FBA Product Research Scorer

Referral fee (Amazon takes this %)

sale_price × referral_fee_%

$29.99 × 15.0%

= $4.50

Amazon referral fee is charged on the total sale price including any shipping charged to the buyer. Rates vary by category — electronics is 8%, most others are 15%.

Amazon Seller Central — Referral Fee Schedule 2024

FBA fulfillment fee (size-based)

per-unit fulfillment fee (Amazon picks & packs & ships)

size tier: $3.77/unit

= $3.77

FBA fulfillment fees cover pick, pack, ship, and customer service. They increase by weight and size tier — small standard items are cheapest; oversized items can exceed $89/unit.

Amazon FBA Fee Schedule 2024

Monthly storage fee (per unit)

units × cubic_ft × monthly_rate

estimated at $0.50/unit/month

= $0.50

Storage fees spike significantly in Q4 (Oct–Dec): standard-size goes from $0.87/cu ft to $2.40/cu ft. Long-term storage fees (365+ days) are charged on top at $6.90/cu ft or $0.15/unit.

Amazon FBA Storage Fee Schedule 2024

Total Amazon fees

referral_fee + FBA_fee + storage_fee

$4.50 + $3.77 + $0.50

= $8.77 (29.2% of sale price)

Net profit per unit

sale_price − amazon_fees − COGS − inbound_shipping

$29.99 − $8.77 − $7.00 − $1.50

= $12.72 (42.4% net margin)

Net margin of 42.4% — Amazon sellers generally aim for 15–30%+ to account for PPC costs, returns, and inventory risk.

ROI on invested capital

net_profit / (COGS + inbound_shipping)

$12.72 / $8.50

= 149.7% ROI

ROI here is per inventory cycle. Most FBA sellers target 20%+ minimum to account for capital tied up in inventory, returns, and Amazon payment cycle (bi-weekly payouts).

Monthly sales estimate

BSR → sales estimate (industry rule of thumb)

BSR 5,000 → ~400 units/month

= 400 units/month

BSR-to-sales conversion is approximate. Use Keepa or Jungle Scout for more precise historical sales data. Sales velocity also varies by season, ad spend, and listing quality.

Monthly profit estimate

net_profit_per_unit × monthly_sales

$12.72 × 400 units

= $5,088.60/month

Annual run rate: $61,063.20. This doesn't include PPC (advertising) costs — add your ad budget to get true profitability.

Competition score

seller_score (50%) + review_barrier_score (50%)

sellers=8 → 64 pts; avg_reviews=150

= 64/100 (higher = easier to enter)

Competition score measures market entry difficulty. Fewer sellers and lower review counts mean you can compete without years of reviews. Above 60 = strong opportunity.

Demand score

BSR_score (60%) + monthly_sales_score (40%)

BSR 5,000 + 400 units/mo

= 61/100

Demand score measures market size. Higher BSR rank (lower number) and higher monthly sales = more demand. A score above 60 indicates meaningful search-driven demand.

Overall product score

profitability (40%) + demand (35%) + competition (25%)

(100 × 0.40) + (61 × 0.35) + (64 × 0.25)

= 77/100 — Hot Product

Profitability weighted heaviest because margin is the only thing you can actually control. Demand and competition set the ceiling on what's achievable.