TL;DR: Cost price increase plans are widespread in 2025, with a benchmarked average increase of +5.7%. Success depends on approaching CPIs as a multi-phase process, backed by detailed cost data, awareness of Amazon’s margin logic, and clear evidence that retail prices are already moving up elsewhere. In the event of a CPI rejection, brands can pull a variety of levers, from top-to-top meetings to paused shipments and ad spend, to ultimately reach success.
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3 minute read
Securing cost price increases (CPIs) from Amazon remains one of the most difficult yet necessary levers for 1P vendors managing rising costs, particularly in light of newly imposed U.S. tariffs.
In this session, Stratably and Consulterce’s Martin Heubel shared a combination of benchmark results, category observations, and firsthand lessons, with the goal being to provide brand brands with timely and actionable direction as they evaluate the when, how, and what ifs of request CPIs with Amazon.
Presentation Overview
The webinar provided multi-faceted insights to help brands understand what’s happening in the broader market and how to approach cost price increases more effectively. Topics included:
- Tariff impact on cost of goods based on consumer brand benchmarking and CEO commentary
- Brands’ plans for CPIs over the near and medium term, including differences by category, size of business, and more
- Four-phase framework for handling cost price increases with Amazon
- Options for when Amazon rejects your cost price increase request
- Case study and lessons from the field, including common pitfalls and best practices when preparing for and managing CPIs
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