Amazon third party seller (low 8s) here: last time this happened was during COVID and it ended up being a permanent FBA shipping price increase.
Practically speaking shipping accounts for 10-20% of the sale price, so realistically it's the seller who will absorb it and maybe pass on costs to the buyers, but we're talking about 3.5% of 10-20%, which is really a 1% price increase, so a noticeable but not make-or-break issue in the death-by-1000-cuts.
The Andy-led Amazon is less forgiving than the Jeff "your margin is my opportunity"-led Amazon on profitability so price shocks have passed through to sellers much more immediately than prior years where Amazon would just move slowly and stably.
The bigger Amazon news recently is on DD+7 and how Amazon basically increased their float and delayed payments on all sellers, and that's been kinda a pain to navigate.
Amazon still charges ebook publishers the same “delivery fee” for each sold digital copy (US$0.15/megabyte) as it did in the mid 2000s when Kindles came with 3g chips.
Maybe the technical requirements at the time were a good excuse but as soon as you demonstrate the market will tolerate that why on earth would you remove it?
To turn around the famous quote: "Amazon's margin is someone else's opportunity". :)
The Amazon flywheel is all about reducing costs to consumers. The moment that stops happening, consumers can get caught by offers elsewhere, and the flywheel can start to go backwards.
That's not exactly true, they expanded the free tier from 1 to 100GB/mo (1TB/mo out of CloudFront) and dropped egress from ~20c/GB to ~9c/GB. This was due to pressure from the Bandwidth Alliance formed by all the other Clouds and spearheaded by Cloudflare.
It may or may not be anyone of scale (I haven't been keeping track of the seller names), but there sure are a LOT of sellers who do that. Practically every search result I've looked for on Amazon in the past few years is flooded with people reselling Chinese brand goods or Chinese no-name brand goods. Even when I search for a specific US -brand product, the results are filled with similar (or similar-ish) Chinese goods that are all selling the same few product variations.
Glad to hear that's not you, though. Amazon definitely doesn't need any more people reselling like that. And good luck! I used to sell used books on Amazon (both seller-fulfilled and FBA) when I worked at a book store and year after year it became more and more of a nightmare until it simply wasn't worth our time anymore.
It's prob the other way around -- for almost a decade, Amazon's made it incredibly accessible for any Chinese factory, trading company, and middleman to spin up new brands on Amazon to reduce American brands and resellers' pricing powers. So the guys on Temu are selling their stuff rebranded on Amazon because it's fairly easy to spin up new stores and brands, while making it difficult for US sellers to do likewise.
Even worse (this actually happened to us a couple years back), Chinese companies outright steal our images/assets and then put them on other channels like Temu or Aliexpress, selling their knockoffs there pretending to be us. We were only made aware of this when we noticed products asking to be RMA'd from our support email, but with order receipts coming in from Aliexpress.
I digress, but the beatings will continue until morale improves...
We could immediately provide relief to fuel prices, while doing the climate a huge favor, by immediately suspending the USPS accepting marketing material through the mail.
My mailbox is permanently jammed with paper that useless paper that is both produced and hauled away to a landfill by diesel fuel.
A lot of the USPS budget is from delivering bulk mail. They already fail to break even (albeit with absurd retirement funding rules imposed on them). Without the fees from bulk mail they would need to raise prices, and it's not entirely clear they could given they face strong competition.
I don't really understand why we need a US Postal Service in 2026. Yes, the Constitution grants congress the power to establish "post offices and post roads" but it doesn't mandate it AFAIK.
Other countries (Denmark is an example) have completely privatized physical mail delivery. All official mail is electronic. There's some nostalgia for the postman on his red bicycle (or in the USA, walking the neighborhood or driving their funny looking trucks) but are they really necessary?
Edit to add: since running post offices is explicitly a Federal power, a conversion of US Mail to being electronically based would be completely within scope. There would be no arguing over "states rights" that tends to become a logjam for any other national infrastructure or policy changes.
Practically speaking, USPS does a lot of last mile package delivery that no one else wants to do, including Amazon. If USPS wasn't delivering to those locations no one would be. And we're not talking middle-of-no-where-Wyoming locations, plenty of places east of the Mississippi have only USPS too.
There's all sorts of philosophical arguments as well: government services shouldn't need to turn a profit, all citizens need to be able to interact with the State and the post office provides a way to do that, mail-in voting, Post Offices can offer stuff like general delivery for those without permanent addresses, etc.
There are lots of rural places the USPS doesn't deliver to. They require you to get your mail at a PO Box at the nearest post office, or have a mailbox at a common spot on the nearest public road (which might be a fair distance from your house).
They won't deliver to the house but they'll still deliver to that area. Amazon/etc wouldn't even deliver to the area without the infrastructure of the USPS.
You need a non-electronic way to bill land owners for property taxes. That's it. Physical snail-mail is the de-facto way for the government to legally serve property taxes and other bills to private citizens. Yes we live in 2026 and everyone has email, but there's no legal requirement to give the government your email address, or even have one. You are however, legally required to provide a mailing address for your property tax bill to be sent to.
Sure, by that standard we could probably reduce to weekly or even monthly mail service. It's been suggested since at least 2008 we drop Tuesday mail service as almost nobody sends mail on Saturdays and there's no mail service on Sundays.
Who says anything about e-mail? Government could legislate specific government electronic inboxes, with e-mail and SMS notifications of delivery, as has been happening in several, if not all EU countries.
I haven't got a snail mail from my government for years at this point, nor did I needed to send one that way.
That's wonderful: the option of a payment portal isn't the point. The purpose of snail mail is process can be served prior to seizing/applying a lien on the property when you don't pay (online or otherwise.)
I'm not sure I'd put "reliable" in any description of the USPS. I get my neighbors mail in my box often. I can only assume some of my mail gets delivered to them as well.
I think it's mostly not needed, but there are a lot of edge cases or narrow situations where it's important. They could be fixed, but no one is doing that.
IMO, a better option is to switch to 3 days/week delivery, and where addresses are very spread out, require centralized boxes.
Those other countries are much, much smaller in land mass than the US making it much easier for private companies to be competitive. Privatizing post in the US would be potentially life threatening to some rural communities. More than just mail is delivered. Saying we don't need one is pretty out of touch IMO.
It provides the best service of all of them. I'm not sure why you would want to add a profit-seeking middleman when you can just fund the service at cost.
I made a living selling on Amazon about 15 years ago. It all came crashing down when they held all of my money (around $50,000) and had to 'investigate'.
Nothing ever came of it and they released my money, but banned my seller account for 10 years.
It was actually a good thing. I started my own site and made a good living for a decade. Covid shutdown the business.
It seems like there are still healthy ways to do it, I see some products sold by third party sellers that clearly are real small businesses. I google them find their real site and sometimes they offer pricing better than what they can offer after amazon fees etc.
I see that as the absolute best approach for someone like that, leverage the platform but don't allow it to be your entire online presence.
My own use case was sadly, just leveraging the platform and as all the margins tighten not only on the amazon platform itself but on shipping costs, it just gets tougher and tougher. Happy for the experiences they offered me freedom wise, but also happy to be moving on.
Please don't tell anyone but I've been a delivery driver for Amazon's Flex program (where we use our own cars). If my route has an especially long number of miles, they slip me an extra $5 in my pay.
Normally it's around 100 miles per route, with around 45 deliveries, but if it creeps over 120 or so, that's when I see it.
Sometimes I wonder if we just do these wars so that companies can raise prices and when the war ends, not lower them. Do we ever see "oil prices are down 3.5%, we are lowering our prices by 3.5%"? Never. "But the free market will force someone to do this to gain marketshare." But Amazon is the only Amazon, so I doubt that will happen.
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Practically speaking shipping accounts for 10-20% of the sale price, so realistically it's the seller who will absorb it and maybe pass on costs to the buyers, but we're talking about 3.5% of 10-20%, which is really a 1% price increase, so a noticeable but not make-or-break issue in the death-by-1000-cuts.
The Andy-led Amazon is less forgiving than the Jeff "your margin is my opportunity"-led Amazon on profitability so price shocks have passed through to sellers much more immediately than prior years where Amazon would just move slowly and stably.
The bigger Amazon news recently is on DD+7 and how Amazon basically increased their float and delayed payments on all sellers, and that's been kinda a pain to navigate.
https://kdp.amazon.com/en_US/help/topic/G200634500
The Amazon flywheel is all about reducing costs to consumers. The moment that stops happening, consumers can get caught by offers elsewhere, and the flywheel can start to go backwards.
In two decades, since 2006, they've only come down by about 50%.
Glad to hear that's not you, though. Amazon definitely doesn't need any more people reselling like that. And good luck! I used to sell used books on Amazon (both seller-fulfilled and FBA) when I worked at a book store and year after year it became more and more of a nightmare until it simply wasn't worth our time anymore.
Even worse (this actually happened to us a couple years back), Chinese companies outright steal our images/assets and then put them on other channels like Temu or Aliexpress, selling their knockoffs there pretending to be us. We were only made aware of this when we noticed products asking to be RMA'd from our support email, but with order receipts coming in from Aliexpress.
I digress, but the beatings will continue until morale improves...
My mailbox is permanently jammed with paper that useless paper that is both produced and hauled away to a landfill by diesel fuel.
No I do not want your credit card offer.
No I do not want to switch phone plans.
No I do not want an extended warranty.
Delivering less mail each day doesn't really make much difference if the mail carrier still has to come to my neighborhood 6 times a week.
Other countries (Denmark is an example) have completely privatized physical mail delivery. All official mail is electronic. There's some nostalgia for the postman on his red bicycle (or in the USA, walking the neighborhood or driving their funny looking trucks) but are they really necessary?
Edit to add: since running post offices is explicitly a Federal power, a conversion of US Mail to being electronically based would be completely within scope. There would be no arguing over "states rights" that tends to become a logjam for any other national infrastructure or policy changes.
There's all sorts of philosophical arguments as well: government services shouldn't need to turn a profit, all citizens need to be able to interact with the State and the post office provides a way to do that, mail-in voting, Post Offices can offer stuff like general delivery for those without permanent addresses, etc.
Sure, by that standard we could probably reduce to weekly or even monthly mail service. It's been suggested since at least 2008 we drop Tuesday mail service as almost nobody sends mail on Saturdays and there's no mail service on Sundays.
I haven't got a snail mail from my government for years at this point, nor did I needed to send one that way.
Passports, driving licenses, polling cards, draft registration, pensions, company registrations, patents, copyrights, court summons, speeding fines, inheritance, tax paperwork, census, etc etc.
It’s much simpler to perform these duties if you have a means of communication that can reliably reach every citizen.
IMO, a better option is to switch to 3 days/week delivery, and where addresses are very spread out, require centralized boxes.
> I don't really understand why we need a US Postal Service in 2026
Mail in voting.
>They already fail to break even
It doesn't need to make money or "break even." We just pay the cost in tax or postage that is needed to run the service.
This time I think the surcharge will stay until the war is concluded.
Nothing ever came of it and they released my money, but banned my seller account for 10 years.
It was actually a good thing. I started my own site and made a good living for a decade. Covid shutdown the business.
Building a business on Amazon is a mistake.
I see that as the absolute best approach for someone like that, leverage the platform but don't allow it to be your entire online presence.
My own use case was sadly, just leveraging the platform and as all the margins tighten not only on the amazon platform itself but on shipping costs, it just gets tougher and tougher. Happy for the experiences they offered me freedom wise, but also happy to be moving on.
Normally it's around 100 miles per route, with around 45 deliveries, but if it creeps over 120 or so, that's when I see it.
I'd definitely be more likely to "wait it out" when considering purchases in my cart if I can see what I expect will be a temporary levy.
https://www.fedex.com/en-us/shipping/historical-fuel-surchar...
https://www.ups.com/us/en/support/shipping-support/shipping-...