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I was recently looking at the financials of a FBA business (a business that sells on Amazon and stores their inventory with Amazon) The fees that Amazon took w

I was recently looking at the financials of a FBA business (a business that sells on Amazon and stores their inventory with Amazon) The fees that Amazon took was DOUBLE what it cost the seller to actually buy the product and have it shipped from China Once you factor in advertising costs, Amazon is taking something like 75% of the cost of the product

WoahNoun 5y ago
Shipping a product directly from China when ordered versus a "Prime" label with a 0-2 day shipping isn't the same thing.
- weird-eye-issue 5y ago
  The products are shipped from China to Amazon's warehouses...
  - WoahNoun 5y ago
    And then Amazon charges the fees that it costs to get it from the warehouse to the customer within 0-2 days. If the seller thinks they have a cheaper way to get it from the Los Angeles port to rural West Virginia they are free to not use the service.
    - weird-eye-issue 5y ago
      Why are you defending Amazon's fees here so much? The costs they charge relate more to their monopoly on where people shop than their actual costs involved It's just scary to think how much product quality suffers when these companies charge so much in fees. It's a race to the bottom to make any profit at all and they don't have much left to actually consider quality
      - WoahNoun 5y ago
        >The costs they charge relate more to their monopoly on where people shop than their actual costs involved. [Citation needed] Offering <2-day shipping across every address in the US is very expensive. Amazon sellers can sell on Amazon without using FBA.
        weird-eye-issue 5y ago
        The fees are broken out into line items. Shipping and inventory costs is a relatively small part. General marketplace fees are much higher. Have you ever sold on Amazon or done any research on this?
        WoahNoun 5y ago
        The general marketplace fees are the same whether you use FBA or not. Your original comment was complaining about FBA fees which are separate from the marketplace fees.
        weird-eye-issue 5y ago
        I'm not sure how you interpreted it that way. I was talking about Amazon's fees in general I'm not sure why you are so stuck on shipping costs. I was clearly talking about all the fees.

WoahNoun 5y ago

Shipping a product directly from China when ordered versus a "Prime" label with a 0-2 day shipping isn't the same thing.

weird-eye-issue 5y ago
The products are shipped from China to Amazon's warehouses...
- WoahNoun 5y ago
  And then Amazon charges the fees that it costs to get it from the warehouse to the customer within 0-2 days. If the seller thinks they have a cheaper way to get it from the Los Angeles port to rural West Virginia they are free to not use the service.
  - weird-eye-issue 5y ago
    Why are you defending Amazon's fees here so much? The costs they charge relate more to their monopoly on where people shop than their actual costs involved It's just scary to think how much product quality suffers when these companies charge so much in fees. It's a race to the bottom to make any profit at all and they don't have much left to actually consider quality
    - WoahNoun 5y ago
      >The costs they charge relate more to their monopoly on where people shop than their actual costs involved. [Citation needed] Offering <2-day shipping across every address in the US is very expensive. Amazon sellers can sell on Amazon without using FBA.
      - weird-eye-issue 5y ago
        The fees are broken out into line items. Shipping and inventory costs is a relatively small part. General marketplace fees are much higher. Have you ever sold on Amazon or done any research on this?
        WoahNoun 5y ago
        The general marketplace fees are the same whether you use FBA or not. Your original comment was complaining about FBA fees which are separate from the marketplace fees.
        weird-eye-issue 5y ago
        I'm not sure how you interpreted it that way. I was talking about Amazon's fees in general I'm not sure why you are so stuck on shipping costs. I was clearly talking about all the fees.