Amazon’s fee structure will add $1.1 billion to the company’s profit in 2019 and 2020, according to an analysis from Bloomberg.
Amazon’s stock has gained roughly 25% this year, and it is expected to post a profit for the year of $1 billion.
Amazon CEO Jeff Bezos said during a conference call on Monday that Amazon is expected “to generate more than $1 trillion in revenue for our shareholders” by 2020.
Amazon will pay a $9.99 fee per purchase, and will be able to charge an additional fee per item up to $50 per month.
The company will also begin charging fees to its Prime customers starting in 2019.
The fees will be applied in increments of $20 per item.
Amazon is the largest e-commerce company in the world, and the company is already facing backlash from some users for charging extra for Prime membership.
Last year, Amazon announced that it would begin charging an additional $20 fee for Prime customers.
It has since changed the fee to $9 per month, but Amazon still charged a hefty fee for that move.