Fulfillment By Amazon (FBA) is a service provided by Amazon that allows sellers more flexibility in their selling practices. The service provides storage, packaging, and shipping assistance, taking the burden off of the seller. The program allows sellers to ship their merchandise to an Amazon fulfillment center, where items are stored in warehouses until they are sold. When an order is placed, Amazon employees physically prepare, package, and ship the product(s).
The Benefits of Using FBA Services
Sellers can take advantage of all of the resources and benefits associated with Amazon when they sign up for Fulfillment By Amazon.
- Having Amazon’s Name Associated with Their Products: This is a quality guarantee that most buyers will appreciate, making them more prone to patronize a seller because of it.
- Subsidised Shipping Fees: Because Amazon has a relationship with the shipping companies, sellers using this service will be able to pay less in shipping than if the items were being delivered from an individual’s account.
- Also, sellers can offer free shipping over a certain amount since products sold through FBA are eligible for Amazon Prime and FREE Super Saver Shipping.
- Multi-Channel Fulfillment: Amazon can ship and handle inventory that is being sold on multiple channels, and not just through the Amazon marketplace.Shipping Standardization: All FBA orders are processed in exactly the same way Amazon handles its own merchandise.
- This means that when someone purchases an item, Amazon picks the item from their inventory, packs the item, and ships it to the buyer. A seller can feature an item on his own website, and, through the Fulfillment By Amazon service, still have Amazon take care of all of the heavy lifting.