This is a new one for me. I was using the FBA Revenue Calculator a few days ago and the default option is now “Low-Cost Store”. Description says:
Low-Cost Store
The Low-Cost Store is a dedicated shopping experience within Amazon stores that allows customers to shop low-priced, unbranded fashion and lifestyle products
**Lower FBA fees: Fulfillment and storage fees for Low-Cost Store items will be significantly lower than for standard FBA
**Amazon fulfillment center located in China
**Hassle-free delivery with Amazon’s trusted delivery network
**Dedicated storefront to highlight low-cost selection
Screenshot below. I don’t see I’ve seen an announcement regarding this before.
I just read the article below and do remember having previously read that Amazon wanted to put together a competitive alternative to Temu, which I’m assuming is the now so-called “Low-Cost Store”:
It’s both - Amazon is expanding its infrastructure with more FCs in the PRC.
From what I’ve seen so far, it has yet to be revealed whether or not the Low-Cost Store’s Chinese participants will be held to the same requirement for deploying a domestic return facility which currently applies (and for many years has) to foreign-based sellers selling into the US Marketplace.
Considering there’s already container shipping direct to FBA, it’s gotta be some real cheap junk to justify shipping direct from china to consumer and making them wait 3 weeks to get it.
I would imagine they’d just do returnless refunds for this.