I have a question which has been confusing me for a while.
I use SellerAmp - Tools and Help for Amazon Sellers doing RA, OA and Wholesale to help identify products.
From what I can see, there are a lot of products on Amazon being sold for less than the estimated FBA fees. I assume the fees are over estimated but do not want to spend money to find out I am making a loss.
Best thing to do is some test buys and find out what is going on.
Many different things could be going on.
1.It appears that some actors are being subsidized by their country in order to engage in financial warfare with the USA.
2.Used being sold as new
3.Stolen goods, the items package will look very distressed despite fact the shipping box is perfect.
4. Money laundering
5.Stolen gift cards and other nefarious acts, however highly doubt that any of them are a real authorized dealer.
6.The list of opinion regarding this is endless, important part is this, legitimate resellers are NOT getting better deals than amazon.
7.How do you know for fact what sellers in countries that amazon is targeting as a growth market are paying in fees, are those fees anywhere close to same amount as what USA sellers are paying.
Buying tip, if the seller has 1 item in stock and listed as new that is a red flag. An honest legitimate seller will have way more than 1 item of the same kind forsale.
You have to use Amazon’s Official FBA fee calculator to get more accurate info, about your potential profits. Additionally, some products might have lower-than-expected fees due to category-specific fee structures.
These third-party software tools like Seller Amp, Helium 10, and Tactical Arbitrage are not owned by Amazon. Therefore, it’s important not to solely rely on them. Before finalizing any product, you should assess the profit margins and Amazon fees using Amazon’s own revenue calculator.