Amazon to Add Fee for Sellers that Ship Direct - Modern Distribution Management

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Amazon to Add Fee for Sellers that Ship Direct

The company will get 2% of every product sold by merchants who are members of its Seller Fulfilled Prime Program.

Third-party sellers who ship their products to customers rather than using Amazon’s fulfillment service will face new fees from company, according to industry reports.

A notice from Amazon states that the company will get 2% of every product sold by merchants who are members of its Seller Fulfilled Prime Program, or a minimum of $0.25 per item.

The fees are scheduled to begin Oct. 1.

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Amazon’s Sellers Fulfilled Prime program was launched eight years ago and allows merchants to display a Prime badge without using Amazon’s fulfillment service, “Fulfillment by Amazon.” Those sellers, however, must fulfill orders with one- and two-day delivery for no additional charge for Prime customers, who pay monthly fees for quicker shipping.

According to the Associated Press, Amazon suspended enrollment in the program a few years ago after it “wasn’t delivering the same high-quality experience customers expect from Prime.” Amazon said in June that it would reopen enrollment.

The company also recently announced that sellers can now choose to use Amazon’s re-launched ground shipping service for orders placed on, the seller’s website or other channels,

Read more about the changes here.

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