+86 15546883080 (China mainland) +852 6554 1700 (Hong Kong)  [email protected]

Amazon asks sellers to send it more stuff

Amazon is offering its third-party sellers discounts on storage fees as part of its plan to fulfill speedy shipping promises.

According to Business Insider, Amazon now offers a 75% discount on storage fees at its warehouses in exchange for storing best-selling items there.

This would enable Amazon to offer more items on its Prime one-day delivery service. The company recently announced that it would be reducing its speedy two-day shipping policy down to one-day.

If the plan works as expected, these merchants will sell more stuff and Amazon will be able to promote a large selection of one-day shipping inventory, reports CNET. Plus, consumers will benefit from faster shipping of more products.

Amazon’s third-party marketplace has become one of the most profitable areas of its business. Sales from these sellers now make up for more than 58% of the physical gross merchandise sold on Amazon, growing from $0.1 billion in 1999 to $160 billion in 2018.

CEO Jeff Bezos commented on the success of this arm of the business in the company’s annual letter to shareholders in April. “To put it bluntly: Third-party sellers are kicking our first party butt. Badly,” he said.

More Amazon news

Amazon lists thousands of banned and unsafe products

Amazon lists thousands of banned and unsafe products

Dangerous products for sale on AmazonThe platform was found to have 4,152 items that were deemed unsafe by federal agencies, labeled misleadingly, or banned by federal regulators by a report from The Wall Street Journal.These listings, many of which were...

read more
Amazon Launches Operations in Israel

Amazon Launches Operations in Israel

Amazon expands to the fast-growing Middle East marketAmazon announced the start of operations in Israel and launched a website encouraging  sellers to start deliveries to Israeli customers.Amazon Services website in both Hebrew and English offers local and...

read more