Before we understand how to use the Amazon FBA fee calculator, we must first understand what Amazon FBA fees are.
Amazon FBA fees:
1. Monthly inventory storage fee
Monthly storage fee = the number of goods that should be charged for 6 months of long-term storage fee x unit volume of goods x storage fee per cubic meter in the corresponding month
2. Long-term inventory storage fees
Long-term storage fee = the number of goods for which long-term storage fee should be charged in the time period x the unit volume of the goods x the long-term storage fee per cubic meter charged in the corresponding time period.
1) Order removal fee
Removal fees are charged per item removed. Typically, removal orders are processed within 10-14 business days.
2) Return processing fee
The return processing fee is equal to the total shipping cost for a given item.
3. Unplanned pre-processing service fee
The unplanned preprocessing service fee refers to the fees for some personalized services. For example, some goods shipped to Amazon have not been properly handled or labeled and require special packaging or destruction. In this case, the Amazon operations center will need to implement unplanned preprocessing and then charge the corresponding preprocessing service fee.
4. Sorting, packaging and weighing fees
Sorting, packaging and weighing are charged according to the size and weight of the goods.
Next, let’s see how to use this Amazon calculator:
To determine whether a product is suitable for FBA shipment, you need to calculate the total cost of each product. Add up the following expenses, while also considering the costs of running your business:
1) Purchase cost:
Cost of purchasing inventory
The cost of shipping the product from the supplier to the designated location
The cost of shipping the product to an Amazon fulfillment center
2) Return-related costs
·transportation
·Package
·Price reduction promotion
3) As a seller, you need to make a list of the expenses required to run your business, including:
Operating costs
·Water and electricity costs
Employee wages + benefits
·Insurance
Business trip expenses
·Tax
Marketing expenses
Web Development
Warehousing
·Rent, etc.
Once you understand these costs and set the profit margin you want to achieve, you can know the total revenue for each product.
Step 2: Divide the total cost by the number of products
Once you've calculated the total cost of all of your individual products, divide that number by last year's sales volume to get the cost of each product.
Step 3: Enter your data into the Amazon Seller Fee Calculator in Seller Central
The Amazon FBA calculator is located in the “All Statements View” area. Enter the product you want to measure, then fill in the product price, the cost of sending to Amazon warehouse, and the product cost, then click to calculate.
This is the end of the information about Amazon FBA fee calculator. If you want to get more information about Amazon FBA fee calculator, please continue to pay attention~
