Referral Fee (Amazon)
Definition
The commission Amazon charges on each sale, a percentage of the sale price that varies by category, often around 15%.
Want a deeper explanation?
The referral fee applies to every Amazon sale, FBA or not. Together with fulfillment fees, it often takes 30% to 40% of the price.
It is a variable selling cost and belongs in contribution margin. Watch for: pricing decisions made from gross margin alone, which ignore that Amazon takes a cut before you see a dollar.
Example
A $30 kitchen item with a 15% referral fee costs $4.50 per sale before any FBA fees.