The Definitive Guide to Selling on Amazon FBA in 2022
FBA is an optional service that sellers can choose to use, depending on their needs. There are some fees associated with this, but these fees vary depending on the size and weight of your products you can sell directly to customers or use amazon vendor services for selling wholesale on amazon
Fulfillment by Amazon is a great tool for your business if you want to sell on Amazon (i.e., open an Amazon Seller account) with access to the millions of customers already shopping on this marketplace
You can leverage 148.6 million prime members with access tp prime membership benefits (e.g., Prime shipping, customer discounts) without having to sign up for a Prime Seller account yourself
Use Amazon’s fulfillment centers, customer service, and analytics tools to save time, money and resources in other areas of your business.
The When and Why of Amazon FBA
When Amazon FBA first launched, it was a godsend for sellers who didn’t want to take the burden of fulfilling orders themselves. Over the years, it became better, faster, and more efficient.
Now, Amazon Prime customers can enjoy 2-hour delivery with no minimum purchase, while non-members have one-day or standard delivery. With this, there’s no question why all sellers — big or small — are scrambling to sell on FBA.
But it’s not all sunshine and rainbows. Many sellers get turned down by Amazon when they try to list their products on their platform. Why is that? Here’s a quick rundown of Amazon’s guidelines
How Amazon FBA Works
If you’re selling on Amazon, chances are you’ve heard about Fulfillment by Amazon (FBA). It’s a program that allows sellers to store their goods at Amazon fulfillment centers and have their orders fulfilled for them.
Amazon FBA is a third-party logistics (3PL) solution offered by the ecommerce giant, alongside other services like Seller Fulfilled Prime and Easy Ship.
The ecommerce giant has built out its logistics network to ensure fast delivery times and excellent customer service. This has proven to be beneficial for sellers who want to focus on growing their business and avoid the tedious process of handling shipments.
The process of Amazon FBA Program
If you’re just getting started selling on Amazon, it’s easy to feel overwhelmed. There are so many options that it’s hard to know where to begin.
Fulfilled by Amazon (FBA) is a service from Amazon that allows sellers to send their inventory to Amazon warehouses and have the FBA team pick, pack, ship, and provide customer service for all of those items.
After you send your products to an Amazon warehouse, they take care of all the logistics:
Picking: When a customer orders one of your products, an employee goes into the warehouse and pulls it off the shelf
Packing: The item is packaged, often in an Amazon-branded box or envelope with a packing slip inside
Shipping: After it’s packed, the item is given to a carrier like UPS or USPS, who delivers it to the customer
Customer service: If there are any issues with their order, customers can contact Amazon and they’ll handle any returns or exchanges
Because FBA handles so much of your business, it’s seen as a “hands-off” option for sellers who want to scale their business without having to hire employees or rent warehouse space.