Advice

Jul 08, 2025

Navigating FBA Fees in 2025: Smart Strategies to Maximize Margins

business strategy image

Understanding FBA Fees in 2025

Starting in 2025, Amazon’s FBA fee structure has evolved—but not always in your favor. While fulfillment rates have largely stabilized, storage, dimensional weight pricing, and new surcharges mean that without a strategy, margins can vanish quickly .

Effective margin management now requires understanding how each fee type impacts your bottom line — and taking deliberate steps to control costs."

1. Fulfillment Fees & Dimensional Weigh

Although Amazon kept most fulfillment rates steady from 2024, dimensional weight pricing now affects many SKUs — especially those with heavy or bulky packaging ().

Quick Wins:

• Redesign packaging to fit smaller tiers (e.g., standard vs. oversize)

• Track each SKU’s rate tier to ensure you’re categorized optimally


2. Storage Fees & Aged Inventory Surcharges

Monthly storage fees vary dramatically: ~$0.78/ft³ (off-peak) vs ~$2.40/ft³ during Oct–Dec .

Plus, aged inventory (over 180 days) now triggers extra surcharges .

Pro Tip:

• Rotate or pull slow-moving SKUs before the 180-day mark.

• Embrace promotions, bundles, or removal orders to free up storage space..

3. Dimensional Weight & Packaging Optimization

Every extra centimeter adds cost. Sellers are cutting fees by shrinking box size—just a 1-inch reduction can shift a product into a cheaper tier .

What you can do today:

• Audit current packaging dimensions

• Partner with manufacturers to design leaner, lighter JIT packaging

• Explore flat-pack or collapsible options

4. Smart Inventory & IPI Management

Amazon’s Inventory Performance Index now triggers supplemental fees for over- and under-stocking  .


Keep your IPI optimized by:


  • Monitoring stock at 4–8 weeks supply

  • Avoiding overstock and understock scenarios

  • Leveraging new ASIN and restock exemption program

5. Bundles & SKU Consolidation

Creating value-added bundles not only boosts AOV but slashes per-unit fees  . One seller cut fulfillment costs nearly in half by bundling five units.

Bundle smart by:

• Grouping complementary items (e.g., shampoo + conditioner)

• Upgrading listing so bundle is searchable as a standalone SKU

• Pricing strategically to benefit from economies of scale

6. Low-Price FBA & Bulky Item Fee Changes

Amazon’s Low-Price FBA rate applies automatically to sub-$10 items — and bulky units may now be cheaper due to recent fee adjustments   .

Action Plan:

• Monitor price thresholds to maximize tier eligibility

• Re-evaluate bulky SKU pricing under new 2025 rates

Quick Reference Table

Fee Type

2025 Update

Smart Moves

Fulfillment

Mostly same, but dimensional weight hits bigger packages

Monitor size tiers

Storage

Big seasonal variance + aged inventory surcharges

Pull old stock early

Packaging

Even 1” matters

Redesign box for smaller tiers

IPI

Penalties for extreme stock levels

Maintain balanced supply

Bundling

Higher AOV, lower per-unit fee

Launch complementary bundles

Low-Price Rate

Auto-applied to <$10 items

Price adjust to qualify


Why it Matters to Your Bottom Line

FBA remains a powerful channel — but it’s no longer “set it and forget it.” Fees have become sophisticated, and sellers who manage every angle of fulfillment, storage, inventory, and packaging stand to retain much more profit. The rest risk eroding gains — even if sales grow.

Start

your

Journey

today

with

our

expert

team

Start

your

Journey

today

with

our

expert

team