Amazon scraps additional 2% fee for Seller Fulfilled Prime program
Amazon has officially abandoned its plan to charge an extra 2% fee from Prime sellers who don't use the company's shipping services. The company had initially planned to implement the fee starting October 1, in addition to the existing 8-15% commission it collects from merchants. The company's decision came after concerns that the "seller sentiment related to the fee" could affect the participation in the Seller Fulfilled Prime program, Amazon's PR manager Jonathan Hillson told The Verge.
Seller Fulfilled Prime program allows merchants control over product shipping
The Seller Fulfilled Prime program allows sellers to maintain control over the shipping of their products without sacrificing the highly sought-after "Prime" label, which guarantees one- to two-day delivery. This option may be particularly appealing to businesses that prefer managing their products' handling instead of relying on another company's workforce. The now-scrapped additional 2% fee would have only affected sellers participating in this Seller Fulfilled Prime program.
'Amazon is committed to supporting sellers' success'
In response to the decision, Hillson stated that the company is "committed to supporting sellers' success, which includes listening to their feedback." The decision not to implement the additional 2% fee demonstrates Amazon's willingness to adapt its policies based on seller input and concerns. This move may help maintain a positive relationship between the e-commerce giant and its merchant partners.
FTC plans lawsuit against Amazon
Separately, the US Federal Trade Commission (FTC) is preparing an antitrust lawsuit against Amazon, alleging that the company forces its sellers into arrangements they would rather avoid. The FTC is already suing Amazon over claims that it deceives customers into opting for its Prime service. The upcoming lawsuit could further scrutinize Amazon's business practices and its relationship with third-party sellers on its platform.
