Originally published on October 21, 2025, updated October 21, 2025
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Amazon has once again “nudged” its Fulfillment by Amazon (FBA) fees for 2026 - though if you’re a third-party seller, it might feel more like a shove. Officially, the company says average fees are going up by just eight cents per unit. In reality? Sellers of small, high-priced items are staring down double-digit percentage increases that could leave profit margins gasping for air.
This isn’t just another rate adjustment, it’s a strategic shift that changes how sellers price, package, and ship their products. Let’s unpack what’s really happening behind Amazon’s PR spin and what you can do to stay profitable in 2026.
Amazon’s official stance is that these fee changes are reasonable, especially when compared to 3.9–5.9% annual increases from traditional carriers. But dig a little deeper and you’ll see where sellers are taking the hit.
Starting January 14, 2026, FBA will move to a three-tiered fulfillment pricing model for standard-sized products:
Price Tier | Example | Fee Change |
Under $10 | 4 oz beauty item | +3.6% |
$10–$50 | Standard accessories | +6–8% |
Over $50 | Premium items | +14–15% |
If your business relies on small, lightweight, high-value products (think supplements, skincare, or tech accessories), these increases are more than “minor”... they’re margin-crushing.
Let’s talk placement fees: the cost of sending all your inventory to one fulfillment center. These are jumping 6% to 179%, depending on product size and weight.
Amazon’s clear message: Stop shipping to one warehouse.
If you want to avoid the penalty, you’ll need to play by Amazon’s distributed logistics model and ship to multiple fulfillment centers. This adds complexity but may help sidestep the steepest fees.
If you’re not ready to manage multi-location shipments in-house, consider using a 3PL hub in the Midwest (Kentucky and Ohio are popular choices). It reduces both placement fees and inbound freight costs.
Previously, bulky items that could “Ship In Their Own Packaging” (SIOP) earned a $2–$3 discount. That’s gone.
In its place, Amazon is essentially making SIOP the new standard, but without the reward. Bulky items will technically see a 2–16% fee decrease, but that’s offset by the lost discount.
Invest in sturdier packaging (think 5–7-layer corrugated boxes or double-boxing). You’re now fully responsible for making sure your product survives the delivery gauntlet.
Beyond fulfillment and placement, a few more line items are inching upward:
These changes mean it’s time to get surgical with your pricing and operations.
If your product sits at $10.99, you might actually make more by pricing at $9.99 and dropping into the lower fee tier.
With SIOP now standard, packaging durability is non-negotiable. Treat it as a product investment, not an expense.
These fee updates aren’t random- they’re Amazon’s attempt to control pricing behavior in an increasingly inflation-heavy, tariff-affected economy.
By rewarding low-priced items and penalizing higher ones, Amazon’s trying to keep overall consumer prices stable (and fend off rivals like Temu and Shein). But as tariffs and operating costs rise, sellers are being asked to absorb the blow, and many simply can’t.
The likely outcome?
Even with these incentives, prices on Amazon will still creep up in 2026. Sellers will either raise prices or trim profits, but both roads lead to a rougher ride for everyone involved.
Amazon’s fee schedule just got a lot more complicated, but your profit tracking doesn’t have to. SellerPulse automatically surfaces FBA fee changes, alerts you when costs start eroding margins, and gives you a clear view of your profitability across SKUs.
Start Your Free Trial of SellerPulse Today
Keep your profits visible, even when Amazon’s fees aren’t!
Amazon may call these “modest updates,” but if your margins are already tight, modest isn’t the word that comes to mind. Staying profitable in 2026 isn’t about guessing, it’s about knowing where your costs are shifting and acting fast.
With SellerPulse on your side, you can stop reacting to Amazon’s fee surprises and start making proactive, profit-driven decisions.
Originally published on October 21, 2025, updated October 21, 2025
This post is accurate as of the date of publication. Some features and information may have changed due to product updates or Amazon policy changes.
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