Do you know how much does the Amazon operating cost? With the rapid development of the Internet, more and more people choose to start their own business online, and doing cross-border e-commerce is one of them. Amazon, as one of the world’s top e-commerce platforms, provides a broad sales platform and rich consumer resources for many sellers.
Amazon operating cost list
Store Rent
To open a store on Amazon, you first need to rent a suitable store. Store rent varies depending on factors such as region, size and time.
For example, if you rent a store suitable for Amazon sales in Los Angeles, USA, the monthly rent may range from $1,000 to $3,000. In addition, you need to consider the cost of insurance for the store, which is usually about 10% of the monthly rent.
Merchandise Sourcing
Purchasing merchandise is an important part of Amazon operating cost and a key factor in determining the cost of the store. The cost of merchandise procurement varies depending on the type of merchandise, quantity, and where it is sourced. Generally speaking, the procurement cost mainly includes the following aspects:
- Payment for goods: based on the actual price and quantity of the merchandise;
- Transportation: the cost of transporting the merchandise from the supplier or manufacturer to the Amazon warehouse; and
- Purchase tax: according to the relevant regulations of the country or region, a certain amount of purchase tax needs to be paid.
- Other costs: such as warehousing, packing and other costs.
Amazon FBA freight
Logistics and distribution is a problem that Amazon sellers must face, and it is also an important factor that affects the Amazon operating costs. Logistics costs mainly include the following aspects:
- Amazon logistics costs: the Amazon platform will automatically calculate the logistics costs for the seller, including the basic shipping costs and sorting fees, etc;.
- Third-party logistics costs: if you choose to use a third-party logistics company, you need to consider the transportation costs, insurance costs, etc.;
- Warehousing costs: If you use the Amazon FBA service, you need to consider the Amazon operating cost.
- Return and exchange costs: if the return and exchange situation occurs, you need to consider the return logistics costs.
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Newbie Amazon FBA store opening steps
Confirm the site
- North America: United States, Canada, Mexico
- Europe: Britain, France, Germany, Spain, Italy, Poland Sweden, the Netherlands, Belgium
- Japan emerging stations: Australia, Singapore, Saudi Arabia, the United Arab Emirates
How to choose the site
Language
Choose the site according to the language, if you know English, you can do the U.S., U.K., if you know German, you can do the German site will be better.
If you have your own products, you want to sell your own products, then we need to do a little market research to understand the site whether there is enough demand, as well as logistics, price and profit and a series of analysis, to find out assorted suitable for the sale of their own products and can make money on the site.
If you do not have their own products, you just want to send to Amazon by picking enough goods to earn the difference in price, it is recommended that you can choose some of the flow of large, strong enough to buy the site!
Extend knowledge video:
Evaluate and plan the Amazon operating cost
Professional Selling Program Monthly Service Fee
Top 17 sites for $39.99 per month.
Singapore, the Middle East (UAE, Saudi Arabia) and India 4 emerging sites, a limited period of free monthly activities
Sales Commission
Different percentage of sales commission according to different categories.
Promotion Fee
Various types of ads, campaigns, coupons, off-site bloggers, etc.
Other Costs
(Dedicated. Account manager service, refund checklist fee, etc.)
Documents needed for newbie to open Amazon FBA store
Color scanned copy of company business license
Color scanned copy of legal representative sfz
Valid card (VSA or Mastercard) for international payments
Accurate and up-to-date contact information
Bank account for receiving payments
Translated with DeepL.com (free version)
