Skip to main content

Amazon UK prices could rise as it imposes ‘fuel and inflation’ levy on sellers

// Amazon prices could rises as it introduces a 4.3% surcharge for its Fulfilment by Amazon sellers
// The levy will come into force on 12 May and is being introduced to offset rocketing inflation and record fuel prices

Amazon shoppers could could be hit with higher prices after the online giant revealed it will impose a new levy on sellers to offset spiralling inflation and record fuel prices.

From 12 May Amazon’s UK operation will add a “fuel and inflation surcharge” of 4.3% to fulfilment fees for marketplace sellers that use its ‘Fulfilment by Amazon’ (FBA) service.

It is likely that sellers will pass on the cost increase to customers.

READ MORE: Primark raises prices as its unable to offset rising inflation

Amazon chief executive Andy Jassy said the new charges are a response to rising costs following the pandemic and war in Ukraine and would be introduced to many of its markets.

He said: “At a certain point, you can’t keep absorbing all those costs and run a business that’s economic.”

However, Amazon’s profits tripled in 2020 following soaring online sales during the pandemic.

City AM reported that Amazon told UK FBA sellers: “It’s still unclear if these inflationary costs will go up or down or for how long they will persist. Rather than a permanent fee change, we will be employing a fuel and inflation surcharge for the first time.”

The levy will also be introduced to FBA sellers in Germany, France, Italy and Spain.

Click here to sign up to Retail Gazette‘s free daily email newsletter

The post Amazon UK prices could rise as it imposes ‘fuel and inflation’ levy on sellers appeared first on Retail Gazette.



from Retail Gazette https://ift.tt/Q1mEC4G
via IFTTT
Labels:

Comments

Post a Comment

Popular posts from this blog

Eagle Labs launches impirica CBD brand

ST. PETERSBURG, Fla. — Eagle Labs has launched impirica, a new brand of CBD intended to eliminate consumer fear, and increase confidence, in trying the exciting new cannabidiol category. Michael Law Although most Americans have now heard about CBD, many are very confused and concerned about product quality. This is inhibiting trial in the category and holding back conversion into sales. In fact, a 2017 study by Johns Hopkins University found that two out of three CBD products on the shelf did not contain the amount of CBD reflected on the label. Furthermore, in 2018 and 2019, the FDA sent notices to a substantial number of CBD manufacturers advising them of serious concerns about product quality or egregious medical claims. The impirica brand looks different than most CBD brands — the brand name itself connotes testing and trust, says Eagle Labs chief commercial officer Michael Law. “It doesn’t use the traditional category colors of browns and greens, and you won’t find a hemp...
68 comments
Read more

Coronavirus Recovery: Canadian Small Businesses Must Focus on Easing Employee, Customer Fears

By M. Tina Dacin and Laura Rees A small business has been  given the green light to reopen amid the COVID-19 pandemic . What does it need to consider for employees and customers? Small business owners are reorganizing physical space to account for continued distancing requirements and rethinking supply chains to deliver products and services in new ways to meet changing demand patterns. But they must not forget the hearts and minds of employees and customers. That doesn’t mean replacing a focus on the bottom line, but it helps address the need for a new set of expectations and ways of communicating in terms of product or service offerings, delivery methods and real-time feedback. Based on our expertise in organizational behaviour and past research we’ve conducted, we provide a set of recommendations to help small businesses thrive in our new COVID-19 economy by looking after the hearts and minds of the people most important to businesses — employees and customers. Fear, Anxi...
1 comment
Read more

World's 1st Pizza Subscription Service Launches in Toronto

general assembly subscription user opening delivery box of pizza. photo: general assembly pizza By Mario Toneguzzi Toronto-based General Assembly Pizza has launched what it describes as the world’s first pizza subscription service as it also plans to aggressively expand its product offering in the near future by opening a new concept in the market. "Since opening our doors in 2017, we have pushed for the best guest-experience possible — that's why our dough is 100 percent naturally leavened, that's why we have a purpose-built 400-square-foot pick-up and delivery area, and that's why we’ve launched a direct-to-consumer subscription-based ecommerce platform,” said Founder & CEO Ali Khan Lalani. “In 2020, providing the best guest experience means General Assembly Pizza has to be more than a restaurant. I'm proud to say that after almost six months of planning, many roadblocks, and countless pivots — all while maintaining our day-to-day restaurant operatio...
1 comment
Read more