Why Do You Need Amazon FBA?
Fulfillment by Amazon is a service provided by Amazon that allows online retailers to automate order fulfillment and shipment.
It’s a straightforward concept: sellers sell and Amazon ships. This relieves sellers of the burden and allows them to be more flexible in their selling activities.
Sellers can ship their products to an Amazon fulfillment center, held in warehouses until they are sold.
Amazon staff physically prepare, package, and ship the items for you or on your behalf.
How Does It Work?
When you are creating a product listing or putting a product up for sale on Amazon, you have to decide on a fulfillment plan. Sellers can swap between fulfillment methods as needed.
Sellers obtain the items and ship them to the vastly available and spread-out Amazon warehouses. Here Amazon will send you the contact info and address of the warehouse.
The items are then held in Amazon’s fulfillment facility until a client places an order. There is a storage cost, which is generally determined by the product’s size/volume.
Amazon handles the transaction and updates your inventory when you place an order. Amazon will pack and ship the order.
The online retailer provides customer service and order fulfillment. Amazon handles returns and refunds.
Amazon provides you with the proceeds from your sales every two weeks. Sellers must guarantee that Amazon fulfillment facilities shipments adhere to the online retailer’s stringent packing rules.
Because Amazon is by far the world’s largest and most efficient logistics company, it is a logical option for many retailers that want to build and scale their business online.
The Advantages Of Using Amazon FBA
When sellers sign up for Fulfillment By Amazon, they access all of Amazon’s services and perks.
Having Amazon’s Name Associated With Their Products
This is a quality guarantee that most buyers will appreciate, increasing their likelihood of trusting a seller.
Amazon is the most trusted e-commerce platform, with the largest number of active users that comes back for exceptional customer service and most importantly, fast and flawless delivery.
Amazon Customer Service Management
Amazon’s customer service management handles queries, returns, and refunds on behalf of FBA sellers 24 hours a day, seven days a week.
The service is free with the exception of the Returns Processing Fee, which can be applicable to some product categories.
Shipping Is Taken Care Of
Amazon handles all of the shipping and logistics for you.
You maintain track of your listings, ensure that they are supplied with merchandise, and let the fulfillment process take care of everything from start to end.
You may remove a significant burden off your shoulders for a modest cost.
Discounted Shipping Rates
Because you’re working with Amazon, a worldwide fulfillment powerhouse, you’ll save money on shipping rates through the FBA platform.
As a result, even if you pay fees, they may be lower than you expect when you include shipping savings and still less expensive than managing your shipping and fulfillment in-house.
Access To Amazon Prime
This allows the seller to reach new and existing customers who want free and fast delivery, filter their Amazon listings by time periods that are Prime-only, and convert only when the Amazon Prime logo is visible.
If you are a manufacturer, a distributor, or an independent business owner willing to scale your business by reaching a large online customer base instantly, then Amazon FBA is for you! Indeed, it is custom-made for businesses that are not willing to deal with packing and shipping via a post office and handling returns themselves. It’s a very time-consuming and repetitive task that can quickly become overwhelming.