement Fees has increased by more than 300%.
What is Amazon's Inbound Placement Service Fee?
Effective March 1, 2024, Amazon introduced a new fee called the Inbound Placement Service Fee. This change not only increases Amazon Seller fees but also requires sellers to adapt to these changes, potentially by increases costs to maintain profit margins.
Amazon's Inbound Placement Service Fee is a charge levied on sellers utilizing the Fulfillment by Amazon (FBA) service to distribute their invenotry across Amazon's extensive network of fulfillment centers. This fee comes into play when sellers create a shipping plan and choose how they wish to have their goods received by Amazon facilities - be it through a singular location or multiple locations throughout the country.
There's no doubt that Amazon's Inbound Placement Fees and increased costs to Amazon Sellers utilizing FBA is a game changer.
However, now you can create an advantage for yourself and your Amazon business by saving a significant amount of money on these inbound placement fees create an advantage for you over your competition.
And, here's the best part. You can use the service and then decide if it works for you. We are 100% confident that it will.
