Is FBA pointless for this product, or maybe pointless alltogether

#1

I’m not bashing, I really want this to work and have put a lot of effort into this as we all have.

I buy a small light product for 90p each, put it up for a price of £4.99.

The revenue calculator is showing FBA fee’s of a whopping £4.03p per unit with leaves me after all my efforts with a profit of 7p a unit?!
Which I will eventually have to pay tax on.

Have a made some kind of mistake here i still on a learning curve.

Thanks.

#2

is it eligible for small and light ?
if so, are you checking the s&l rates instead ?

#3

I couldn’t tell you, I’d have to start googling round to try and find that answer, it was a previous product that required minimal info to list so its possible it was skipped.

#4

have a look at small and light on the amazon help pages

#5

Thanks, it is eligible, i’ve enrolled and awaiting an email.
Crazy that its not an automatic thing but i’ve done it now and will see if it makes much difference.

If it doesn’t I’d be much better off cancelling the product and fulfilling myself.
Thanks for the help.

#6

You also need to be aware that on FBA there’s an ‘invisible’ lower price threshold.
If you go below it, then they will stop sometimes stop offering the product on ‘Next Day’ delivery options to the customers. Put the price up a little, and it goes back to normal.

The limit seems to move per product / category, so it’s not a set figure, but it’s generally been around the £5 mark (sometimes a little higher for our products).
Anything lower than that and the sales tend to drop off quite quickly because they’ll only offer a slower delivery (although still ‘free’ for Prime members).

The S&L system is similar, they won’t always offer your product with quick delivery so sales may be lower than with FBA.
So there’s a balance to be found between offering the best price, getting a decent return, and how many sales you can generate by that method.

#7

Thanks singularity, I’ll play around with the prices after i see the results of this S&L change when they email me.

#8

the email should be instant
the FBA fees will be in FBA inventory page

#9

I’d suggest playing around with the revenue calculator. It’s far easier to see the actual costs.
And there is a section on it, specifically for S&L.

#10

A lot of my FBA items are well under £5 sales are good on all of them & many are Amazons Choice.I’m 100% SNL & lack of next day delivery on some items makes no difference to sales.

#11

How are your FBA fees Russ?

#12

same here and over 50% of mine are next day
it all depends on where the buyer is located and where the stock is located

#13

They are due to go up in March but for me SNL fees are fine my prices range from £2.79 to £8.99 average net profit per item after all fees including PPC is £2.17 per item.

#14

Nope no email yet

#15

you don’t need to wait for the email
just check the fees on the fba inventory page
it shows as estimated fees per order and includes the fulfilment fee

#16

Can take couple of hrs for SNL fees to update in manage inventory

#17

mine usually change in a few minutes but i think op is waiting for an email with the fees in - which they won’t be

#18

You know what it has gone down a little, i’ve been doing all my older products and they have gone down even more.
All the FBA research i have done and I never came across this, the learning curve continues.

#19

Mine are not any more. I now get a single email at Midnight telling me what has been enrolled or disenrolled.

Worryingly there is also an at risk section. I am not sure what the plans are for that!

This changed a couple of weeks ago.

#20

That will be due to the changes coming up with pricing etc.
I got a warning for a couple that had gone over S&L prices.