Price Checker 2 supports detailed cost profiles to improve the accuracy of your profit estimation. You can access Cost Profiles via “Prep, Ship, VAT, etc”:
Give your profile a succinct name that you can recognise. PC2 supports multiple profiles that you can switch in and out. For example you can select your “LTL Oregon to NY” profile for your Canadian supplier that ships light truck loads directly to the New York fulfilment centre for you.
In this case we have a name clash with ‘test’ - yes, you can name two the same - PC2 will display a summary of the crucial settings, so you can still distinguish them, but obviously good naming is better for you.
You have a choice of MFN, AFN (FBA) or EFN (European Fulfilment Network) with the following effects:
Costs will be based on Merchant Fulfilment and FBA fulfilment fees will not be calculated or added.
Shipping costs (see below) will be “to the customer”.
Costs will be based on Amazon Fulfilment.
Shipping costs (see below) will be “to Amazon”.
You additionally select the source marketplace where you ship your goods (“source market”).
If you select this same marketplace to analyse against (“target”), the FBA fees will be based on local fulfilment within that market.
If you select another European marketplace with this profile, FBA fees will be based on the EFN charges from the selected source market to the target market.
Shipping costs (see below) will be “to Amazon” in the source market.
EFN is changing: Since January 2021 the UK is longer part of the network. PC2 will show a warning if you have a legacy profile shipping to or from the UK. Please amend such profiles to stop using the UK as either source or target by early December 2020 to avoid incorrect results.
A different cost can be specified for single items versus multi-pack items. For example, if you sell tubes of shampoo singly or in a pack of 6 that you need to bundle yourself, you may want to specify a higher cost, or add more per unit in the bundle/pack.
The ‘per unit in the pack’ amount includes the first item, i.e. in a pack of 6 it will be added 6 times.
If you want PC2 to use the same cost for both single and multi, please ensure that you leave ‘multi’ blank. Do not enter 0 unless you want the cost to be none/zero/free.
VAT rules are complex and we are not qualified to give you taxation advice, but the purpose of the setting is simple:
VAT registered (checked)
All consumer-facing prices on Amazon are inclusive of VAT. If you are VAT registered in the target market, VAT will therefore be deducted from the sales price (e.g. buybox price) for the prupose of calculation profits.
NOT VAT registered (unchecked)
If you aren’t VAT registered, no VAT is due on the sale, but it is assumed that you won’t be able to reclaim VAT on Amazon’s fees. Therefore VAT will be added to Amazon fees with this option.
In both cases VAT will be applied at the given rate. To disable VAT completely just leave the rate box blank or enter 0.
We are not qualified to give you advice on VAT, but can only state the rules as we interpret them. If your circumstances are different and can’t be covered by the above options, please get in touch.
VAT on product cost
Price Checker 2 assumes that the cost in your spreadsheet is the cost that you pay. If you need to pay taxes or duties that you can’t claim back, you should already include them in the chosen cost column, as PC2 won’t modify your input figures.
If this applies to you, but the input sheet shows ex-VAT costs, simply create a new column to calculate the inclusive cost, then point PC2 at that column instead.
Ship from Supplier
This allows you to add any shipping costs from your supplier, for example to you or your prepping service, as either a percentage of the product cost, or on a per item or weight basis. Again, different currencies are supported, so you could specify $CAD for the Canadian supplier in our example.
Where shipping is based on dimensional weight, you can specify the method by which it is calculated.
Ship to Amazon
This allows you to add a secondary shipping cost, for example from your warehouse or your prep service to Amazon in a similar fashion.
Difference between “from supplier” and “to Amazon”
There is a subtle difference between the two types of shipping, namely that “from supplier” will be factored into “Total COGS”, whereas “to Amazon” will appear in the separate “Shipping” column.