Amazon Revenue Calculator Increasing Fees As I increase Price?
Hi All,
So i’m currently trying to use the amazon revenue calculator, but every time I increase my selling price, it increases the fulfilment price, even though theres no change to the product dimensions or weight.
For example, when listing the product, I put in my calculations based of the recommend amazon selling price thats automatically entered when selecting a product.
Selling price: £11.39 / Amazons referral fee: £1.74 / Fulfilment price: £2.91 / Cost of goods: £4.48 =
Profit: £2.22
Now, thats a 19.49% profit margin, which is not to bad, if you’re moving an reasonable amount of stock each month .
but I would like to increase the selling price to £12.88 to reflect a profit margin of 28.88%. This is also a cheaper selling price than the current seller with the buybox, only by around £0.10 pence.
But when I increase the automatically entered selling price in the revenue calculator from £11.39 to £12.88, it dramatically changes the amazon fees to a point I would be making much less profit than I would if I sold at a lower price.
The new breakdown is:
Selling price: £12.88 / Amazon referral fee: £1.97 / Fulfilment fee/price: £5.29 / Cost of goods: £4.48 =
profit: £1.10 / 8.5%
Does anyone know why this is happening, and if this is accurate, or is this some form of glitch with the calculator which wont be reflected in the actual fees after actually selling.
Any advice on this?
here are the two breakdowns side by side:
A: Selling price: £11.39 / Amazons referral fee: £1.74 / Fulfilment price: £2.91 / Cost of goods: £4.48 =
Profit: £2.22 / 19.49%
B: Selling price: £12.88 / Amazon referral fee: £1.97 / Fulfilment fee/price: £5.29 / Cost of goods: £4.48 =
profit: £1.10 / 8.5%
submitted by /u/Anonmoc
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