Amazon Slashes Voucher Fees and Introduces £200 Cap Starting November 5
From 5 Nov 2025 Amazon will cut the UK voucher variable fee from 1.5 % to 0.75 % and cap it at £200 per voucher, while the £2 upfront fee stays unchanged. Sellers must deactivate pre‑5 Nov vouchers and recreate them to capture the lower rate and cap.
Overview
Starting 5 November 2025, Amazon will halve the variable fee applied to UK promotional vouchers, dropping it from 1.5 percent to 0.75 percent. In addition, a hard ceiling of £200 will be placed on the variable portion of each voucher, regardless of the voucher’s total redemption value. Sellers who want to benefit must retire any vouchers created before the change and issue fresh vouchers after the cut‑over date.
Key Points
- Variable fee reduced to 0.75 % — The percentage charged on the redeemed value of a voucher falls from 1.5 % to 0.75 % for any voucher generated on or after 5 Nov 2025.
- £200 maximum per voucher — No matter how large the redemption pool grows, the variable component cannot exceed £200 per voucher.
- £2 upfront charge stays the same — The flat fee charged when a voucher is created remains at £2 per voucher.
- Only new vouchers qualify — Vouchers that existed before 5 Nov 2025 retain the old 1.5 % rate and will not be automatically migrated to the new structure.
- Deactivation and recreation required — Sellers must manually deactivate legacy vouchers and launch replacement vouchers after the effective date to capture the reduced fee and cap.
How the New Voucher Fee Structure Works
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Create a fresh voucher — Log into Seller Central after 00:01 GMT on 5 Nov 2025 and set up a new voucher with the desired discount amount, eligibility rules, and campaign dates.
- Example: A seller launches a £5‑off voucher for a best‑selling blender, scheduled for the Black Friday weekend.
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Amazon applies the £2 upfront fee — Immediately upon creation, Amazon deducts a flat £2 charge from the seller’s account, identical to the previous model.
- Example: The blender voucher costs the seller £2 up‑front, regardless of the expected redemption volume.
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Variable fee calculated at 0.75 % — As customers redeem the voucher, Amazon tallies the total redeemed value and multiplies it by 0.75 %. If the resulting amount reaches £200, the calculation stops and the fee is capped.
Analysis & Recommendations
Why This Matters
The variable fee is halved and limited to £200, saving up to £250 on a £30,000 redemption voucher (≈55% reduction). This predictable ceiling lets sellers run larger discounts during events like Black Friday without unexpected fee spikes.
Key Takeaways
- Variable fee drops to 0.75% on 5 Nov 2025 for any new UK voucher.
- Variable portion is capped at £200 per voucher regardless of redemption volume.
- Flat £2 upfront charge remains unchanged for all vouchers.
- Vouchers created before 5 Nov 2025 keep the old 1.5% rate and must be deactivated and recreated to benefit.
Recommended Actions
- →In Seller Central go to Promotions > Vouchers, select all vouchers created before 5 Nov 2025 and click Deactivate at 00:01 GMT on that date.
- →Immediately after deactivation, use the Duplicate function or create new vouchers with the same parameters to apply the 0.75% fee and £200 cap.
- →After each campaign, open the Voucher Performance report in Seller Central to verify the variable fee did not exceed £200 and record the cost savings.
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