As Christmas and the year-end sales approach, Amazon's logistics system is once again facing tremendous pressure. On one hand, due to surging demand, some warehouses will suspend receiving goods; on the other hand, Amazon has also announced adjustments to its Multi-Channel Fulfillment (MCF) service fees. For the majority of cross-border e-commerce sellers, these changes mean higher operational challenges and cost pressures. So, how should sellers respond to this series of changes?

1. Amazon Warehouse Receiving Suspension: Peak Season Logistics Challenges Escalate

Recently, multiple Amazon warehouses have issued notices of suspension of receiving goods. From December 15 to December 31, some warehouses will stop accepting new shipments. According to sellers, some warehouses (such as QXY5, JOT1, LGB8, etc.) have frequently refused shipments due to tight storage space and surging order volumes, resulting in delayed processing of some shipments. This move is mainly to ensure that Amazon can efficiently handle orders during the upcoming Christmas shopping season, but it has also caused considerable inconvenience for sellers.

Why is this happening?

With the "Black Friday" sales and Christmas shopping season approaching, consumer demand is surging, and Amazon's warehousing and delivery system is under unprecedented pressure. To ensure timely delivery of existing orders, Amazon has had to implement a temporary suspension of receiving goods to avoid a complete breakdown of the logistics system.

How should sellers respond?

Faced with this situation, sellers need to adjust their shipping plans in advance and try to send goods into the warehouse before December 15. If timely delivery is not possible, consider transferring inventory to third-party overseas warehouses for temporary storage. In addition, sellers should maintain close communication with Amazon customer service to understand the specific operations of the warehouse, so as to make flexible shipping arrangements.

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2. Multi-Channel Fulfillment (MCF) Fee Adjustment: Imminent Cost Increase

In addition to the news of warehouse receiving suspension, Amazon has also announced that starting from January 15, 2025, it will adjust the fees for Multi-Channel Fulfillment (MCF) services. Specifically, MCF fees will be increased by an average of 3.5%. For items weighing 1 pound or less, the price remains unchanged, but for overweight or large-sized items, the fees will be adjusted according to specific weight and volume. This means sellers need to pay more attention to the volume and weight of their products to reduce unnecessary expenses.

What is behind these changes?

Amazon's move is aimed at coping with the continuous rise in logistics costs, especially during peak seasons. By adjusting the fee standards, Amazon hopes to optimize delivery and warehousing services during periods of high demand, ensuring timely and efficient processing of large volumes of orders.

How should sellers respond?

Sellers can respond to the fee increase in the following ways:

1. Optimize product volume and weight: Small-sized and lightweight products have a cost advantage. Sellers can consider making corresponding adjustments in product design and inventory management to reduce the proportion of large-sized items.

2. Utilize smart storage options: Amazon has launched AWD smart storage services, offering storage fee discounts to sellers. Sellers who choose this service can save 10% per cubic foot, and can lower warehousing costs by choosing the right storage method.

3. Optimize delivery strategies: Since MCD outbound shipping fees will be changed from fixed fees to dynamic fees based on shipping distance, sellers should adjust logistics strategies according to actual needs and choose short-distance delivery whenever possible to reduce transportation costs.

3. Winter Challenges for Cross-Border E-Commerce: How to Find Opportunities Amid Change?

With changes in Amazon's operational policies, cross-border e-commerce sellers will face greater cost pressures and logistics challenges. However, this also provides new opportunities for savvy sellers. How to embrace change, meet challenges, and reduce costs during the peak season is a problem every seller must face.

Recommended actions:

1. Plan shipping schedules in advance: Due to warehouse restrictions in December, sellers should arrange shipments ahead of time and try to avoid sending goods after mid-December.

2. Optimize products and packaging: By reducing the proportion of large-sized or heavy products, sellers can effectively control logistics costs.

3. Explore more logistics solutions: In addition to Amazon's MCF, sellers with multi-channel sales can try other third-party logistics services to diversify risks and reduce reliance on a single platform.

Although this round of fee adjustments and warehouse receiving suspensions has brought considerable pressure to sellers, it also prompts sellers to pay more attention to logistics efficiency and inventory management. Through reasonable adjustments, sellers can not only cope with current challenges but also gain an edge in future competition.