Amazon Lowers Zero Fees Threshold to $300 for FBA Program
March 11, 2011 
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Amazon’s FBA (Fulfillment by Amazon) program has now lowered the Zero Fees threshold for retailers. If you are unfamiliar with the FBA program, then let me give you a little background on what it is. Fulfillment by Amazon is a simple principle that is available to retailers that want to sell on Amazon’s marketplace platform. If you have products to sell, then you can sign up for FBA and have Amazon fulfill your orders for you. Instead of getting orders and having to worry about shipping out the products, all the retailer has to do is ship their goods to Amazon and have Amazon’s fulfillment centers handle it for you. Retailers are asked to send over a good amount of inventory to Amazon, so they have enough on hand to handle the orders that might be received. With FBA, the retailer pays less for shipping, which allows more to be pocketed.
The FBA program has always had at Zero Fees Fulfillment policy for any media and non-media items with a price over $500. This is only for products that are 20 pounds or less with a certain length and weight. If your items were over this price, then you would no pay Amazon any fulfillment fees when someone purchased those products. All you would pay would be the applicable storage fees standard with Amazon Fulfillment. The Zero Fees fulfillment has been a big hit with many retailers and with a new change, it will most likely continue being a big hit.
Amazon has announced that they are lowing their Zero Fees Fulfillment threshold price to $300. This is a 40% reduction in threshold. This is a big cut that will entice more retailers to jump on board with the FBA program. While you do have to pay fees to sell on Amazon, the FBA program can end up costing you less to sell than through your traditional avenues. This is a win-win situation for the retailer and Amazon. With Amazon’s fast fulfillment centers, your customers will get their products quickly and efficiently. When customers are happy, then they will continue to order and thus increasing the business of the retailer. When the retailer uses FBA, they save time and money on fulfillment, so everyone wins. If you follow Charlie Sheen, then you know that life is all about Winning!
If you are a current seller on Amazon, then click here to add FBA to your selling account. If you are retailer that would like to start selling on Amazon and wants to look into FBA, then click here.
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