Amazon India FBA and Referral Fee Changes 2019

Amazon is growing day-by-day in terms of both customer and sellers. There are more than half a million sellers on Amazon India platform. And, based on the feedback of sellers like you and me; Amazon has made some changes in their Seller Commission Charges fee structure.

These changes have been made to support sellers and become the most preferred marketplace in India.

Key Changes in Amazon Seller Commission Charges

Few key changes that have been introduced in the Amazon Seller Commission Charges Fee Structures are:

  • Selling price based referral fee is introduced for certain categories. It will minimize the cost of operations significantly.
  • Weight handling fee rate card has been standardized across all fulfillment channels. It will help sellers to operate across these channels easily.
  • FREE fulfillment services will be offered for small and standard items priced higher than INR 20, 000/-. It will help sellers to expand their business to the next level.

Revisions effective from 23rd May 2019

1. Amazon India Referral Fee changes

Amazon India has revised the referral fee for multiple product categories. Below is the list of categories with revised referral fee:

Note: Only those categories are listed below for which the referral fee has been revised. For a complete list of categories with the latest Referral Fee, see Amazon Seller Commission Charges Fee Structure

Media
Category Referral Fee (Applicable till 22nd May 2019) Referral Fee (Effective from 23rd May 2019)
Music 8.00% 6.50%
Software Products 14.00% 11.50%
Video Games – Accessories 9.00% 10.00%
Soft Line
Category Referral Fee (Applicable till 22nd May 2019) Referral Fee (Effective from 23rd May 2019)
Apparel 16.00% 13% for item price <=300
17% for item price >300
Apparel – innerwear 10.50% 12.60%
Apparel – Sleepwear 11.00% 12.00%
Apparel Accessories 15.50% 17.00%
Backpacks 5.50% 7.00%
Eyewear 8.50% 6.50%
Fashion Jewellery 23.00% 21.50%
Silver Coins and Bars 8.00% 2.00%
Handbags 11.00% 10.00%
Luggage – Suitcase and Trolleys 5.50% 7.00%
Luggage – Travel Accessories 5.50% 9.00%
Shoes 14.00% 15.50%
Flip Flops and Slippers 14.00% 10.50%
Watches 11.00% 13.50%
CE/PC/Wireless
Category Referral Fee (Applicable till 22nd May 2019) Referral Fee (Effective from 23rd May 2019)
Accessories – Electronics, PC and Wireless 16.00% 16.50%
Cables – Electronics, PC, Wireless 25.00% 20.00%
Camera Accessories 12.00% 11.00%
Camera Lenses 6.00% 7.00%
Cases/Cover/Skin/Screen  guard 16% for item price <=300
24% for item price >300
17% for item price <= 300
24% for item price > 300
Electronic Devices (except TV, Camera & Camcorder, Camera Lenses and Accessories, GPS Devices, Speakers) 10.00% 8.50%
Hard Disks 8.00% 5.50%
Keyboards and Mouse 15.00% 16.00%
Laptop Battery 13.50% 14.00%
Laptops Bags & Sleeves 5.50% 7.00%
Memory Cards 17.00% 12.00%
Mobile Phones & Tablets {including Graphic Tablets) 5.00% 6.00%
Monitors 5.00% 4.50%
Power Banks 20.00% 21.00%
Scanners and Printers 9.00% 8.00%
Speakers 6.00% 11.00%
USB flash drives (Pen Drives) 14.00% 16.00%
Consumables
Category Referral Fee (Applicable till 22nd May 2019) Referral Fee (Effective from 23rd May 2019)
Beauty – Fragrance 15.00% 7.5% for item price <=250
12.5% for item price >250
Beauty Products; 3.00% 4.00%
Grocery and Gourmet 3.00% 4.00%
HPC – Household Supplies, Personal Care and Ayurveda 3.00% 4.00%
Personal Care Appliances (excl. Grooming and styling) 7.00% 7.50%
Pet Products 8.50% 6.5% for item price <=250
11% for item price >250
Other Hardline
Category Referral Fee (Applicable till 22nd May 2019) Referral Fee (Effective from 23rd May 2019)
Automotive – Other Subcategories 21.00% 18.00%
Bean Bags and Inflatables 7.00% 10.00%
Business & Scientific Supplies 11.50% 11.5% for the portion of the total sales price up to INR15000, and
5% for any portion of the total sales price greater than INR15000
Industrial Supplies 8.00% 8% for the portion of the total sales price up to INR15000, and
5% for any portion of the total sales price greater than INR15000
Clocks 17.00% 8.00%
Entertainment Collectibles 16.00% 13% for item price <=250 300
17% for item price >250 300
Furniture 12.00% 13% for the portion of the total sales price up to INR15000 , and
10% for any portion of the total sales price greater than INR15000
Gym Equipments 6.50% 9.00%
Home – Other Subcategories 16.00% 16.50%
Home Furnishing 12.00% 6% for item price <=250
11% for item price >250
Home improvement accessories 11.50% 6.5% for item price <=250
11.5% for item price >250
Home Storage 12.00% 8% for item price <=250
12% for item price >250
Indoor Lighting (except LED bulbs and battens) 11.50% 13.50%
Large Appliances  Accessories 13.00% 11.00%
Lawn & Garden- Chemical pest control 3.00% 4.00%
Lawn & Garden- Other subcategories 10.00% 10% for the portion of the total sales price up to INR15000, and
5% for any portion of the total sales price greater than INR15000
LED Bulbs and Battens 3.00% 7.00%
Musical Instruments – Keyboards 4.50% 5.00%
Musical Instruments (excluding Guitars and Keyboards)  11.00% 7.50%
Sports – Cricket and Badminton Equipments 12.50% 5.00%
Sports & Qutdoors (excl. Cricket and Badminton Equipments) 12.50% 9% for item price <=250
14% for item price >250
Sports Collectibles 16.00% 13% for item price <=300
17% for item price >300

Note:

  1. Following new categories have been created with a referral fee different from the categories that they were initially part of:
    1. Luggage – Suitcase and Trolleys,
    2. Travel Accessories,
    3. Flip Flops and Slippers,
    4. Sports – Cricket and Badminton Equipments
  2. In order to ensure simplicity of the rate card and to avoid confusion, the following product categories have been merged into one category:
    1. Education and Non-Educational Software merged into Software Products
    2. Selfie Sticks and Chargers merged with Accessories – Electronics, PC and Wireless
    3. Baby-Nursing & Feeding merged with Baby Products
    4. HPC – Body Suppon merged with Health and Personal Care (HPC)
    5. Pet Food(Dog Food), Pet Food (except Dog Food), Pet Accessories merged into Pet Products
    6. Automotive Accessories merged with Automotive – Other Subcategories
    7. Home – Cushions & Covers and Home – Bed & Bath Linen merged into Home Furnishing

2. Closing Fee

The fixed Closing Fee structure has been revised for all product categories. Amazon India has introduced lower rates on the fixed closing fee for Easy Ship in the low item price range. Refer the table below for the revised fixed closing fee.

[Update: 31st July 2019] Amazon India has extended promotional price on Fixed Closing Fee for Easy Ship services for products with item price greater than INR 500 till 12th Sep 2019. The same has been updated in the table below.

Fixed Closing Fees (INR per unit)
Item Price including Shipping Charges
(INR)
Easy Ship (excl. Easyship Prime)   Self-Ship   FBA (excl. Seller Flex)   FBA (excl. Seller Flex)   Seller Flex and Easy Ship Prime
All categories
(eff. till 11th Sep, 2019)
All categories
(eff. from 12th Sep, 2019)
  All categories
(eff. till 22nd May 2019)
All categories
(eff. from 23rd May, 2019)
  Select categories*
(eff. till 30th September, 2019)
  All categories
(eff. till 22nd May, 2019)
All categories
(eff. from 23rd May, 2019)
  All categories
(eff. till 22nd May, 2019)
All categories
(eff. from 23rd May, 2019)
0-250 2 2   2 6   15   25 25   2 2
251-500 5 5   5 16   15   20 20   5 5
501-1000 20 25   20 32   12   12 12   20 20
1000+ 40 50   40 59   26   26 26   40 40

*Please note that the following list of Select Categories will be charged the rate of FBA(excl. Seller Flex) – All Categories effective 1st October, 2019.

Books, Music, Pet Products, Beauty (Excluding Fragrance), Health and Personal Care (excluding Nutrition), Grocery and Gourmet, Baby, Toys, Apparel – Innerwear and Apparel Accessories, Craft Materials, Automotive (excluding Helmets, Lubricants, Parts, Tools, Vehicle Care and Tires), Cases Covers Skins and Screen Gaurds, Cables – Electronics PC and Wireless, Office Products, Lawn & Garden – Chemical Pest Control, Business Industrial and Scientific Products.

3. Fulfillment by Amazon (FBA)

Amazon India has invested in more than 50 State-of-the-Art fulfillment centers to help sellers to deliver their products across India in a minimum time span. Amazon India is continuously improving its operations to help sellers grow. Following are the key changes in FBA:

  • FBA Pick & Pack Fee: The fee for Standard size items have been reduced from INR 15 per unit to INR 10 per unit based on the seller feedback. FBA pick & pack fee for Small size, Oversize, and Heavy & Bulky items will remain the same. Refer the table below for the FBA pick & pack fee.
FBA Pick and Pack Fee
(INR per unit)
Effective till 22nd May, 2019 Effective from 23rd May, 2019
Local Regional National Local Regional National
Small* 10 10
Standard 15 10
Oversize 25 25
Heavy and Bulky 50 50
  • First Three Months Free Removals: Free Pickup and Standard Removals for the 3 months will remain the same to new sellers who sign up for FBA.
  • Zero Fulfillment Fee for Items over INR 20,000: Sellers can experience the benefits of FBA through FREE rates as fulfillment Fee (Pick & Pack Fee and Weight handling Fee) for all Small-size and Standard-size items priced over INR 20,000 will remain ZERO.
  • FBA Storage Fee: FBA storage is the same as earlier i.e. INR 20 per cubic foot per month.
  • FBA Weight Handling Fee: Major revisions have been made in FBA weight handling fee, it has been adjusted across all size and weight brands. Refer the table below for the same.
FBA Weight Handling Fee
(INR per unit)
Effective till 22nd May, 2019 Effective from 23rd May, 2019
Local Regional National Local Regional National
Small* and Standard First 500 gms
(based on outbound shipping unit weight)
24 30 55 28 36 56
Each additional 500 gms up to 1kg
(based on outbound shipping weight)
15 19 25 16 21 25
Each additional kg
(based on outbound shipping unit weight)
7 8 13 10 15 20
 
Oversize Upto 5kg (fixed minimum fee)
(based on outbound shipping unit weight)
70 85 135 71 86 136
Each additional kg
(based on outbound shipping unit weight)
7 8 13 10 15 20
 
Heavy and Bulky Upto 12kg (fixed minimum fee)
(based on outbound shipping unit weight)
160 240 161 241
Each additional kg
(based on outbound shipping unit weight)
3 4 3 4

Note:

  • For FBA orders:
    Outbound Shipping Weight = Item Weight + Packaging Weight
    where the packaging weights used are as follows:
    • Small Size Items: 80 gms
    • Standard Size Items: 100 gms
    • Oversize and Oversize Heavy and Bulky Items: 500 gms
  • In the following cases, the Dimensional Weight will be used if Dimensional Weight is greater than the Unit Weight:
    • Standard and Oversize Items weighing more than 1 kg
    • Oversize Heavy and Bulky Items

    Dimensional Weight (kg) = (Length X Breadth X Height)/5000 where LBH are in cm

4. Amazon India Easy Ship (ES) Weight Handling Charges

Amazon India is expanding its pin code coverage, and fast track shipping to provide reliable, smooth and economical fulfillment option to the sellers.

Easy Ship Weight Handling Fee (including Easy Ship Prime) has been revised. The fee has been reduced for all standard items weighing more than 1 kg. Weight handling fee rate card structure has been changed as well similar to other fulfillment options. Refer the table below for Easy Ship weight handling fee changes:

Easyship Weight Handling Fee (INR per shipment) Effective till 22nd May 2019
Local Regional National
Standard Upto 500 gm 27 45 65
Each Additional 500 gm 16 21 26
 
Oversize Upto 5 kg (fixed minimum Fee) 124 168 213
Each Additional kg 7 9 14
 
Heavy and Bulky Upto 12 kg (fixed minimum Fee) 175 255  
Each Additional kg 3.5 4.5  
 
Easyship Weight Handling Fee (INR per shipment) Effective from 23rd May 2019
Local Regional National
Standard Upto 500 gm 38 46 66
Each Additional 500 gm (up to 1kg) 16 21 25
Each Additional kg after 1kg 10 15 20
 
Oversize Upto 5 kg (fixed minimum Fee) 151 166 216
Each Additional kg 10 15 20
 
Heavy and Bulky Upto 12 kg (fixed minimum Fee) 241 321  
Each Additional kg 3 4  

5. Weight Handling Fee Regions Definition

Region definitions have been revised in order to make four regions more equitable in terms of reach/distance among seller concentrations and demand distribution. Refer the table below for revised Regions definition:

  Effective till 22nd May, 2019 Effective from 23rd May, 2019
Region 1 Chandigarh, Delhi, Haryana, Himachal Pradesh, Jammu and Kashmir, Punjab, Rajasthan, Uttar Pradesh and Uttarakhand Chandigarh, Delhi, Haryana, Himachal Pradesh, Jammu and Kashmir, Punjab, Rajasthan, Uttar Pradesh-Zone A** and Uttarakhand
Region 2 Chattisgarh, Dadar and Nagar, Diu and Daman, Goa, Gujarat, Madhya Pradesh, Maharashtra Dadar and Nagar, Diu and Daman, Goa, Gujarat, Madhya Pradesh, Maharashtra
Region 3 Andaman and Nicobar, Andhra Pradesh, Karnataka, Kerela, Pondicherry, Tamil Nadu, Telangana, Lakshadweep Andaman and Nicobar, Andhra Pradesh, Karnataka, Kerela, Pondicherry, Tamil Nadu, Telangana, Lakshadweep
Region 4 Arunachal Pradesh, Assam, Bihar, Jharkhand, Manipur, Meghalaya, Mizoram, Nagaland, Odisha, Sikkim, Tripura, West Bengal Arunachal Pradesh, Assam, Bihar, Chattisgarh, Jharkhand, Manipur, Meghalaya, Mizoram, Nagaland, Odisha, Sikkim, Tripura, Uttar Pradesh-Zone B*, West Bengal

*Uttar Pradesh-Zone B: The following administrative divisions will be considered as part of Uttar Pradesh-Zone B – Ayodhya, Azamgarh, Basti, Devipatan, Gorakhpur, Mirzapur, Prayagraj and Varanasi

**Uttar Pradesh – Zone A: All administrative divisions in the state of Uttar Pradesh that are not part of Uttar Pradesh-Zone B

Revisions effective from 1st June 2019: 

  • High Volume Listing Fee: A high-volume listing fee of INR 0.50 per non-media ASIN* per month has been introduced. This will ensure customer’s consistent shopping experience. This fee will not be charged for first 100,000 ASINs and no charge will be taken from you for any high-volume listing fee for the same.

*ASINs belonging to the following Categories are classified as Media ASINs and this fee will not be charged for these GLs – Books, Movies, Music, Software Products, Video Games, Video Games – Accessories, Video Games – Consoles.

  • Lightning Deal Fee: After the launch of Lightning Deal fee in December 2018, many sellers get discovered by customers that led to exponential business growth. The fee of Lightning deal has been revised as well, Refer the table below for the same.
Type of Deal Lightning Deal Fee Charges
(eff. till 31st May 2019)
Lightning Deal Fee Charges
(eff. from 1st June 2019)
Amazon Recommended Lightning Deals INR 0 per deal if sale per deal
< INR 2500
INR 149 per deal
INR 99 per deal if sale per deal
>=2500
Seller Recommended Lightning Deals INR 99 per deal INR 149 per deal

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About The Author

Sorabh KumarHi! I’m Sorabh Kumar, a Digital Marketing Consultant, a leading YouTuber and founder of a few small businesses. With 10+ years’ experience of Digital Marketing in Higher Education vertical and proven results, I now provide specialized consultancy and training to corporates.

I started Amazing Marketer with a belief that a good understanding of various digital marketing platforms and techniques combined with divergent thinking can give the required boost to any business in the current tech-savy world.

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