Amazon overcharging commission (referral fee) on low-value Music (BMVD) orders
For some time now, Amazon’s referral fee for Books, Music, Video and DVD (BMVD) products with a total sales value (product plus shipping) up to £5.00 has been set at 5.1% plus VAT (6.12% including VAT). The 5.1% rate seems to be applied correctly to Books, but Music orders are still being charged at the higher 15.3% rate (18.36% including VAT), which is intended for orders with a total sales value above £5.00.
Apologies if this issue has already been raised in another discussion thread (I couldn’t see one anywhere). Sellers of low-value Music, Video and DVD products should be aware that they are likely to have been overcharged on the referral fees for the last few months. I have raised this issue repeatedly with Seller Support, who say that they are aware of the issue and have referred it to the relevant ‘Technical Team’, but it is taking ages to get sorted. In the meantime, they do refund the overcharged fees periodically to my payment account.
Here’s the latest example of overcharging which I have had to report to SS (in addition to eight other instances where I’m still waiting for a refund):
Order # 205-4226636-3613164: ASIN B000002L9T (Music): shipped on 21 July: total sales value £4.99: you charged a total of £1.51 referral fee and variable closing fee, including referral fee at the rate of 15.3% plus VAT, which is meant for orders with a total sales price above £5.00. Please reimburse the sum of £0.60, since the correct referral fee plus variable closing fee should have been £0.91 (£0.31 referral fee at the rate of 5.1% plus VAT plus variable closing fee of £0.50 plus VAT).
Please refund this sum a.s.a.p. and PLEASE SORT OUT THIS ERROR IN YOUR SYSTEM WHICH REPEATEDLY OVERCHARGES ON LOW-VALUE BMVD (Music) ORDERS!! Thank you.
Athough the individual amounts being overcharged are small (less than a pound per order), they do mount up when there are several such orders, and Amazon should not be charging the 15.3% referral fees for these low-value orders!
Amazon overcharging commission (referral fee) on low-value Music (BMVD) orders
For some time now, Amazon’s referral fee for Books, Music, Video and DVD (BMVD) products with a total sales value (product plus shipping) up to £5.00 has been set at 5.1% plus VAT (6.12% including VAT). The 5.1% rate seems to be applied correctly to Books, but Music orders are still being charged at the higher 15.3% rate (18.36% including VAT), which is intended for orders with a total sales value above £5.00.
Apologies if this issue has already been raised in another discussion thread (I couldn’t see one anywhere). Sellers of low-value Music, Video and DVD products should be aware that they are likely to have been overcharged on the referral fees for the last few months. I have raised this issue repeatedly with Seller Support, who say that they are aware of the issue and have referred it to the relevant ‘Technical Team’, but it is taking ages to get sorted. In the meantime, they do refund the overcharged fees periodically to my payment account.
Here’s the latest example of overcharging which I have had to report to SS (in addition to eight other instances where I’m still waiting for a refund):
Order # 205-4226636-3613164: ASIN B000002L9T (Music): shipped on 21 July: total sales value £4.99: you charged a total of £1.51 referral fee and variable closing fee, including referral fee at the rate of 15.3% plus VAT, which is meant for orders with a total sales price above £5.00. Please reimburse the sum of £0.60, since the correct referral fee plus variable closing fee should have been £0.91 (£0.31 referral fee at the rate of 5.1% plus VAT plus variable closing fee of £0.50 plus VAT).
Please refund this sum a.s.a.p. and PLEASE SORT OUT THIS ERROR IN YOUR SYSTEM WHICH REPEATEDLY OVERCHARGES ON LOW-VALUE BMVD (Music) ORDERS!! Thank you.
Athough the individual amounts being overcharged are small (less than a pound per order), they do mount up when there are several such orders, and Amazon should not be charging the 15.3% referral fees for these low-value orders!
0 replies
Seller_tj5bg90i9gyCk
Here’s a link to the relevant Help page detailing the referral fees applying to BMVD products:
https://sellercentral.amazon.co.uk/gp/help/help.html?itemID=H78LW99F4XF3Z38&language=en_GB&ref=ag_H78LW99F4XF3Z38_cont_200336920
Seller_oNkw9kyPXNhg7
I didn’t know they had changed it but we are paying £15.3% on media under £5 (we don’t sell books).
Poorly written help page or are they over charging us?
Seller_tj5bg90i9gyCk
Despite having previously processed refunds for overcharged commission on the basis of information I have provided to them in open cases, Seller Support have now come back weeks later (while the number of cases continues to increase) asking me to submit all the information in an Excel spreadsheet:
"We understand that your concern is regarding incorrect referral fee.
We regret any inconvenience caused.
Before we can proceed further with your request, we need some additional information.
- Please mention affected Order IDs from past 90 days for each concerned ASINs.
- Total refund amount (2 decimal)
- Product charges
- Referral fee on item price
- Referral fee rate charged
- Correct referral fee amount (Currency)
- Owed reimbursement (Currency)
Please provide requested information in an excel sheet for each ASINs separately.
As soon we receive this information, we should be able to assist you further.
Thank you for selling with Amazon."
I have basically told them to get stuffed (in so many words) and to stop wasting my time asking me to copy all the information into a spreadsheet, as I have already provided them with ALL this information in the open case and asked them to process the refunds on this basis, as they have done previously. Typical Seller Support response: they wait weeks and weeks, then ask for all the information you have already supplied, and introduced a new requirement (entering the information in a spreadsheet). I’ve asked them to refund without delay, or I will consider legal proceedings for breach of contract. (Yes, I know, but we’ll see if it has any effect… )
Seller_mBHD8I5S8ko48
Hello everyone,
I am pleased others have spotted this.
I am irritated that high level sellers such as some of you have to apply on a sale-by-sale basis for your refunds.
I have sold dozens of items (CDs and Dvds) at less than £5 and if I had to claim each error back, I would go nuts…especially after it too the Gods 4 and a half months to refund 41p.
Surely the Gods could simply run refund programme…
Seller_LKjg1QRrO36Yq
I still haven’t got around to making a claim yet.
Until recently, and in spite of the constant glitches with the cataloge and VTR etc, I was always reasonably confident that Amazon would at least get its pricing and fees right.
After this (and also the recent over/under charging glitches with Buy Shipping) I’m no longer sure I can trust Amazon’s payments.
Which is more than slightly worrying.
Seller_mBHD8I5S8ko48
We need to make these claims. The Gods at Amazon think we are a bunch of losers is we don’t…
Seller_mBHD8I5S8ko48
Remember…
First they came for the socialists, and I did not speak out—
Because I was not a socialist.
Then they came for the trade unionists, and I did not speak out—
Because I was not a trade unionist.
Then they came for the Jews, and I did not speak out—
Because I was not a Jew.
Then they came for me—and there was no one left to speak for me.
Seller_mBHD8I5S8ko48
Of course you’re right but…
isn’t this about speaking up to Dictators whichever colour they are?
This fraud which takes a few pence away from small struggling businesses like us (me?) may well be yet another thin edged wedge.
Best wishes from a chilly Yorkshire!
Seller_tj5bg90i9gyCk
I was just in a ‘discursive’ frame of mind. Yes, of course, I’m completely with you on that. Stand up for your rights, and don’t let them get away with it.