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The Madison Avenue Field GuideA field guide to marketing & advertising, by Brandon Mina

GlossaryRetail Media & CommerceMarketplace Referral Fee

Retail Media & Commerce

Marketplace Referral Fee

The commission a marketplace like Amazon charges sellers on each sale, usually a percentage of the item price by category.

By Brandon MinaCEO, BrandPilot AIUpdated November 2026

Short answer

A marketplace referral fee is the commission a marketplace such as Amazon charges sellers on each sale. It is usually a percentage of the item price that varies by product category. Referral fees, along with fulfillment and advertising costs, significantly affect seller margins and pricing decisions on marketplaces.