Client Letters: Amazon Peak FBA Fees & TikTok Partnership

‘Tis the season which means a plethora of announcements. You heard of the Amazon earnings last week that added onto slowdown fears, the announced October 19 day for FBA inventory plus deal types and now Amazon has announced peak FBA fees. A couple of details on the peak fee announcement:

• Most fees are consistent with the fee increase of last year in which the per unit increase is $0.20-$0.40 higher than non-peak

• Peak fees run from October 15, 2024 to January 14, 2025

• Do keep in mind that most fees are well below that of comparable two day fulfillment shipping methods even during peak (UPS, USPS and FedEx will announce premiums)

Lastly, The Information is now reporting that Amazon and TikTok have reached a deal in which TikTok will enable users to buy items from Amazon advertisements without leaving the TikTok app. This is a major shift for TikTok who has previously focused on building their own eCommerce offering. We continue to view TikTok as a platform that will not be shut down in the near term due to size and widespread use of the app.

Your Brand Manager will reach out to you to discuss this further. Please do not hesitate to contact help@commercecanal.com if you have any questions.

Thank you,

Commerce Canal Team

Disclosure: Client Letters are intended for Commerce Canal clients, investors and employees. Commerce Canal and its officers, directors and employees provide this content for informational purposes only.