Amazon to add cycling accessories category, fees altered

From April 21st online retail giant Amazon will introduce a new cycling accessories category covering the UK and European marketplaces.

An email sent to sellers this week illustrated a number of changes, most notably alterations to referral fees on items sold within this category.

The statement sent to retail partners explained that a reduction in the referral fee would become applicable, in theory helping retailers improve their margins on sales made through the portal. The current referral fee sits at 15.3% of the total sales price, including shipping and other charges. This will now be cut to 8.16% of the total basket and delivery cost.

Amazon used the following example to illustrate the change: “The referral fee for a £25 bike bag before the change is £3.83. With the new fee, it is reduced to £2.04, giving you a saving of £1.79.”

In certain European territories Amazon is subject to a digital services tax which will be added on top of the fees. In the UK that equates to 2%, while Italy, France and Spain levy a 3% charge.

In the UK there are further rumblings of a mandatory delivery charge for online sales made with larger e-tailers. This idea was pitched last year in reaction to the growth of goods vehicles on the road.

The following product types are included in the Cycling Accessories category:
Bike backpacks
bags and panniers
Bike bells
Bike covers
Bike locks (cable, chain, combination, folding, mount)
Bike mirrors
Bike pumps
Bike racks and stands
Bike trainers
Bottle cages
Lighting parts and accessories
Quick releases
Rim bands
Saddle covers
Training wheels
Valve caps