Third party sellers enraged about Amazon’s new fees
Small third party traders who use Amazon to shift their secondhand books/vacuum cleaners/novelty Lionel ‘Rich Tea’ mugs, are fuming with the mega retailer, who is hiking its selling fees from 7% to 12% after Easter.
The price rises are causing much distress, but so powerful is Amazon that the smaller traders feel powerless to defend themselves. One UK trader said that he was worried the fees would destroy his small business, but there was no arguing with the might of the online company, which last year boasted worldwide sales of $21.3bn.
Amazon is becoming something of a retail Godzilla, chomping up the high street and destroying businesses. They're also, of course, sidestepping paying tax in Britain by registering all their UK sales in Luxembourg. (Which is what Godzilla would have done too, if he knew anything about accountancy.)
But small third party traders make up an important part of Amazon’s success, with 2 million traders using the network worldwide.
So will this price rise cause small retailers move back to ebay instead, or are we all Amazon’s bitches now?