World P – The Advantages of Using Fulfilment by Amazon – What to Know
If you want to make money online, one of the easiest ways to earn revenue is to sell on Amazon. Almost anyone can list a product on the e-commerce platform, whether it’s an item that has been purchased wholesale, a bespoke product, or just something you no longer want. But managing a business on Amazon can be tough, especially if you’re juggling other things like a 9-5 job or another full-time venture.
It’s a good thing Amazon has their FBA program, which can handle order fulfilment, shipping, and logistics on your behalf. This service is so useful that 66% of Amazon’s top 10,000 sellers use it.
What is Amazon FBA?
FBA stands for Fulfilment by Amazon. It works by sending the items you wish to sell to Amazon, they store your products in one of their warehouses, and when a customer places an order, Amazon selects, packs, ships, and tracks the order for you. They also handle any returns and refunds that may happen.
But this convenience comes at a price. Amazon charges storage fees and fulfilment fees. Then again, you get immediate access to a wide reach of customers, round-the-clock customer service, and one of the largest fulfilment systems in the world. It’s a win-win.
The advantages of Amazon FBA
Discounted shipping rates
Enrolling in Amazon FBA lets you enjoy cost-effective shipping rates that your consumers would benefit from. For Prime members, they get the free two-day shipping on all FBA products, which can lead to higher sales. In addition to cheaper shipping costs, you can rest assured that your product will go through a fast, efficient, and reliable shipping network. Their products will arrive quickly and safely at their doorstep. What’s more, with FBA, you will only have to pay for the services you use. You won’t have to cough up additional subscription fees, charges for minimum units, or start-up fees.
24/7 customer service
Another boon of entrusting your business to Amazon FBA is they handle customer queries, returns, and complaints on your behalf. You won’t have to hire additional manpower for customer service since it’s all taken care of for you. Your customers will have access to 24/7 support via phone, chat, email — a key motivator for returning customers.
Unlimited storage space
As for your stocks, you won’t have to keep them around your house, nor would you need to secure your own warehouse to house deadstock. With FBA, you’re free to store your inventory, with no minimum number of units, in Amazon’s warehouse and fulfilment centers across the globe. When an order is placed, the item will be shipped out the center nearest to the customer, ensuring quick delivery.
fulfilment of orders from various channels
Multi-Channel fulfilment (MFC) allows you to sell products on other channels, while still getting Amazon to fulfill them for you. It works similarly to the usual process. You list your item on a different channel, the Amazon team receives the orders and handles the shipping for you. Your customers will then be sent updates and tracking information from Amazon through the channel they bought the item from.
Amazon’s FBA program allows any business owner to get their products in front of millions of customers worldwide. If you’re looking for an e-commerce and Amazon consulting service, get in touch with us today to see how we can help.