Amazon FBA Fees: The Hidden Calories Killing Your Profit
Every Amazon seller loves talking about revenue. But here’s the kicker — just like people massively underestimate how many calories are in a “cheeky takeaway,” sellers massively underestimate how much FBA fees are eating into their margins.
On the surface, your sales look lean and strong. But underneath? Those hidden fees are the junk calories killing your gains.
The Silent Killers in FBA
Referral Fees: The Amazon “cover charge” you pay just for being on the platform.
FBA Fulfilment Fees: Pick, pack, ship — fair enough, but they add up faster than you think.
Storage Fees: The Netflix subscription you didn’t cancel… except Amazon charges you for every cubic foot of shelf space.
Long-Term Storage Fees: The equivalent of eating dessert every night “because it’s only small.” It compounds.
Individually, they don’t look bad. Together, they chew through your margins like a bad bulk diet.
Why Sellers Get Caught Out
Most sellers focus on topline revenue — it feels good to flex a “$100k month.” But if you’re not tracking FBA fees line by line, you’re basically ignoring half your calorie intake. You think you’re in a surplus (profit), but really you’re in a deficit (loss).
We’ve audited accounts where the seller thought they were running 30% net margins… only to discover they were closer to 8% once fees were stripped out. That’s not a lean, efficient physique. That’s metabolic chaos.
The Pricing Trap Nobody Talks About
Here’s one most sellers miss: where your price can change which FBA fee category you fall into.
Example: Pricing at £10.99 might seem smarter because it’s “a pound more.”
In reality, that tiny jump could push you into a higher referral fee bracket, and take you out of Amazon’s Low-Priced FBA Fee tier.
Meaning your net margin is actually lower at £10.99 than it would be at £9.99.
That’s like eating “protein bars” thinking they’re healthy — only to realise they’ve got more sugar than a Mars bar.
The Fix: Track Every Macro (Fee)
Just like tracking calories and macros is the key to hitting your physique goals, tracking every FBA fee is the key to hitting profit targets.
Break down fees per SKU.
Identify products with poor “nutrient density” (high fees, low return).
Cut or reprice the junk, and double down on the products that actually feed your bottom line.
The Takeaway
You can’t out-train a bad diet, and you can’t out-sell bad margins. Amazon FBA fees are the hidden calories killing your profit — until you track them, you’ll never truly know if your business is lean, or just bloated. And sometimes, that “extra pound” in price is doing more damage than good.
