Amazon India slashes seller referral fees for products under 1,000 rupees
Change
Amazon India stopped charging sellers referral fees on products priced below 1,000 rupees, effective March 16, extending its zero-fee policy to over 125 million products and reducing some shipping charges.
Why it matters
Sellers' per-item cost and profitability calculations are now altered, creating an immediate need to update pricing, margins and fee accounting for low-ticket listings. Competing Indian marketplaces face increased pressure to match fee cuts or add seller incentives to retain small-ticket merchants.
Implications
- • Amazon India third-party sellers offering products under 1,000 rupees must revise product prices, margin calculations and fee accounting immediately to avoid selling below breakeven.
- • Rival Indian marketplaces' pricing teams must cut per-item commissions or introduce seller incentives within weeks or risk losing small-ticket merchants to Amazon India.
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Source
Topics
Retail & E-commerce Supply Chain & Logistics Financial Services