How to calculate the FBN Outbound Fee and the Inventory Removal Fee in UAE

How to calculate the FBN Outbound Fee and the Inventory Removal Fee in UAE

This guide explains how the FBN Outbound Fee and Inventory Removal Fee are calculated for sellers using noon’s Fulfilled by Noon (FBN) service.

1. The FBN Outbound Fee

The FBN Outbound Fee is charged per item shipped to a customer. It is determined by the product's dimensions and shipping weight.

Note: The fee is applied when the order is shipped and is non-refundable if the order is returned.

Steps to Determine the FBN Outbound Fee

  1. Select the Packaging Classification
    • Use the Classification Table to identify the correct tier for your product (e.g., small, standard, large, or oversize) based on its dimensions.
  2. Calculate the Shipping Weight
    • Use the formula:
      Shipping Weight = Physical Weight + Packaging Weight
    • Round the result to the nearest 50 grams.
  3. Verify Weight Limits
    • Ensure the shipping weight does not exceed the maximum limit for the selected classification. If it does, move to the next classification tier.
  4. Find the Applicable Fee
    • Use the product's classification and shipping weight to identify the fee in the FBN Outbound Fee Table.


Classification Table
ClassificationLongest side (cm)Median (cm)Shortest (cm)Packaging material Weight (g)Max Shipping Weight (Kg)*
Small envelope<=20<=15<=1200.1
Standard envelope<=33<=23<=2.5400.5
Large envelope<=33<=23<=5401
Standard Parcel<=45<=34<=2610012
Oversize<=130<=34<=2624030
Extra Oversize**<=130<=130<=13024030
BulkyEverything else400 
** excludes glass items like mirrors, tabletops which would get classified in Bulky

 FBN Outbound Fee Table
A fee that applies to each unit that is shipped to a customer. The value of the FBN outbound fee is based on a combination of the dimensions and shipping weight of the product.
FBN Outbound FeeWeight SlabAE
Cost per unit(AED)
Small envelopeOne rate7.0

Standard envelope

<=0.1Kg7.5
<=0.25 Kg8.0
<=0.50 Kg8.0
Large envelopeOne rate8.5

Standard parcel

<=0.25 Kg8.5
>0.25 Kg & <=0.50 Kg9.0
>0.50 Kg & <=1.0 Kg9.5
>1.0 Kg & <=1.5 Kg10.0
>1.5 Kg & <=2.0 Kg10.5
>2.0 Kg & <=3.0Kg11.5
Each additional 1Kg till 12 Kg

Additional 1 AED per kg

Oversize parcel

<=1.0 Kg11.5
>1.0 Kg & <=2.0 Kg12.5
>2.0 Kg & <=3.0 Kg13.5
>3.0 Kg & <=4.0 Kg14.5
>4.0 Kg & <=5.0 Kg15.0
Each additional 1Kg till 10 KgAdditional 1 AED per kg
>10 Kg & <=15 Kg24.5
>15 Kg & <=20 Kg29.5
>20 Kg & <=25 Kg34.0
>25 Kg & <=30 Kg39.0

 

Extra Oversize

<=1Kg12.5
Each additional 1Kg till 10 KgAdditional 1 AED per kg
>10 Kg & <=15 Kg26.0
>15 Kg & <=20 Kg31.0
>20 Kg & <=25 Kg36.0
>25 Kg & <=30 Kg41.0

Bulky


 

<=20 Kg34.0
>20 Kg & <=21 Kg36.0
>21 Kg & <=22 Kg38.0
>22 Kg & <=23 Kg40.0
>23 Kg & <=24 Kg42.0
Each additional 1Kg till 30 KgAdditional 2 AED per kg
>30 Kg & <=35 Kg61.0
>35Kg & <=40 Kg71.0
40kg>

Additional 10 AED per 5 kg

 

FBN Outbound Fee Calculation Example:


  • Product Dimensions: 17.4 x 8.81 x 2.8 cm

  • Physical Weight: 0.32 kg

  • Classification: Large Envelope

  • Packaging Weight: 0.04 kg

  • Shipping Weight=  Unit Weight + Packaging Weight
    0.32+0.040.32 = 0.36 kg (rounded to 0.4 kg)

Therefore, this is under the 1 kg maximum shipping weight for large envelopes. 

  1. Fee: Large Envelope = 8.5 AED

2. Inventory Removal Fee

The Inventory Removal Fee applies when you request items to be shipped back to you. The fee is calculated based on the volumetric weight or physical weight, whichever is higher.

Follow the below listed guidelines to determine the Inventory Removal fee for each item you request for removal from a noon fulfillment center depending the retrieval method.

Delivery request:

1. Start by calculating the item's volumetric weight using the following formula:
Volumetric weight (in kg) = Length (cm) x Width (cm) x Height (cm) / 5000

2. Next, identify your product's physical weight in kg.

3. Choose the highest weight (either the volumetric weight or the physical weight). After that, refer to the fees in the below table to multiply the highest weight by the Same-city or the Cross-city Fee, whichever is applicable depending on your shipment transfer mode. Then add the Handling Fee to the total.

Inventory Removal Fee Table (Delivery)
Inventory RemovalUnit of measurementAE
AED
Minimum fee per Inventory removal request 15
Handling fee (per unit)per unit0.3
Same-city delivery feeper KG*1.0
Cross-city delivery feeper KG*1.0

 Inventory Removal Fee Calculation Example- Delivery:


Dimensions: 25.2 x 119.9 x 46.6 cm

Unit Physical Weight: 20.6 kg

The volumetric weight = 25.2 x 119.9 x 46.6 / 5000 = 28.16 kg

We'll use the volumetric weight (28.16 kg) because it's higher than the physical weight (20.6 kg).

We'll determine the Inventory Removal fee by multiplying the volumetric weight by the Handling Fee and the Same-city delivery Fee.

Inventory Removal Fee = (28.16 x 1) + 0.3 = 28.46 AED

Collection request

1. Start by calculating the item's volume in cubic feet using the following formula
Cubic feet (CBF)= Length (cm)* Width (cm)* Height (cm)/28317

2. Next refer to the processing fee in the below table. Multiply the processing fee to the cubic feet value of the item. 

3. Lastly add the handling fee as mentioned in the table to get the Inventory Removal fees.

Inventory Removal Fees Table (Collection)
Inventory RemovalUnit of measurementAE
AED
Minimum fee per Inventory removal request 15
Handling fee (per unit)per unit0.3
Processing feesper Cubic feet*0.8

 Inventory Removal Fee Calculation Example- Collection:


Dimensions: 25.2 x 119.9 x 46.6 cm

Cubic feet volume = 25.2 x 119.9 x 46.6 / 28,317 = 4.972 CBF

We'll determine the Inventory Removal fee by multiplying the cubic feet (CBF) by the Processing fees and adding the Handling Fee

Inventory Removal Fee = (4.972 x 0.8) + 0.3 = 4.277 AED

Since this is lower than the minimum fee per request, 15 AED fee will be applicable.

 


That’s it!

 

Got more questions? 

Contact us at seller@noon.com



    • Related Articles

    • How to calculate the FBN Outbound Fee and the Inventory Removal Fee in KSA

      Managing your FBN fees effectively is essential to optimize your costs and streamline your operations. This guide will provide you with a detailed breakdown of the FBN Outbound Fee and the Inventory Removal Fee. 1. The FBN Outbound Fee The FBN ...
    • How to calculate the FBN Outbound Fee and Inventory Removal Fees in EGY

      Managing fees associated with shipping and inventory removal is essential for sellers utilizing noon’s Fulfilled by Noon (FBN) service. This guide explains the FBN Outbound Fee and Inventory Removal Fee. 1. The FBN Outbound Fee The FBN Outbound Fee ...
    • Inventory Removal Comprehensive Overview

      This guide helps Noon sellers with managing their inventory removal, learning about Return to Vendor (RTV) processes, and handling disputes easily. It covers Noon's rules and steps in detail, helping sellers run their operations smoothly and avoid ...
    • FBN Inventory Removal Process

      This guide provides detailed instructions for FBN sellers to manage inventory stored in Noon fulfillment centers, covering retrieval and disposal processes for both sort and non-sort items. Understanding Sort and Non-Sort Items Sort Items: Products ...
    • Inventory Removal Policy

      What Is Inventory Removal? Inventory removal refers to the process of removing a seller's saleable and non-saleable inventory stored in noon’s warehouses. Types Of Inventory: At noon, inventory is categorized into two primary types: saleable and ...