General

In recent months, we have received several fee increases, VINE charges, insurance must be paid, and advertising fees (European station) are also taxed. The FBA remote delivery fee (not the multi-channel delivery fee) has also increased. The mail is as follows:

Amazon Mail announced:

Since 2018, companies participating in the U.S. FBA program have been able to use FBA remote distribution (also known as North American remote distribution) to sell their U.S. FBA inventory in Canada and Mexico. The program provides customers with more choices and provides sellers with easy sales opportunities outside the United States.

We plan to make the first adjustment to FBA remote delivery fees on September 30, 2021. Distribution costs will increase moderately to reflect changes in distribution, transportation, warehousing and customer service costs in North America. These growths are in line with or below the industry average growth in fulfillment services. We will also eliminate package weight adjustments in the rate calculation to better align with the standard FBA rate structure.

To sum up: Amazon will start on September 30, 2021, and the cost of remote distribution will increase moderately.

FBA remote delivery refers to this:

FBA remote distribution, as long as the products are sent to the US warehouse, you can sell your products to Canada and Mexico without having to ship the inventory to these countries/regions. With a single warehouse in the United States, it can be sold to Canada and Mexico at the same time (for more details, please refer to the previous article: Only one US warehouse for sales to Canada and Mexico?-Amazon restarts the NARF program).

Amazon will still provide free shipping for Prime buyers in Mexico and Canada. Delivery to Mexico takes 5 to 9 days, and delivery to Canada takes 7 to 12 days. Customers only need to pay import duties. But the seller has to pay the remote delivery fee.

The FBA fee mentioned here has increased, referring to this remote distribution fee.

If you do not use this feature, this policy has no effect on you.

So how much will the price increase? Look at the following background information:

Canada station (the cost unit is Canadian dollars)

Mexico station (cost unit in Mexican pesos)

In fact, it has risen a lot. For Canada, for products over 2 pounds, the freight has increased by 16.8% (ie (12.79-10.95)/10.95), which is a lot of rise.

Over time, Amazon's operating costs have also risen, and it has begun to block most small businesses or entrepreneurs.

Many people ask, is it appropriate to enter Amazon now? Kris's answer is, if you really want to pit Amazon, do it now, because now is the best time for the next few years.