Amazon’s latest announcement: UK multi-channel delivery fees will increase!

Today ( September 14), Amazon UK announced that in order to continue to respond to the challenges brought by the global economic situation, Amazon will revise the UK's Multi-Channel Fulfillment (MCF) fees on November 12, 2022. The MCF single-order shipping costs will increase.

Under the influence of the epidemic and the conflict between Russia and Ukraine, inflation continues in the United States and many European countries, resulting in rising fuel costs, transportation costs, and labor costs. According to Amazon, although Amazon has been working hard to postpone and reduce changes, it has still added billions of dollars in costs in the process. In order to ensure the delivery speed, reliability, and service quality of goods, Amazon has decided to increase the MCF fee in the UK. The adjusted MCF fee will help offset the higher operating costs that Amazon will face in the future.

Amazon says these higher MCF fees provide merchants with best-in-class speed and reliability in shipping, and that it continues to look for ways to improve its overall service.

In addition, based on the feedback from merchants, Amazon will launch multi-unit discounts, that is, multiple items will enjoy a discount on delivery prices. These discounts will allow merchants to deliver multi-unit orders at a cheaper per-unit rate, saving an average of 25.2% of costs. For example, the delivery fee was £3.15 before the adjustment, and the fee for one item per order is £3.31 after the adjustment, while two items per order can enjoy a discount of £2.81 per item, and more than three items per order can enjoy a discount of £2.2 per item.

The announcement also shows that in order to continue to support merchants' business growth, Amazon has made improvements and added features to its distribution and delivery network, mainly including: launching unbranded packaging in the UK, which is now free to purchase; on-time delivery rate exceeding 99%; investing in increasing the capacity of operations centers to help meet growing demand.

In addition to raising MCF fees on the UK site , Amazon will adjust the delivery network rates on sites in other European countries based on cost reviews, and the European delivery network will also enjoy delivery discounts for multiple items.

Generally speaking, all transportation providers adjust their fees every year. It is understood that in order to cope with the rising operating costs brought about by the continued surge in inflation, Amazon has adjusted its delivery fees several times this year.

For example, in March this year, Amazon announced an increase in MCF fees on the US site; in April, Amazon announced a 4.3% fuel and inflation surcharge on top of the current FBA delivery fee per piece rate in the UK, Germany, France, Italy and Spain; in August, Amazon continued to charge FBA surcharges in the US and Canada.

Many sellers are complaining about the repeated increases in Amazon's delivery fees, saying they are paying for inflation in Europe and the United States.

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