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Amazon Announces Seasonal Fulfillment Fees for 2023 Holiday Season

Amazon recently shared updates regarding its Holiday Peak Fulfillment Fee for the FBA program. This annual fee will be effective from October 15, 2023, to January 14, 2024. Aiming to cover the augmented costs of fulfillment and transportation during the bustling holiday season, this fee aligns with those other leading carriers impose. Notably, the 2023 Holiday Peak Fulfillment Fee rates will remain the same as those of 2022 for both the US and Canada FBA. Even after accounting for this fee, Amazon’s fulfillment charges are still approximately 30% more affordable than the slower standard shipping options of other primary third-party logistics entities.

This fee will be applied to several FBA categories: US FBA, Canada FBA, Remote Fulfillment with FBA, and Multi-Channel Fulfillment (MCF). However, items under the US FBA category priced below $10 will be exempted.

About the Author

Daniel Sodkiewicz (Co-founder and CTO)

Daniel is a CTO and co-founder of GeekSeller with years of experience in software development, online marketing, UX design, and e-commerce consulting. Based in Austin, TX, he is an established expert in the industry. Daniel keeps a close eye on the latest trends and news in e-commerce and regularly writes about it on this blog and LinkedIn.

20 responses on this

  1. Jenifer Willey October 15, 2023 3:03 pm

    I never realized there was an extra fee, how is it billed and how much is the charge?

    Reply
    1. Daniel Sodkiewicz (Co-founder and CTO) October 15, 2023 4:41 pm

      Great question! The extra fee is billed as a seasonal fulfillment fee during the holiday season, from mid-October to mid-January, to cover the increased costs of operations. The exact amount varies depending on the size and weight of the item. Amazon provides a detailed fee schedule on their website which can help you understand the charges better: https://sellercentral.amazon.com/help/hub/reference/external/GABBX6GZPA8MSZGW.

      Reply
  2. D Kool October 15, 2023 3:27 pm

    Oh great. I’m eager to help Amazon keep making $896,000 a minute. I wouldn’t want whomever to go without and be inconvenienced in ANY way!!!

    Reply
    1. Daniel Sodkiewicz (Co-founder and CTO) October 15, 2023 4:40 pm

      Those big earnings are hard to ignore, but keep in mind the figure you mention is the revenue, not profit. Despite this, Amazon also gives sellers a huge audience.

      Reply
  3. Gina October 15, 2023 3:31 pm

    we already paying annual fee for prime every year and now we’re being charged an extra fee for delivery for seasonal items you’ve already hiked up our prime fee and now you’re going to charge us more money and we’re faithful Amazon users we’ve been on the Amazon prime program for the last 7 years and you’re jacking up prices on us I wonder if shopifies doing that I’ll have to figure that one out maybe start using Shopify as my drop list

    Reply
    1. Daniel Sodkiewicz (Co-founder and CTO) October 15, 2023 4:35 pm

      The added fees are tough, especially when we’re used to a certain price. Amazon and Shopify have different models. Amazon’s huge traffic is a big plus, especially for new sellers without brand recognition, compared to platforms like Woo, BigCommerce, or Shopify. It’s a trade-off but worth considering all options.

      Reply
  4. Leanna Mi October 15, 2023 3:54 pm

    Once again these multi-million dollar companies show us consumers that they don’t appreciate our business to find another way to make additional funding out of the pockets of the people who make them rich.

    This is just the way business works; they get more sales making more money, they need to burden those costs on themselves to get the merchandise to the customer. It’s not the customer’s fault they are making more money. However, this just proves the sign of the times where the business is about the money and not the customer who is already making them rich.

    Reply
    1. Daniel Sodkiewicz (Co-founder and CTO) October 15, 2023 4:32 pm

      Thanks for sharing. I’m kind of in the middle, understanding both sellers and marketplaces. Sellers have slim profits, and holidays raise Amazon’s costs, yet they keep giving great service to both sellers and buyers. It’s a tricky balance.

      Reply
  5. Margie Harris October 15, 2023 4:45 pm

    I love Amazon

    Reply
  6. Connie Id October 15, 2023 4:53 pm

    this just makes me sick, I can’t believe how they can charge for extra shipping fees when we have prime. I noticed the price I pay for a year was more and now you want more? I may not be ordering from Amazon for a long while. why give them more of what I can’t afford.

    Reply
    1. Daniel Sodkiewicz (Co-founder and CTO) October 15, 2023 7:35 pm

      Hi, those are fees that sellers will need to cover, shopper will most likely not notice it.

      Reply
  7. Sandy Beach October 15, 2023 5:20 pm

    all the more reason to SHOP LOCAL!!!

    Reply
  8. Mary Jo Trimpe October 15, 2023 6:03 pm

    CHARGING FEE’S JUST BECAUSE ITS A BUSIER TIME FOR YOUR COMPANY IS A BUNCH OF MALARKY SINCE WE ARE ALREADY PAYING EVERY MONTH FOR PRIME……. ITS A POIRER TIME FOR YOUR CUSTOMERS…… AMAZON SHOULD EAT THOSE FEES INSTEAD OF CHARGING THEIR CUSTOMERS. THEY CARE MORE ABOUT THAT ALMIGHTY DOLLAR THAN THEIR CUSTOMERS AND THATS FACT….

    Reply
  9. Marie T October 15, 2023 6:48 pm

    I am a prime shopper and have been shopping for years. My son works for Amazon. He drives trucks. I get no additional discounts or anything other than what my membership offers me. I do not have a problem with the new fees during the peek holiday season. Shoppers want packages on time to wherever the destination is but don’t want to pay the additional cost of getting it there. During the peek seasons, there is much more to consider. The time speeds up for fulfilling these orders. The delivery speeds up because people want items in a specific time frame. etc… there are additional cost all around. As, so with the other other platforms. Why do you not expect there to be here? If it’s still cheaper and you can inquire with the other platforms, go ahead. I don’t see Amazon suffering for the few that decide to go elsewhere. But I do know, Amazon isn’t going anywhere, additional fees or not!

    Reply
  10. Helen McDaniel October 15, 2023 10:13 pm

    I am a prime member so I would l d like to know if this”FEE” is automatically added during those months

    Reply
    1. Daniel Sodkiewicz (Co-founder and CTO) October 15, 2023 10:16 pm

      Hi Helem, just to clarify, these fees are imposed on sellers using the FBA fulfillment. This usually means less profit for sellers, and it’s up to them if they want to increase the prices of their products. With a competitive market, I believe buyers may not notice this increase, yet merchants will.

      Reply
  11. BARBARA W HENRY October 16, 2023 4:41 am

    I ordered naval oranges from Amazon. Ad showed full mesh bag of naval oranges. I rec’d 4 individual naval oranges in a cardboard shipping box for $17 plus change. Outrageous. Customer service is a recorded message, without a selection that address my problem, plus a message that tells me Amazon doesn’t take care of this, that I need to contact that seller directly. How? I only know product is SunWest. I don’t work for Amazon. I don’t appreciate being given an “assignment”.
    Pay me to do Amazon’s customer service for their lack of customer service to me? Grow up.

    Reply
    1. Daniel Sodkiewicz (Co-founder and CTO) October 16, 2023 2:58 pm

      I’m sorry to hear about your experience. It’s definitely frustrating when you don’t get what you expected, especially when customer service isn’t helpful. While it’s true that some Amazon sellers fall short, buying Prime items usually ensures a better experience. I’d recommend reaching out to Amazon’s customer support again; they’re generally responsive and can often issue refunds or force sellers to do so.

      Reply
  12. Karen October 16, 2023 7:24 am

    I’m on a fixed income and now I’ll just have to drop Prime all together & start shopping back at Walmart & second hand stores.

    Reply
  13. Sohi October 16, 2023 8:04 am

    during the past couple of months, I have purchased items from Amazon for more than 35 dollars each time in order to receive FREE shipping according to Amazon ‘s rule for free shipping, but I noticed that although it stated that I would receive FREE shipping each time, BUT Amazon had charged me for shipping.
    I have been purchasing items from Amazon for the past 3 years, and each time tried to spend more than 35 dollars in order to receive free shipping. But I realized only recently that although by Amazon rules, I should have received free shipping, But Amazon had charged me for the shipping fee which comes out to a lot of money that I could not afford.
    I complained to Amazon, but I am waiting to see if I vget ar
    a
    refund for the past 3 years???

    Reply

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