Sales on Amazon
Is it really impossible to change prices on Amazon Vendor Central? We debunk the myth!
27 Jan 2025
Price Management on Amazon Vendor Central
Price management on Amazon Vendor Central is a topic full of challenges and misunderstandings. Many sellers believe that changing prices is impossible or requires superhuman effort. Is this true? Not exactly! With the right strategy and understanding of the platform's processes, changing prices is not only possible but can become one of your key tools for increasing profitability.
Let’s start with the basics: what do you need to know about prices on Vendor Central?
The secret of price management: Cost price and List price with tax
Cost price – your operational base
Cost price is the price at which you sell your products directly to Amazon. To set it correctly, you need to account for all costs – from production to transport to logistics.
How to calculate cost price?
Material costs – raw materials, packaging
Transport and logistics – including fuel price increases
Fees arising from contracts – Amazon commissions
Your margin – deliberately included
Cost price is not visible to customers, but it affects your negotiating position with Amazon.
List price with tax – the price visible to the customer
This is the retail price on the product page. It includes:
Cost price as a base
Amazon’s pricing strategy
VAT
Amazon has full control over the list price. Even if you change the cost price, the customer may not always see the difference.
How to change cost price?
Step 1: Preparing the Excel file
Amazon requires bulk data updates. Download the template from Vendor Central and fill in:
the new cost price
the effective date of the change
an optional reason for the change
Step 2: Regularity
It rarely works on the first try. Upload the file weekly – consistency increases the chances of approval.
Step 3: Monitor the results
After approval, check to see if the new prices have appeared in the system.
What to do when Amazon says "no"?
Reduce the increase – e.g., from 15% to 5%
Add justification – e.g., increased raw material prices
Keep trying – regularly uploading files gives better chances
Price reductions – quick, but with pitfalls
Amazon uses Auto Price Protection (APP) – a mechanism for recovering losses:
if Amazon bought the product at a higher price and sells it cheaper, the difference may be deducted from you
you can file a dispute if the charges are unjustified
How to protect yourself?
monitor every change
file a dispute when necessary
Cost price vs. List price with tax
Feature | Cost price | List price with tax |
|---|---|---|
Who sets it? | Seller | Amazon |
What does it include? | Production costs, transport, margin | Cost price, Amazon’s pricing strategy, VAT |
Visible to the customer? | No | Yes |
Can it be changed? | Through Vendor Central | Through Amazon – suggestions can be made, but there is no guarantee |
Sample scenario: increase in transport costs
You download the Excel template and enter the new prices (+10%).
You add justification: "Transport +15%".
You upload the file and monitor the changes.
If rejected – you try again with a smaller increase.
Summary: Understanding prices is crucial
Price management on Amazon Vendor Central is a demanding process, but it can be mastered. The key is:
differentiating cost price and list price with tax
patient communication with Amazon
consistency in actions
Why act now?
Every week of delay is a loss. The competition is already updating its prices. Don’t wait – start acting before others get ahead of you.
Don’t let a lack of knowledge hinder the growth of your business. Changing prices on Amazon Vendor Central is a thoughtful process that will increase your profits and market position.