For years, many e-commerce sellers have relied on Fulfillment by Amazon (FBA) to store, ship, and process their product returns. But in 2025, frustration with Amazon’s fulfillment system is mounting as sellers are dealing with rising fees, an acceleration in returns and fraud abuse, and lackluster customer support.

Amazon may dominate e-commerce with over 37% of the market share, but sellers increasingly feel like a faceless number in a system. Instead of finding promised convenience, they face confusion, shrinking margins, and little support. That’s why many sellers are turning to trusted alternatives where expertise, personal service and true partnership make all the difference.

Fee Overload from Rising Amazon FBA Costs Diminish Margins

Behind the promise of convenience, many sellers are discovering just how expensive Amazon’s fulfillment system can be. Topping the list of sellers’ complaints with Amazon FBA are shrinking margins from escalating fees. Amazon FBA fee changes in 2025 increase costs by 12-18% for standard items and up to 24% for oversized products. Recently, Amazon introduced their inbound placement fee, a charge for using the Amazon FBA service. This comes on top of fees for too much (inventory storage overage fees) or too little inventory (low-inventory-level-fee).

Returns Fraud and Abuse Are Hidden Risks

Rising costs aren’t the only concern. Returns abuse and fraud add yet another layer of risk for sellers. Amazon is known for their customer-friendly return policy but sellers note it’s coming at a high cost to them either financially or through their brand reputation. In some instances customers have mistakenly received used products when they ordered something new. In an egregious case reported by CNBC, the e-commerce platform shipped soiled swim diapers to customers after the used baby products had been returned to Amazon. The incident, which occurred more than once, ruined the small business.

Direct Access To Experts Beats Call Centers

When sellers run into problems on Amazon FBA, they turn to customer service hoping for answers. Instead, they often feel they are met with canned responses from call center agents who have no personal investment in their success.

These frustrations are pushing many sellers to seek a different approach. Sellers deserve to work with support staff who not only have deep industry expertise but also a personal investment in their success. That’s where a third-party logistics (3PL) partner becomes the smarter choice. Unlike massive providers such as Amazon FBA, top-tier 3PLs are small enough to truly understand their clients’ goals, know their products, and care about their outcomes. At Sweetwater Logistics, for example, business owners are even given direct access to the company’s president for guidance when needed. That kind of personal, hands-on support sets smaller 3PLs miles apart from the impersonal service of industry giants.

Receive Support Through International E-commerce Challenges

Support doesn’t stop at solving problems. It extends to helping sellers grow strategically as e-commerce entrepreneurs often face unexpected challenges and unfamiliar issues. Recent changes in tariff policy, confusing customs documentation, and familiarity with new US rules and regulations have been major stumbling blocks for e-commerce brands.

In these instances, support from a trusted partner invested in your success makes a major impact. Today’s rapidly changing landscape can be frustrating for international brands unless they have a partner offering hands-on assistance. With a partner who knows your brand, you receive clear, timely solutions, not generic answers from a faceless call center.

Choose a Logistics Partner Not Just a Provider

The message from many Amazon FBA sellers in 2025 is clear: “I quit.” Rising fees, poor customer service and unnecessary risks are pushing sellers to seek better options.

Sweetwater Logistics offers a partnership built on personal relationships, expert guidance, and flexible support across multiple channels. With over 16 years of e-commerce and international logistics experience, Sweetwater treats your business as an extension of its own.

If you’re ready to escape the frustrations of FBA and partner with a fulfillment provider who truly cares about your success, schedule a conversation with Sweetwater Logistics today.