The Amazon-Shein price war is expected to greatly benefit the American e-commerce giant’s sellers. On Tuesday, Dec. 5, Amazon.com Inc. confirmed its plan to reduce seller fees.
Since the multinational tech firm is competing against Shein-a Chinese fast-fashion retailer-Amazon’s reduced seller fees will focus on sellers focusing on clothing products. This effort is a clear sign that Amazon is taking its price war against Shein seriously since the giant retailer rarely reduces the fees it charges merchants.
Amazon-Shein Price War to Make Seller Fees Cheaper
As of writing, Shein is considered the top online marketplace when it comes to low-cost clothes; consumers can even find $9 hoodies and other bargain-basement apparel.
This is what Amazon wants to dominate and it plans to do it by enticing merchants offering low-cost clothes.
“This will make Amazon way more competitive in the low-price apparel category because a dollar or two can make a big difference,” explained former Amazon executive Lucas Barnes via Bloomberg.