Book cost 249 Rs my purchase cost is 180 Rs ..is it loss or profit for me?
i hv book cost 249 amazon my purchase cost is 180 rs so is it profitable for me or loss? sipping charges mention is 108 rs and amazon fee is 48 rs
plzany any one give me correct answer
Book cost 249 Rs my purchase cost is 180 Rs ..is it loss or profit for me?
i hv book cost 249 amazon my purchase cost is 180 rs so is it profitable for me or loss? sipping charges mention is 108 rs and amazon fee is 48 rs
plzany any one give me correct answer
27 replies
Seller_nfZz0FInS9I4U
By the given calculation you can make profit of approx 21 rupees each order,
if you charge the shipping separately.
Seller_v60UArWdzHmAE
(book cost rs 180) + (national shipping 500 g + packing + amazon fee + gst rs 120) + profit rs 50 = amazon sale price rs 350 —> you get rs 50 profit + rs 180 book cost
All calculation approximately…
Seller_FtfDpmeUeMVau
So if your purchase cost is 180 & Selling cost is 249
Selling Cost = 249.00
Deductions
- Amazon referal Fees (13%) = 32.37
- Closing Fees = 20.00
- Shipping Charges = 65 (upto 500 gms for national)
- GST (18%) = 15.3 (Books are exempted from GST)
Total Deductions = 132.67
In hand amount = 116.33
Net Profit = 116.33 - 180 = - 63.67 (Loss of 63.67)
Seller_IiVYMWAH5dZbS
loss because you have to pay gst amazon fee and shipping charg
Seller_FtfDpmeUeMVau
Amazon reimbursement policy is really difficult to find out. In my cases we found that courier return is not charged by amazon, but if it is buyer return then they will charge you 1 side shipping charges and collection fees. you should go for FBA. that is the only solution.
Offline business is ever green.
But i would suggest , do not sell those products , which are already selling by amazon on its own amazon portal like books , mobile etc
Seller_755xGXBPhmJvy
try to buy as a lot like 50 to 100 books any low discount will given by publisher or wholesaler than current amount 180rs. your vendor given like around 150 rs or below.
book cost 120 plus 130 amazon fees plus shipping =250 .if the book mrp 249 just set shipping charge as 77 for national , 53 for regional , 30 for local. finally = 249+77 or 50 or 30 you get any like 20 to 30…that profit not satisfied you.just skip national shipping , like block national shipping and sell for regional (neighbour states from you)and local(neighbour towns n city in your origin state). or invest heavy amount in buying as a lots if stock increases wholesaler or publishers will give at utter low rate. note : but national shipping is key point in ecommerce. buyers have same book in city shops but they buy from online simply thats our oppurtunity
Seller_9jUBz2r2ToVEB
What you mention is true not just for books but for most other departments as well. Amazon charges doesn’t just mean the referral rate, there are so many other charges like Fixed fees, Weight Handling fees, Technology fees. Some of these charges are added if you are selling through FBA, so basically with FBA you get more sales, but it is costlier.
New sellers often price their products low without calculating the taxes, returns and Amazon charges. Within 6 months they find out they have made huge losses and close the business. By that time there are 100’s of other new sellers who start there business doing the same mistake, so Customers keep getting products at lower prices while sellers continue to suffer losses.
With the arrival of Amazon partnered ID’s like Appario, things will only get tougher for normal sellers. Anything that is a best seller will be taken over by Appario and sold at a price that you can never match.
For a seller to survive on Amazon, the best thing to do is find unique products and price them right. Even if you get 10 sales a day, as long as you make profit on those 10 sales its better than selling 1000 a day at a loss.
Seller_jt7Ay8y97OLod
madam if you add shipping charges 108 you will get 21 rs profit
Seller_NyEcpZk8CKTg0
Total Profit is - 7.78 rupee
Kindly check this link you can calculated via this link - https://services.amazon.in/services/sell-on-amazon/pricing.html?ref=as_in_soa_sticky_nav_pricing
I am also book seller so you can contact me-{removed by Amazon - do not post personal details on the forum}