Amazon has announced a new and improved FBA capacity management system to help sellers manage their Fulfilled by Amazon (FBA) inventory. The new capacity manager is designed to give sellers greater capacity limits, more control, and visibility over their inventory and supply chain. The easiest way to keep sales consistent is by consistently being in stock. Not only will it drive more sales but it will also make it easier to plan your cash flow in the future. Lastly, by managing your inventory correctly you will save money by not overpaying for storage fees.
Amazon FBA Fee Changes for 2022
Amazon fees are ever-changing due to constraints including but not limited to macroeconomic effects, sales velocity, and competition. Depending on your product's size and category, the fee changes could impact your business in a variety of ways. In this post, we will cover the new fee changes to Amazon’s FBA program for 2022. It is very important to recalculate profit margin when large fee changes happen in order to make sure your product is priced appropriately. Below we will cover which product sizes were most negatively impacted, which product sizes were barely impacted, and other options for fulfillment moving forward. If you just have questions about calculating amazon fees, see our previous blog post.
How to Calculate Amazon FBA Fees - Understanding Amazon's Shipping and Fulfillment Fees
When using fulfillment by Amazon it is important to have an idea of what is going behind the scenes so you know how much it will cost. For the purpose of this post, we are going to break the fees down in terms of shipping the product into Amazon's Warehouse. What is charged while the item is at Amazon's warehouse and what the costs are for Amazon to ship your product to the end customer.