Amazon to waive commissions for products under Rs 300; shipping costs lowered

Amazon India today announced that it had removed Amazon referral fee and charges for sellers on more than 1.2 crore items priced under Rs 300 in over 135 different categories available on its online marketplace. Referral fee, beginning at 2 is a percentage of the commission Amazon takes on behalf of sellers each product that is sold on its platform. The referral fee of zero will take effect on April 7, 2025.

Amazon today has more than 16 lakh Amazon sellers in India who sell goods through an e-commerce site in India.

Referral fees vary by class of item and calculated as a percentage the Amazon shipping cost total of the product. For example, if a book is sold at a price of $450 and the refer fee for the category of books is 4 percent that means the fees for referrals for the book that is sold would be Rs 450 divided by 4 percent = 18.

In addition to the Amazon seller fee, which are now canceled in the meantime, Amazon also charges closing fees as well as shipping or weight handling fees. Sellers could have to pay additional charges according to what fulfillment channel they use, program or product they are using, such as pick and charge fee, storage fees, and FBA (fulfillment through Amazon) removal fees.

Amazon India said it has launched a flat shipping price for sellers using fulfillment channels like Easy Ship and Seller Flex and national shipping rates beginning at Rs 65, lower than the previous rate of Rs 77.

Amazon Easy Ship Amazon Easy Ship a logistics service for sellers. Amazon collects orders from the seller's premises and delivers them to customers on their doorsteps. Through Seller Flex, Amazon manages some of the Amazon warehouse used by sellers as an Amazon fulfillment center.

The ecommerce company stated that sellers who ship more than one unit at a time are anticipated to receive up to 90 percent reductions in selling costs for each unit.