Amazon FBA Fees 2024
In 2024, Amazon is making changes to its Fulfillment by Amazon FBA fees structure.
These changes impact various fees, like inbound placement fees, FBA fulfillment fees, FBA storage fees, and FBA removal fees.
New programs and fee structures are also being introduced, such as the FBA new selection program.
Amazon FBA Inventory Inbounding and Placement Fees 2024
The Amazon FBA inbound shipping cost and placement fees cover receiving and storing your products at Amazon fulfillment centers.
Expect adjustments to both standard and oversize fees.
Additional tiers include:
- Standard-Sized: This category remains, encompassing most commonly stored products.
- Large Bulky: This new tier is designed for products with larger dimensions than standard-sized but not quite as substantial as the previous “Oversized” category.
- Extra Large:This tier absorbs products previously categorized as “Oversized”.
Please note, that these are estimates and may vary:
| Product Size | Discounted Service (Multiple Locations) | Discounted Service (Single Location) | Premium Service |
| Standard-sized | $0.27 per unit (average) | $0.13 per unit (average) | ~$0.54 per unit (average) |
| Large Bulky-sized | $1.58 per unit (average) | $0.79 per unit (average) | ~$1.08 per unit (average) |
Amazon FBA Fulfillment Fees 2024
Fulfillment FBA fees cover packing, packing, and shipping your products to customers. The fee structure is revised with new tiers based on product size and weight.
| Product Size | Weight (in pounds) | Previous Fee (average) | New Fee (average) |
| Standard-sized | Less than 1 lb | ~$2.35 | ~$2.15 |
| Standard-sized | 1 lb to 2 lb | ~$3.10 | ~$2.90 |
| Standard-sized | Over 2 lb | Varies by weight | Varies by weight |
| Large Bulky-sized | Varies by size and weight | ~$4.70 | ~$4.09 |
Inventory and FBA Monthly Storage Fees 2024
FBA storage fees are charged for storing your products in Amazon fulfillment centers. Previously, Amazon categorized product sizes as “Standard-Sized” and “Oversized”.
The introduction of new tiers aims to create a more accurate cost structure based on the actual space your products occupy.
This could potentially benefit sellers of smaller items within the “Standard-Sized” category, who might see a decrease in storage fees compared to the previous system.
| Storage Fee Type | Previous Fee (per cubic foot) | New Fee (per cubic foot) | Applies To |
| Monthly Non-Peak (Jan-Sept) | Standard-sized: ~$0.63 | Standard-sized: ~$0.54 | Standard-sized inventory in storage during non-peak months (January-September) |
| Monthly Peak (Oct-Dec) | All Sizes | ~$2.40 | All inventory in storage during peak months (October-December) |
| Low-Inventory Level Fee (NEW) | N/A | ~$1.00 | Standard-sized inventory in storage for more than one year |
| Storage Surcharges (Increased) | N/A | Varies | Inventory exceeding historical sales trends |
| Long Term Storage Fees (Unchanged) | ~$1.40 per cubic foot/month | ~$1.40 per cubic foot/month | Inventory in storage for more than 12 months |
Amazon FBA Inventory Removal, Disposal, and Liquidation Fees 2024
FBA removal fees apply if you want Amazon to remove, dispose of, or liquidate your inventory. Amazon FBA Return Processing Fee 2024.
FBA Removal Fees
These fees apply when you request Amazon to remove your inventory from their fulfillment centers. The cost is determined by the product size and weight – if larger and heavier, then there would be higher removal fees.
Amazon removal fees may differ slightly depending on the reason for removal (e.g., returning unsold inventory, transferring to another fulfillment center).
Costs can be affected by the final destination of your removed inventory.
FBA Disposal Fees
Similar to removal fees, larger and heavier items typically result in higher Amazon disposal fees.
The chosen FBA disposal fee methods (recycling, landfill) can have overall implications.
FBA Liquidation Fees
Liquidation allows you to sell off unwanted inventory through Amazon for a percentage of the selling price. The fees associated with this service include:
Liquidation Referral Fee (15%): A commission Amazon takes on the sale price of liquidated items.
Liquidation Processing Fee: A base fee charged per item liquidated.
| Removal/Disposal/Liquidation Method | Fee Description | Range (per unit) |
| Removal to an Amazon fulfillment center (FC) | Fee for removing your product from an Amazon warehouse and shipping it to a designated location | ~$0.50 – ~$5.00 |
| Disposal by Amazon | Fee for Amazon to dispose of your product | ~$0.80 – ~$10.00 |
| Liquidation by Amazon | Fee for Amazon to sell your product for you through a liquidation service | 15% – 50% of the selling price |
New Seller Central Ships in Product Packaging (SIPP) Cost Saving Program 2024
SIPP (Ships in Own Container) is a new program offered by Amazon that allows sellers to potentially reduce fulfillment cost by using their own packaging for certain products that meet Amazon’s specific guidelines.
Products enrolled in SIPP may qualify for reduced Amazon fulfillment fees compared to standard FBA fulfillment fee.
SIPP also allows you to showcase your own branding on the product packaging delivery to customers.
Part of their Amazon Frustration-Free Packaging Initiative, SIPP offers eligible SKUs in the program discounts ranging from $0.04 to $1.32 per unit, based on size and weight.
This translates to potential savings on your fulfillment fees.
Apparel Amazon FBA Fees 2024
| Category | Standard Return Processing Fee (estimated) | Applies To |
| Most Categories | 50% of Fulfillment Fee | Returns where seller is not responsible |
| Apparel & Shoes (Before June 1, 2024) | 50% of Fulfillment Fee | All Returns |
| All Categories (After June 1, 2024) | 50% of Fulfillment Fee (To be confirmed) | Returns where seller is not responsible for products with high return rates in that category |
Amazon FBA New Selection Program 2024
While specifics are still under wraps, here’s an expanded look at the Amazon FBA New Selection Program for Amazon 2024, focusing on potential benefits and strategies for sellers:
Potential Benefits
The primary benefit seems to be the opportunity to decrease storage costs associated with FBA fulfillment. This could significantly impact sellers, especially those with large or seasonal inventories.
Selection into the program might translate to better product placement within Amazon search results or dedicated sections, potentially leading to higher sales.
The program’s criteria might incentivize sellers to optimize inventory levels and product performance, leading to a more efficient and profitable business.
Possible Selection Criteria (Based on Industry Speculation)
Factors like sell-through rate, inventory turnover and stockouts could potentially influence selection. Maintaining healthy stock levels and ensuring products sell well can be critical.
Positive customer reviews and high ratings may be considered for program inclusion. Focusing on product quality and customer satisfaction can be beneficial.
Efficient use of storage space, timely fulfillment, and proactive inventory management could be looked upon favorably. Implementing best practices for inventory control can be key.
The program might prioritize new products entering the FBA system, encouraging sellers to explore new offerings.
Timeline for new Amazon Fees in 2024
This table provides a clear and concise overview of the key implementation dates for the major Amazon FBA fee changes scheduled for 2024.
Please note that all dates are subjected to change, and it’s recommended to refer to the latest information on Amazon Seller Central for the most up-to-date details.
| Date | Fee Change | Description |
| February 5, 2024 | Size Tier Adjustments & SIPP Program Launch | The existing “Oversized” category is replaced with “Large Bulky” and “Extra Large” for better product categorization. The Ships in Product Packaging (SIPP) program becomes available to all FBA sellers, allowing potential reductions in fulfillment fees for qualified products using their own packaging |
| March 1, 2024 | Inbound Placement Service Fee | A new fee is introduced for inbound shipments to Amazon fulfillment centers. Sellers can choose between a premium service with a single location delivery (potentially incurring a fee) or a standard service with multi-location delivery (potentially incurring a lower or no fee). |
| April 1, 2024 | Low-Level Inventory Fee & Storage Fee Reduction | A new fee is implemented for standard-sized inventory that has been in storage for more than a year, encouraging sellers to manage inventory levels effectively. Non-peak monthly storage fees for standard-sized products are reduced by $0.09 per cubic foot. |
| April 15, 2024 | FBA Fulfillment Fee Reduction | Fulfillment fees for standard-sized and large bulky products are reduced on average. |
| June 1, 2024 (Possible) | High Return Rate Fee for Returns | A potential new fee is implemented for products in categories with high return rates. This fee would apply to returns where the seller is not responsible. (Confirmation and details of this fee are pending from Amazon.) |
Frequently Asked Questions on Amazon FBA Fee Changes for 2024
In order to optimize your selling strategy, understanding the new Amazon FBA fee structure for 2024 is important.
What is the Inbounding and Placement fee?
The Inbound Placement Service Fee, introduced on March 1st, 2024, applied to standard-sized and large bulky-sized products entering Amazon fulfillment centers.
This fee essentially reflects the cost of distributing your inventory within their network.
- Premium Service: You choose a single location for your inventory to be delivered. This option might work for a higher inbound placement service fee.
- Standard Service: You opt for Amazon to distribute your inventory across multiple fulfillment centers. This service offers a potentially lower fee or even no fee at all.
What is the Low-Inventory-Level fee?
The Low-Inventory-Level fee, to be implemented on April 1, 2024, will act as a nudge to manage your inventory effectively, This fee applies to standard-sized inventory that has been in storage for more than a year.
How does Amazon calculate the FBA Storage utilization surcharge?
The specifics of how Amazon calculates the FBA Storage Utilization Surcharge haven’t been fully disclosed yet. However, we know it’s a fee that might be adjusted based on how efficiently you use the storage space in your inventory.
Amazon likely considers factors like product dimensions, stacking efficiency, and empty space within your allocated storage area.
Regularly reviewing your inventory levels and removing slow-moving or inactive products can positively impact your storage utilization score (potentially reducing the surcharge).
Are FBA Fulfillment Fees increasing in 2024?
Amazon plans to decrease fulfillment fees for standard-sized and large bulky products on average, effective April 15th, 2024.
How do I enroll in the Ships in Product Packaging (SIPP) program?
While not a new fee, the Ships in Product Packaging (SIPP) program offers potential cost savings for sellers.
As of February 5th, 2024, the program is open to all FBA sellers. Products must meet strict packaging guidelines set by Amazon FBA size limits, weight, durability, and labeling requirements.
If your products qualify, you might see a reduction in Amazon FBA cost compared to standard FBA options.