How to Capitalize on Amazon’s Super Saver Shipping Price Increase

35 boxAmazon just changed the price for non-Prime members to qualify for Free Super Saver Shipping, an increase from purchases of $25 to $35. This is the first time in over a decade that Amazon has changed the price to qualify for free shipping.

Already, people on FBA forums and Facebook pages are complaining about this change, but I see it as a HUGE opportunity for FBA sellers to capitalize on. If you react correctly, then this change by Amazon will actually help your business. Here are some reasons to celebrate this change:

1. With this change, more people will sign up for Amazon Prime. With even more people signed up for Prime, there will be more people to buy your FBA products.

2. Before today, the “magic number” for pricing an item was $25. Since people want some items to be Fulfilled By Amazon and arrive at their door just 2 days later, some people are willing to pay just about anything to get that item fast. Before today, people would buy an item for $25 just to get it in 2 days even though there were Merchant Fulfilled sellers selling the same item for $8.00. Now that the price is $35, that means more people paying more money for the same items.

It will take some work, but those that react the fastest will win. I recommend doing some price changes quickly. Here is what I plan on doing with my inventory:

1. Change most of my $25 priced items to $35 immediately.

2. See what items I have that are priced between $30 and $34.99 and raise ALL of those prices to $35.

3. Look at the items that are currently between $25.01 and 29.99 and see if I want to raise those prices to $35. Based on the competition, there might be some items that I would be smart to raise the price on.

Of course there will be some exceptions to the above rules. Exceptions come into play when you look at other current FBA prices, how many items are being sold of that item, how the particular product category works, and more… but most of my prices will be changed ASAP!

One last tip: Another “magic” price point will be $17.50. If the item you have could possibly be bought in multiple quantities, then this is a great price point for people who want to buy two. Two items at $17.50 total $35.oo and qualifies for Free Super Saver Shipping!

So what do you think about the new $35 price point? How do you plan to react to these changes? I’d love to hear your thoughts in the comments below.

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5 Responses to How to Capitalize on Amazon’s Super Saver Shipping Price Increase

  1. Hey, Stephen, I get everything you said except how “more people will sign up for Amazon Prime.” I would think it would slow subscriptions for a while, until people get used to it, and then they will rebound.

    But more in the short term? I don’t get it! I would love to hear your reasoning for this.

  2. I think that there are some people who are holding out of signing up for Prime because they are ok with waiting until they have an order that adds up to $25.00… but now that free shipping is only valid on eligible items that add up to $35.oo, I think even more people will join Prime. Amazon itself said that they processed more Prime shipping orders than “Free Super Saver Shipping” orders. I think this move will cause more people to join the Prime Party!

  3. As an Amazon consumer who did not sign up for Prime (I live on an island and can’t get 2 day shipping), I will sign up now. $35 seems to tip the scale in Prime’s favor. Even though I won’t get 2 day shipping with Prime, I will get free shipping.

  4. I agree – I think more people will sign up for Prime. I looked at it exactly the same way and took similar steps. It’s also a good opportunity for bundling. I always made more money with multi-packs anyway.

  5. Another way to capitalize is if makes sense, you can run a promotion. So if you had a 20$ item you could offer 2 for $35 and get free sss

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