Amazon slashes fees for low‑priced products on Amazon.in
Move targets items under ₹300, promising bigger margins for sellers and cheaper deals for shoppers
Amazon India has announced on Seller Central a sweeping fee reduction that takes effect immediately, aimed at helping sellers list everyday, low‑ticket items more profitably. The revised structure eliminates referral fees on products priced below ₹300 across 135‑plus sub‑categories and trims several other cost components, from weight handling to returns. The decision is expected to widen the marketplace’s affordable catalogue, entice price‑sensitive shoppers, and stimulate micro‑entrepreneurship in tier‑two and tier‑three cities.
Zero referral fees on sub‑₹300 catalogue
For the first time, sellers will pay no referral commission when they list goods priced under ₹300. The waiver covers popular verticals such as apparel, footwear, fashion jewellery, grocery, home décor, beauty, toys, kitchenware, automotive accessories, and pet supplies. By removing this key expense, Amazon hopes to encourage merchants to stock a larger variety of budget‑friendly SKUs.
Also Read: Amazon Announces Dates for Amazon Accelerate 2025
Weight handling and logistics savings
Weight handling fees for parcels under one kilogram have been reduced by up to ₹17, lowering fulfilment costs for small and lightweight orders. Sellers using external fulfilment models like Easy Ship and Seller Flex now benefit from simplified flat rates, while Inbound Cross Dock (IXD) charges on sub‑one‑kilogram consignments drop by as much as eight per cent. Amazon Bazaar, the company’s low‑value‑goods programme, also sees cuts in weight handling and return fees.
Promotions that stack the benefits
Under the new framework, sellers who run multi‑unit offers—such as “Buy 2, Get 10 per cent Off”—can save up to 90 per cent on incremental fees for each additional unit sold. The Promotions Creation Tool inside Seller Central has been updated to reflect these savings, making it easier to launch bundle deals that drive higher order values without eroding profit margins.
Key fee updates at a glance
- Zero referral fee on items priced below ₹300 across 135+ sub‑categories
- Up to ₹17 reduction in weight handling fees for parcels under one kilogram
- Simplified flat logistics rates for Easy Ship and Seller Flex channels
- Up to eight per cent saving on IXD shipments under one kilogram
- Lower weight handling and return charges for Amazon Bazaar listings
How sellers stand to gain
Lean costs mean merchants can lower retail prices yet still preserve margins, boosting competitiveness against offline bazaars and rival e‑commerce sites. Reduced logistics complexity, especially for Easy Ship and Seller Flex users, frees up working capital and simplifies accounting. Sellers focused on high‑velocity, low‑value goods—often home‑based artisans or small traders—should find the new structure particularly advantageous.
Benefits for shoppers
Customers browsing Amazon.in will likely notice a broader array of sub‑₹300 options and more frequent “combo” promotions. Lower seller costs tend to translate into sharper prices, while streamlined fulfilment charges can reduce delivery fees on the checkout page. The end result is a deeper, more affordable selection of daily‑use products delivered to the doorstep.
Ripple effect on local communities
Fee relief can encourage neighbourhood entrepreneurs, self‑help groups, and small manufacturers to enter the online marketplace, creating local jobs and income streams. Increased demand for packaging, courier services, and last‑mile delivery in semi‑urban areas could further stimulate ancillary employment. By lowering the barrier to entry, Amazon’s update supports the government’s broader vision of digital‑first, small‑business growth.
The latest Seller Central announcement signals Amazon India’s intent to own the value segment of e‑commerce. By scrapping referral fees on low‑priced goods and trimming multiple logistics charges, the company empowers sellers to expand catalogues and pass savings on to consumers. If merchants leverage the new fee landscape—especially through smart promotions—the marketplace could see a surge in affordable offerings that benefit shoppers nationwide while nurturing grassroots enterprise.
Also Read: ChannelMAX Unveils New Repricing Interface
Disclaimer:
Amazon is the registered trademark of the e-commerce brand.
About ChannelMAX.NET:
ChannelMAX offers Amazon Repricer that runs on the latest AI Repricing algorithm to do Amazon Pricing Management or Amazon Repricing. Based on Amazon SP API, the repricing engine or repricer runs 24/7 and efficiently manages Amazon prices to maximize your BuyBox with profit optimization. Established in 2005, ChannelMAX has been integrated with Amazon technology since 2007, helping thousands of third-party sellers on various eCommerce platforms. Some of the eCommerce platforms, aka marketplaces, supported by ChannelMAX.NET, are Amazon, Walmart, eBay, and Shopify. Some of ChannelMAX key offerings include ChannelMAX Amazon Repricer, 2ndly, ChannelMAX Amazon FBA Audits and FBA Refunds management, an offering for managing Amazon FBA Refunds Reimbursement management for lost or damaged or misplaced inventory for which Amazon is responsible and for which sellers deserve appropriate credit reimbursement from Amazon. ChannelMAX Services offer Remote (aka Virtual) Full-Time eCommerce Assistant to help 3P sellers run their daytoday business.
Check ChannelMAX at Amazon Selling Partner Appstore, an application with a 5 star rating.
By ChannelMAX Staff Writer
Apr-2025#08
Amazon India has announced on Seller Central a sweeping fee reduction that takes effect immediately, aimed at helping sellers list everyday, low‑ticket items more profitably. The revised structure eliminates referral fees on products priced below ₹300 across 135‑plus sub‑categories and trims several other cost components, from weight handling to returns. The decision is expected to widen the marketplace’s affordable catalogue, entice price‑sensitive shoppers, and stimulate micro‑entrepreneurship in tier‑two and tier‑three cities.
Zero referral fees on sub‑₹300 catalogue
For the first time, sellers will pay no referral commission when they list goods priced under ₹300. The waiver covers popular verticals such as apparel, footwear, fashion jewellery, grocery, home décor, beauty, toys, kitchenware, automotive accessories, and pet supplies. By removing this key expense, Amazon hopes to encourage merchants to stock a larger variety of budget‑friendly SKUs.
Also Read: Amazon Announces Dates for Amazon Accelerate 2025
Weight handling and logistics savings
Weight handling fees for parcels under one kilogram have been reduced by up to ₹17, lowering fulfilment costs for small and lightweight orders. Sellers using external fulfilment models like Easy Ship and Seller Flex now benefit from simplified flat rates, while Inbound Cross Dock (IXD) charges on sub‑one‑kilogram consignments drop by as much as eight per cent. Amazon Bazaar, the company’s low‑value‑goods programme, also sees cuts in weight handling and return fees.
Promotions that stack the benefits
Under the new framework, sellers who run multi‑unit offers—such as “Buy 2, Get 10 per cent Off”—can save up to 90 per cent on incremental fees for each additional unit sold. The Promotions Creation Tool inside Seller Central has been updated to reflect these savings, making it easier to launch bundle deals that drive higher order values without eroding profit margins.
Key fee updates at a glance
- Zero referral fee on items priced below ₹300 across 135+ sub‑categories
- Up to ₹17 reduction in weight handling fees for parcels under one kilogram
- Simplified flat logistics rates for Easy Ship and Seller Flex channels
- Up to eight per cent saving on IXD shipments under one kilogram
- Lower weight handling and return charges for Amazon Bazaar listings
How sellers stand to gain
Lean costs mean merchants can lower retail prices yet still preserve margins, boosting competitiveness against offline bazaars and rival e‑commerce sites. Reduced logistics complexity, especially for Easy Ship and Seller Flex users, frees up working capital and simplifies accounting. Sellers focused on high‑velocity, low‑value goods—often home‑based artisans or small traders—should find the new structure particularly advantageous.
Benefits for shoppers
Customers browsing Amazon.in will likely notice a broader array of sub‑₹300 options and more frequent “combo” promotions. Lower seller costs tend to translate into sharper prices, while streamlined fulfilment charges can reduce delivery fees on the checkout page. The end result is a deeper, more affordable selection of daily‑use products delivered to the doorstep.
Ripple effect on local communities
Fee relief can encourage neighbourhood entrepreneurs, self‑help groups, and small manufacturers to enter the online marketplace, creating local jobs and income streams. Increased demand for packaging, courier services, and last‑mile delivery in semi‑urban areas could further stimulate ancillary employment. By lowering the barrier to entry, Amazon’s update supports the government’s broader vision of digital‑first, small‑business growth.
The latest Seller Central announcement signals Amazon India’s intent to own the value segment of e‑commerce. By scrapping referral fees on low‑priced goods and trimming multiple logistics charges, the company empowers sellers to expand catalogues and pass savings on to consumers. If merchants leverage the new fee landscape—especially through smart promotions—the marketplace could see a surge in affordable offerings that benefit shoppers nationwide while nurturing grassroots enterprise.
Also Read: ChannelMAX Unveils New Repricing Interface
Disclaimer:
Amazon is the registered trademark of the e-commerce brand.
About ChannelMAX.NET:
ChannelMAX offers Amazon Repricer that runs on the latest AI Repricing algorithm to do Amazon Pricing Management or Amazon Repricing. Based on Amazon SP API, the repricing engine or repricer runs 24/7 and efficiently manages Amazon prices to maximize your BuyBox with profit optimization. Established in 2005, ChannelMAX has been integrated with Amazon technology since 2007, helping thousands of third-party sellers on various eCommerce platforms. Some of the eCommerce platforms, aka marketplaces, supported by ChannelMAX.NET, are Amazon, Walmart, eBay, and Shopify. Some of ChannelMAX key offerings include ChannelMAX Amazon Repricer, 2ndly, ChannelMAX Amazon FBA Audits and FBA Refunds management, an offering for managing Amazon FBA Refunds Reimbursement management for lost or damaged or misplaced inventory for which Amazon is responsible and for which sellers deserve appropriate credit reimbursement from Amazon. ChannelMAX Services offer Remote (aka Virtual) Full-Time eCommerce Assistant to help 3P sellers run their daytoday business.
Check ChannelMAX at Amazon Selling Partner Appstore, an application with a 5 star rating.