1. What is Amazon Seller Commission?

Amazon Seller Commission, also known as Referral Fee, is the percentage that Amazon charges sellers for each item sold through their marketplace in India. The fee varies by product category and typically ranges from 5% to 15%.

2. How Does the Calculator Work?

The calculator uses the Amazon commission formula:

Where:

• \( Sale Price \) — The selling price of the product in INR
• \( Referral Fee \) — Amazon's commission percentage (5-15%)
• \( Commission \) — The amount paid to Amazon in INR

Explanation: The calculation multiplies the sale price by the referral fee percentage to determine the commission amount Amazon will charge for the sale.

3. Importance of Commission Calculation

Details: Accurate commission calculation is crucial for Amazon sellers to determine profit margins, set competitive prices, and understand the true cost of selling on the platform.

4. Using the Calculator

Tips: Enter the sale price in Indian Rupees (INR) and the referral fee percentage (between 5% and 15%). The calculator will instantly compute the commission amount in INR.

5. Frequently Asked Questions (FAQ)

Q1: What is the typical referral fee range on Amazon India?
A: Referral fees on Amazon India typically range from 5% to 15% depending on the product category, with most categories falling between 6-12%.

Q2: Are there additional fees besides referral fees?
A: Yes, Amazon sellers may also pay closing fees, shipping fees, storage fees, and other applicable charges depending on the fulfillment method.

Q3: How often are referral fees charged?
A: Referral fees are charged for each item sold and are deducted from your seller account balance along with other applicable fees.

Q4: Can referral fees vary by product category?
A: Yes, different product categories have different referral fee percentages. Always check Amazon's current fee structure for your specific category.

Q5: Is GST included in the commission calculation?
A: GST is applicable on Amazon's referral fees and will be charged separately in addition to the calculated commission amount.