How to Use Amazon FBA Cost Calculator

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Amazon’s most successful merchants primarily use the Amazon FBA calculator to research products. It is also employed by some of the most successful business owners regarding re-pricing. Being an Amazon FBA seller, you can use the FBA cost calculator to see if they should raise and lower their product’s pricing.

Steps to Use FBA Cost Calculator

Now that you know what the Amazon FBA calculator is for and how much it costs, here are a few guidelines on making the most of it for product research and profit impact checks. As a starting point, consider this alarm clock from Amazon.

Step 1

In this first step, you’ll need to gather your supplies. To begin your product research with the Amazon FBA cost calculator, enter any relevant search phrases (e.g., wooden lock, round the clock, round hardwood alarm clock) or the product’s ASIN, ISBN, EAN into the box provided.

We’ll use the ASIN as an instance to keep things simpler for new merchants. The ASIN may be found in the product specifications section upon the product listing page for new merchants. It’s as simple as copying and pasting the ASIN into the search field of the FBA cost calculator and pressing the SEARCH button.

Step 2

You can also enter Amazon fulfillment values once a product matching the entered ASIN has been displayed. The merchant will be able to assess the potential profitability for this alarm clock thereby.

The seller can look for similar things in other Amazon businesses or listings to better understand the pricing range. There are several options for the seller when looking for a comparable product on Amazon.

Make sure to discuss “Amazon Fulfillment” if the Amazon seller is enthusiastic about being an FBA seller or has been an FBA seller. Make sure to fill out the price field with what you’re looking for now. A 20.00 dollars item price is what we’ll use in this example.

Step 3

After entering the product price, the seller must enter the value for “Ship to Amazon” underneath the Fulfillment price. This input box represents the overall unit cost of an item that a seller intends to sell.

This field can be left blank by sellers who aren’t familiar with median per-unit prices. Assuming a delivery cost of 0.40 dollars per alarm clock, we’ll use it as an example here. Click here for information to assist sellers in determining the applicable charge per unit.

Step 4

Sales on Amazon Fees” must be completed before the “Cost of Product” area can be filled out. The “all-in cost” of the product sellers would be retailing on Amazon must be entered in this area.

A wholesaler’s or company’s “Cost of Product” is all by this section. There may be other costs such as packing, international shipping, and shipping charges, so it’s “all in” in that sense.

For the sake of argument, assume that a Chinese manufacturer delivers the alarm clock for 4.00 dollars per unit. After entering the value, the Amazon seller can now press the “Calculate” button.

The Amazon FBA calculator will reveal information about the product after clicking the Calculate Button. This information is derived from the values that the seller just entered. The product’s net income and profit income are two of the most important aspects of the final report. A line graph is displayed on the right side of the Amazon FBA income calculator to show sellers the total income, seller profits, revenue, and expenditure for a certain item.

Conclusion

With the help of the FBA cost calculator, Amazon sellers can see exactly how their price changes affect their profit margins. Consequently, it provides sellers with a notion of the given price budget they must follow to maintain profitability. Use this free Amazon merchant tool now while it’s still available.