Increased Costs at Marketplaces

Increased Costs at Marketplaces

The Crabby Nook on 19th Apr 2022

We are asking our customers to please make purchases from our website. We strive to offer our products at great prices and with the current climate of our economy, prices continue to increase to sell on marketplaces.

Just this past week alone, Amazon increased their FBA fulfillment fee by 5%. They have also increased their storage fees for our products held in one of their fulfillment centers. Sellers also pay for the shipping of their products to them from their manufacturer and then shipping to the Amazon Fulfillment Center. Our goal is to move toward not relying on Amazon Prime as much and shipping directly from our location.

Amazon also notified us that they have many customers who make too many "Item Not Received" claims even though the item shows delivered to their address. Amazon has always covered those claims when we purchase the shipping label with tracking from them. Now they are making recommendations to the seller to include "Signature Confirmation" with these deliveries. USPS charges $3 per signature confirmation and UPS charges $6 for signature confirmation. Again, another increase we have to add to our selling price. 

This chart shows you the increase in the Amazon Fulfillment Center Storage Fees for each item:

USPS has increased their prices for the second time just this year alone for packages. For boxes that measure over 12" they have added a $4 fee. That includes First Class also. We ship larger items because not many sellers will due to the costs. I know this says over 22", however, I shipped several 18"x14"x3" packages yesterday, and I was charged the extra $4 per package. We ship a couple of products in 30"x15"x15" that the current shipping price is now $137.87 each up to five pounds!

If packages have dimensions that exceed machinable sorting requirements: New nonstandard fees will apply:

  • Packages greater than 2 cubic feet in volume: $15.00 surcharge
  • Packages with a box length over 22 inches: $4.00 surcharge
  • Packages with a box length over 30 inches: $15.00 surcharge

Walmart has zero protection for third party sellers on their marketplace. We are required to add "Signature Confirmation" to each package sold on Walmart and shipped to their customer. We currently do not use the Walmart Fulfillment Centers at this time, so, we do not have to include any storage fees to our Walmart listings. Walmart does charge their third party sellers the 15% per sale fee.

Most buyers on eBay still believe most sellers are charging too much for shipping. Many eBay sellers have changed their listings to the cost of shipping separate that is calculated at the time of check-out. For sellers like us who include the shipping costs in our price it looks like our prices are higher than other sellers. Would you prefer to pay for shipping separate or have the shipping cost included in the selling price?

We have included many items in our store this year from wholesale vendors because the ocean shipping rates have not come down enough to justify importing from other countries yet. Most of the prices from wholesale vendors have increased over 30%. Please remember: for us to continue offering you the products you like to have we have had to increase our selling prices. We offer return customer coupons with 10% OFF their purchases, $10 OFF orders over $100, and, monthly sales. We encourage you to purchase our products directly from our website to save on your purchase. 

Thank you for supporting our small business these past 20 years. 

See You Shopping Soon...