Referral Fees Series. Part 1
Hello Sellers,
In reference to the Reduced referral fee for low-price Clothing and Accessories announcement, we want to share with you a series of posts about the Referral Fees.
Let´s start with the question: What are Referral Fees?
- For all products, Amazon deducts the applicable referral fee percentage. The Referral Fee is calculated based on either the Sales Proceeds or the Fee Base Amount, which will be determined as explained in the Amazon Services Europe Business Solutions Agreement
- Sellers pay a referral fee on each item sold.
Please leave a comment if you have any questions or if there's additional information about the Referral Fees that you'd like us to cover in our next posts!
Best,
Julia.
Seller_Nprc5XWvdLYk9
We have hundreds of orders where the fees were mischarged.
We had a case with the leadership team - it was transferred across to another team for us to be reimbursed - future enquiries are just "transferred"
we have since found more transactions with the same problem so we opened another case.
seller support at first said it was our responsibility to ensure products were correctly categorised and no adjustment would be made
(@Julia_Amznwill know we have been battling to get browse nodes and item types fixed for a long time)
I complained explaining that this was a continuation of the previous agreed case and this new case was just "transferred" and of course once transferred we conveniently cannot reopen it or post any additional messages to it.
Seller_q02IFWVcXV5xc
I have a query about the referral fees when an item is returned,
If buyer is responsible for cost of return label,this is deducted from their refund,as such leaving you with a £3.35 ‘cost of sale’ for the item,which 15.3% referral fees have already been taken (approx. 51p)
You are debited £3.35 directly from your amazon balance prior to this when the buyer posts the item back & the label is scanned,
For the other portion of the refund you get your referral fees back-less the refund admin fee of 20% of the original referral fees,
For the £3.35 ‘cost of sale’ part you are not getting any referral fees refunded,
Surely you should also be getting 80% of those referral fees back,ie 40p
Why are you paying referral fees on the cost of amazon selling a label to the buyer?
Seller_5VsVlvdiDnITx
Why are orders priced at £9.99 going to Ireland having the additional tax% added onto them, causing them to be £10.20 and therefore having higher FBA fees as they fall out of the low-rate pricing tier? How can this be avoided? The price we set should be inclusive of all VAT, regardless of the amount, however this is not the case and seemingly unavoidable.
Seller_aqTCnx7SDvKOO
We have been overcharged referral fees on over 500 orders (and counting) of a product, costing us well over £1000 now and Seller Support keep giving me the run around with it and I am sick and tired of it. See case ID: 9827857042 which now shows as 'Transferred', and when cases say this, nothing ever happens.
I sent them the affected orders in the Referral Fee Refund spreadsheet that they sent over, which dates back to February, showing we had 577 orders on which we were charged the wrong referral fees. For some reason in February, the referral fee on our product changed from 10.2% to 15.3%, even though we had been paying 10.2% for years and it is 100% in the correct category.
After a lot of back and forth, somebody said they would investigate and eventually came back to say that they had approved the refunds.
We were only given a refund on 15 orders….!
Plus, we are still being charged 15.3% - they haven’t changed it to the correct referral fee so there are even more orders that need refunding as every day passes.
I told them this and they came back again to say they have approved the request… this time NOTHING HAPPENED!
There is a product being sold by Amazon that is essentially the same as ours, just a different brand, and I have confirmed it with Seller Support (case ID 9843375932) that the correct referral for that product is 10.2%, because it is (correctly) in the Beer, Wine and Spirits category, which is where ours should be. Instead, ours is in the Grocery fee category, hence the 15.3% referral fee.
@Julia_Amzn please can you help with this as I have posted this on another forum page and @Ezra_Amazon has ignored it
Seller_aqTCnx7SDvKOO
Hi @Julia_Amzn
Thank you for your quick reply :)
Sure, the thread was Referral Fees Series. Part 2, which Ezra created hence why I tagged them.
Since we first contacted Seller Support about the issue, we've had more orders of this product and we are now owed reimbursement on 823 orders, amounting to over £1450.
Julia_Amzn
Hello again 😊
I will review your case and get back to you with more detail.
Best,
Julia.
Julia_Amzn
Hello @Seller_aqTCnx7SDvKOO,
Hope you are doing well.
I want to confirm that I am still actively working on your case, and it has not been forgotten 😊
Talk to you soon!
Julia.
Seller_aqTCnx7SDvKOO
Hi @Julia_Amzn
Thank you for the update.
We opened case 9901428112 as the old case just said "Transferred" and there was no way to contact anyone about it.
Somebody replied to case 9901428112 to say that a refund have been given via the old case, but have checked our payments and can see no record of this and have not been given any dates or transaction details of this refund.
The referral fee for the product is STILL wrong (15.3% but should be 10.2%) so any orders we get for this product are still incurring incorrect fees that will need refunding.
It's quite a simple case as I have provided all of the order details etc in a spreadsheet in the case, it just needs somebody to spend 5 minutes looking at it properly.
Thank you
Julia_Amzn
Hello @Seller_aqTCnx7SDvKOO!
Hope you are doing well.
I want to check if you have received the refund. According to my knowledge, the transfer has been approved and completed.
Best,
Julia.
Seller_aqTCnx7SDvKOO
Hi @Julia_Amzn
Thank you for the update.
Do you know when it was paid as I can not see any payments during the last 7 days?
The problem of having incorrect referral fees will still persist though as the referral fee is STILL WRONG for the product - it is still 15.3% when it should be 10.2%.
If it doesn't get changed, then I'm going to have to keep going through this laborious process of trying to get our money back.
Julia_Amzn
Thank you for the response @Seller_aqTCnx7SDvKOO!
I will check this and get back to you as soon as I have confirmation it has been fixed 😊
