Detailed explanation of Amazon store opening costs: technical service fees, store service fees and logistics fees

Technical service fee

When opening a store on Amazon, technology-related service fees mainly include investment in the network environment for mobile office and the selection of payment account.

Mobile office

• Fixed IP: For Amazon store operators under the personal SOHO model, working directly from home is a cost-saving way, but considering Amazon’s rules for IP association, this method may Less than ideal.
• Traditional VPS: Although VPS was once one of the first choices for remote working, its advantages are no longer obvious due to its high price and slow speed, as well as the inability to use local cameras to complete store registration verification. .
• IP management software: Based on the considerations of cost, security and convenience, it is recommended to use IP management software. The price is about 60-80 yuan/month/IP. It is simple to operate and complies with the platform rules. It is not advisable to change the IP within one month after registering a new store.

Payment account number

• Amazon official payment: Provides rates of 0.4% to 0.9%, and may support digital currencies in the future.
• Third Party Collection: Not detailed, but exists as a supplemental option.

Store service fee

Store service fees cover monthly rent, order commissions and marketing expenses.

Monthly rent

For brand professional sellers, Amazon charges about 260 yuan per month as store rent, and global store users can enjoy a single charging standard starting from the second month.

Order commission

The commission rate varies depending on the category, with an average of 12% to 15%. For example, a coaster is priced at US$29.19, and a commission of US$4.37 is required.

Marketing expenses

• CPC advertising: The budget is usually 30 to 50 US dollars/group/day.
• LD/BD official event: By invitation, the fee is US$25 to US$100.
• Amazon Review: Official review service.
• Off-site marketing: including Deal site, Google CPC, Facebook social media, etc.

Logistics service fee

Amazon logistics service fees involve many specific contents, including but not limited to delivery fees, warehousing fees, etc.

Delivery and warehousing fees

• Delivery fee: Calculated based on product size.
• Monthly storage fee: Calculated based on the average daily inventory.
• Long-term storage fee: Additional charges apply to items stored for a long period of time.
• Return Processing Fee: Charged on orders that offer free return shipping.
• Unscheduled Service Fee: Incurred when inventory is not properly prepped or labeled.

Other fees

• Partnered Carrier Program: Discounted shipping rates.
• Multiple Channel Fulfillment: Amazon handles orders from other sales channels on your behalf.
• Labeling Services: Billed per piece.
• Preparatory Processing Services: Billed on a per-piece basis.
• Repackaging Service: Repackage returned goods for resale.
• Inventory allocation service: Unified shipment to designated operations center.
• Manual service resolution service: Billed on a per-piece basis.
• Clear Order Information Fee: Charged per piece.

To sum up, the various costs involved in opening an Amazon store are complex and diverse, and sellers need to comprehensively consider various factors to formulate a reasonable operating strategy.