Selling on Amazon gives brands incredible reach, but the costs attached to the platform can be confusing and unpredictable.
Between referral fees, fulfillment charges, storage rates, and optional service add-ons, many sellers struggle to understand where their margins are really going.
With rising expectations around fast shipping and tighter competition in every category, controlling Amazon seller fees is now essential for staying profitable.
Before getting into the details, it is important to look at why these costs matter. Margins on Amazon shrink quickly when fees are not tracked properly.
Even small price changes across categories or fulfillment methods can significantly impact profitability at scale.
For sellers who want stability, clarity, and cost control, knowing the true structure of fees is critical.
Understanding Amazon Seller Pricing
Amazon rewards speed, accuracy, and competitive pricing.
But every service and capability comes with a fee attached.
When sellers rely heavily on Amazon’s infrastructure without understanding where the biggest costs sit, they often face:
- Higher operational spending than expected
- Shrinking margins on top-selling SKUs
- Unpredicted spikes during peak months
- Difficulty scaling due to increasing cost per order
- Limited visibility into long-term profitability
This is why understanding Amazon seller pricing is not optional. It is one of the few areas where sellers can adjust strategy, shift fulfillment processes, or reroute inventory to reduce expenses.
Amazon Seller Fees: The Complete Breakdown for 2025
Below are the most important fees Amazon sellers encounter.
These are the ones that directly affect profitability, inventory strategy, and long-term growth.
Learning how each fee works allows sellers to make smarter decisions about fulfillment, pricing, and where to store inventory.
1. Amazon Referral Fees
Referral fees represent a percentage of the item’s selling price. These vary by category and are charged on every sale.
- Amazon charges between 8 and 15 percent for most categories.
- Some categories, such as apparel or certain electronics, may have higher percentages.
- These fees apply whether you use FBA or FBM.
Referral fees form a major part of total amazon seller fees, so understanding category-specific percentages is essential for cost planning.
2. Fulfillment Fees for FBA Sellers
Sellers using Fulfillment by Amazon pay fulfillment fees based on weight and dimensions.
- Larger or heavier items can be significantly more expensive.
- Amazon adjusts fulfillment fees annually, affecting profitability.
- Oversize items incur additional handling fees.
This category of fees for amazon seller accounts is often where margins shrink the fastest, especially during seasonal increases.
3. Storage Fees in Amazon Warehouses
Amazon charges monthly storage fees for inventory held in its fulfillment centers.
- Storage costs rise during peak season from October through December.
- Long-term storage fees apply to inventory that sits for too long.
- Many sellers reduce these expenses by storing bulk inventory outside FBA and sending smaller replenishment shipments as needed.
Newl supports this approach by holding overflow inventory and preparing fast, frequent FBA replenishments that keep your Amazon costs lower without delaying stock availability.
Understanding storage charges helps sellers decide whether keeping inventory in FBA is worth the long-term cost.
4. Return Processing Fees
When customers return items, sellers pay fees depending on the category and condition of the returned item.
- Apparel and footwear often experience higher returns, increasing overall cost.
- Damaged returns may result in no reimbursement.
- Some categories include inspection or repackaging costs.
Factoring return rates into amazon seller pricing helps sellers identify products that need better descriptions or improved quality control.
5. Optional Service Fees
These are fees sellers incur if they choose additional services from Amazon.
- Labeling and prep services
- Inventory removal fees
- Disposal fees
- Advertising and PPC costs
While optional, these services significantly affect amazon seller rates, especially for growing brands that rely on Amazon to handle additional tasks.
How to Choose an Amazon Strategy
Fulfillment costs on Amazon continue to rise.
Sellers who rely entirely on FBA without evaluating alternatives often pay more than necessary for storage, shipping, and returns.
The most successful sellers use a hybrid model that balances Amazon’s speed with lower-cost offsite fulfillment.
Shifting some inventory out of Amazon and into a dedicated 3PL can:
- Reduce storage expenses
- Lower dimensional weight shipping charges
- Improve margin control on slow-moving SKUs
- Expand regional delivery without relying solely on Amazon networks
- Provide more flexibility across multiple selling channels
This is why many brands are now combining FBA with their own fulfillment partner to get the best of both systems.
How Newl Helps Sellers Manage Amazon Costs More Efficiently
Newl provides an efficient alternative for brands who want to reduce fees while maintaining fast shipping and strong customer experience.
Instead of paying high storage and fulfillment rates year-round, sellers can shift part of their inventory to Newl’s warehouse and use FBA only where it makes financial sense.
What Newl Offers Amazon Sellers
1. Cost-Efficient Storage and Replenishment
Newl stores inventory at competitive rates, helping sellers avoid long-term storage fees in Amazon’s system.
By replenishing FBA in smaller batches, sellers keep storage costs predictable and manageable.
2. Fast East Coast Shipping From Charlotte
Newl’s strategic warehouse location allows brands to ship orders quickly across the East Coast and central regions.
This supports hybrid fulfillment strategies where non-FBA orders can still arrive fast.
3. Smart Inventory Routing to Reduce Amazon Seller Fees
Newl helps sellers decide which SKUs belong in FBA and which should be fulfilled off-Amazon.
This approach reduces the impact of selling on amazon fees while keeping operations flexible across multiple platforms.
If you want to lower your Amazon expenses while maintaining delivery speed, Newl provides a practical and scalable solution.
Reach out to Newl to explore cost-saving fulfillment strategies tailored to your Amazon business.
Final Thoughts
Amazon seller fees are a major part of running a profitable online business.
Understanding how referral fees, fulfillment charges, storage costs, and optional services work gives sellers a clear advantage when planning pricing and inventory.
With rising costs and tighter competition, managing these fees is essential for long-term success.
Sellers who combine smart pricing with off-Amazon fulfillment support gain more control, more margin, and more flexibility as they scale.
Frequently Asked Questions
1. What are the main Amazon seller fees?
Referral fees, fulfillment fees, storage fees, and optional service charges.
2. How can sellers reduce amazon seller pricing costs?
By using offsite fulfillment, controlling inventory levels, and improving SKU performance.
3. Do fees for amazon seller accounts change during peak season?
Yes. Storage and fulfillment fees typically increase between October and December.