Amazon only wants popular items that sell well taking up space in its FBA Fulfillment Centers, and on Thursday, it showed the same philosophy applies to its virtual shelves. Amazon sent a letter to sellers informing them of a change to its High-Volume Listing Fee.
Here is the crux of the change to the existing fee as explained in the Amazon email:
"Starting August 1, 2016, we will identify non-media ASINs where: (i) you have an active offer, (ii) the ASIN was created more than 12 months ago, and (iii) the ASIN has not had a sale from any seller in the past 12 months. Your first 100,000 ASINs that meet these criteria will not be charged the High-Volume Listing Fee. For each additional ASIN (above the first 100,000) that meets these criteria, you will be charged a monthly High-Volume Listing Fee of $0.005 per ASIN. The High-Volume Listing Fee will be charged monthly and will be applied to your highest number of applicable ASINs above 100,000 at any time during that month."
For background, Amazon implemented the new "High-Volume Listing Fee" last year, and sellers listing products with a lot of variations - such as Tshirt sellers, for example, were among those impacted. For example, if you sell a Tshirt with a design printed on the front, you might offer it in different colors and sizes.
You can find the current policy
on the Amazon.com website - see this section:
"Effective February 1, 2015, we will begin to calculate the monthly High-Volume Listing Fee based on the number of active non-media SKUs you offered for sale on Amazon.com. The High-Volume Listing Fee will only apply if you exceed 2 million SKUs in a given month, and will be applied to your highest number of SKUs above 2 million at any time during that month. For each active non-media SKU over 2 million, a fee of $0.0005 per SKU will apply."
It sounds at first blush like the new policy is much more restrictive - it's only giving sellers a pass on the first 100,000 ASINs instead of 2 million ASINs. However, with the new policy, only slow-moving ASINs are counted toward the ASIN limit. ("Slow-moving" is our term - Amazon defines it in the new policy as ASINs that have not had a sale from any seller in the past 12 months.)
Therefore, it's difficult for sellers to know how they will be impacted by the change in policy.
Sellers told EcommerceBytes they are wondering if Amazon will provide reports showing when an ASIN was created and if it has had a sale within the past year, and if they'll be able to look up that information for a single ASIN as well as getting reports.
The change to the high-volume fee comes directly after Amazon made changes to FBA storage fees
this week - see the May 18th article, "Amazon Sellers Get Wakeup Call with New FBA Fees."
We've got questions in to Amazon - let us know what you think and what questions you have, and we hope to get some answers in time for tomorrow's Newsflash newsletter (available now