Amazon is lowering the fees it charges third-party sellers to boost selection

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Amazon is lowering the fees it charges third-party sellers to boost selection

Amazon

Getty/Patrick Semansky

Amazon is lowering fees for third-party sellers.

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  • Amazon is lowering both the minimum fees and the percentage fees it charges third-party sellers for some categories on its Marketplace platform.
  • The changes were announced in an email sent to sellers on Wednesday, which said they will be implemented on February 19.
  • Amazon said in the email that it is making the changes so that sellers can "increase [their] selection of products."

Amazon is lowering its third-party fees to help it boost selection in key categories.

The company told third-party sellers that it is lowering both the minimum fees it charges and the percentage it charges for some categories on its Marketplace platform.

The changes were announced in an email that was sent to sellers on Wednesday and viewed by Business Insider. According to the email, the changes will be implemented on February 19.

For all sellers in most categories, the minimum fee charged to list items will be $0.30, down from $1. For jewelry, the minimum will decrease to $0.30 from $2. This change affects all item categories that had a minimum, while some items like books, which never had a minimum, will keep that distinction.

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Some categories also had their referral fees - which is the percentage of the sold item that Amazon takes from the sale - slashed.

  • Baby, beauty, and health and personal care items will all see a reduction from 15% to 8% on products that cost less than $10. Items that cost over $10 will stay at 15%.
  • Furniture will see a reduction from 15% to 10% on the portion of sales over $200, but the portion below $200 will stay at 15%.
  • Similarly, jewelry will see a reduction in fees from 20% to 5% for any portion of a sale over $250, but it will stay at 20% for the portion $250 and below.

For categories that have a posted minimum fee, Amazon will charge either the minimum fee or the percentage fee, whichever is greater.

An Amazon spokesperson did not immediately return Business Insider's request for comment, but it said explicitly in the email that it hopes the lowering of these fees will help sellers list and sell more items in these categories.

"This year, we are lowering our referral and minimum referral fees across categories to help you increase your selection of products," Amazon told sellers in the email.

Read more: Amazon quietly extended a program designed to help it sell more grocery items online

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In August, Amazon extended a promotion for reducing the fees charged for grocery items from 15% to 8% for items less than $15, which will last until the end of December 2019.

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