Well then I guess we are done with FBA since AWD doesn’t accept anything with a shelf life…
I love the concept and I think Amazon can execute it flawlessly if they put their minds to it. I just don’t think they are there yet based on many things I have read.
ETA - IMO, I don’t think they have anywhere near the space needed to do this universally. They might have a tiny fraction of what’s needed. They will need to covert some of their overbuilt space and maybe even get more to pull this off. In the end, it will probably be worth it so we shall see. I do believe Amazon has some of the best minds in logistics at their fingertips.
I just looked it up and they don’t do SPD. That’s too expensive for me.
I’m worried about the placement fees because I am gone for a whole month each summer and I stock up big for FBA. I can’t afford to do that if there is a large placement fee.
placement is only if you choose not to split shipments - so don’t force shipment to single fc if the shipment workflow splits shipment then go with the flow; no?
AWD is for big sellers (with big items) who would otherwise pay a fortune to store their products in FBA.
If you have less than 1 pallet of inventory your monthly storage fees would be < $50. That dollar amount doesn’t justify the headache of involving another service in your supply chain.
Ya, all the old tricks of making cases into pallets and making single sku pallet quantities more than 1 pallet don’t work like they used to because the fees are per unit/region.
We got around the whole split shipment thing by telling the system one pallet fit 5 pallets worth of stuff, then let the system figure out what one location to ship to the 5 pallets to.
The good news is that if we are going to get the fee no matter what, we can put more than one sku on a pallet again and we can go back to making mixed pallets that are not sent to 3 different FC’s. It was a PITA to send SKU A to one FC and SKU B to another one 50 miles away.
There used to be a few ways to game the system so that you’d only need to ship to 1 FC (and in most cases a local one). This is probably why you now unconditionally get hit with the placement fee if there’s no split offered. It’s basically the seller’s responsibility now to make sure the shipment’s splitable if they don’t want to pay the placement fees.
Yup. Knew this was coming when they rolled out Send To Amazon, because we had to get creative to not have pallets split to SPD for each SKU in a shipment.
Today is test shipment day, where we see if amazon gives us the double whammy by charging the fee on a muli sku pallet, AND make us ship to two different same region destinations raising the LTL/FTL price.
You may be right but they aren’t the only seller talking about this full truck load issue…
You can’t split a truck into 5 pieces so FTL sellers are in deep doo doo.
The April 15th FBA Fee cut will absorb a good chunk of this but nevertheless, this one is probably the biggest margin hit I’ve ever seen for FBA sellers.
Why the cut wasn’t done at the same time as the fee decrease is acid in the wounds of FBA sellers.
Aggrandizement is the act of enlarging or expanding something’s power or status . It’s hard sometimes to tell if politicians run for office in order to help their communities, or just for their own aggrandizement.
This is hogwash. If they’re actually sending in a FTL, they can certainly split that up and it wouldn’t cost 3K. It will likely cost a multiple of $600 and probably be 2-3X (probably closer to 3X) more expensive on shipping, but it wouldn’t be 6X.
These fee were also announced a while ago, so this isn’t some shocker that it’s happening, though I think a lot of people underestimated what the new costs would be. And as I said before, inbound costs for the past year have been abnormally low.
