The inside story of Amazon’s low-price mall is fully exposed!

The products are required to be unbranded and have different ASIN/SKU from the main site: the products sold in the low-price store are displayed through a new store. Buyers can access this store through the Amazon app, and currently the low-price store is only available in the United States.

Several requirements for low-priced goods:

• Fashion, Home and Living

• Must be new

• All products must be listed under a non-brand name

• The weight of the products stored in the FBA warehouse does not exceed 1 pound.

• No larger than 14 x 8 x 5 inches

• Dangerous goods, products with batteries, edible or spreadable products are prohibited

Notice:

• Amazon mentioned that when creating and editing product information, ASIN and SKU must be low-priced products

• The same SKU cannot be used on the main site and the low-price store

• If the seller transfers the SKU of the main site to the low-price store, the product will be stopped from sale

  
  

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Product price setting requires exposure

Amazon sets maximum prices for 686 products:

• Includes camping equipment, bottle opener, calendar, makeup brushes, etc. for $7;

• The upper limit for mobile phone cases, cycling equipment, hats, light strings, etc. is US$10;

• The upper limit for pajamas, shirts, shorts, trash cans, etc. is 14;

• The maximum price for large or high-tech items such as digital cameras, desks, and lawn mowers is $20;

The following table shows part of it:

This price is very tight. If you want to sell products above this price, please go to the main site Amazon.com.

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Details of FBA delivery, storage fees and other expenses

Currently, orders for low-price stores are delivered by Amazon and shipped from Amazon's warehouse in Dongguan, Guangdong. Since it is Amazon that ships the goods, FBA fees cannot be avoided.

1. The delivery fee is mainly based on the shipping weight and the major categories, as shown in the following table:

In addition, the storage fee of low-price stores is US$0.4 per cubic foot per month. This is the rate for the whole year and is not divided into peak and off-peak seasons for the time being.

2. Removal and disposal fees increase gradually by weight. For reference:

3. Key issues regarding returns:

• The return window for low-price stores is 15 days from the date of delivery, and no returns are accepted for refunds under $3.

• Now, orders above $3 are automatically refunded without return.

• The refund management fee is the same as the main site , which is US$5 or 20% of the sales commission, whichever is lower.

• Bulk clearance fees are the same as the main site

  
  

Some sellers, after doing the math, directly stated that they could not run a low-price store . In comparison, the FBA fees of low-price stores are much lower than those of the main site, but the costs of returns and refunds are very high. Sellers even said that the costs are too high and they have no chance of running a low-price store.