Are you familiar with Fulfillment by Amazon (FBA) service?
Posted: Wed Feb 19, 2025 10:37 am
Do you know the results of this survey if you are running an online business? In a survey of over 200 successful e-commerce salespeople, 84% of them said that they currently sell on Amazon.com. There are many benefits to using a marketplace like Amazon, but at the same time, there are also many challenges. This is also from the same survey, but many e-commerce salespeople said that maintaining competitive prices is the most difficult thing they face. But Amazon is amazing. To address these issues, they already offer a service called Fulfillment by Amazon (FBA). So, for those who don't know about it yet, I would like to introduce this convenient service.
What is Fulfillment by Amazon?
FBA is a service that handles product listing, packaging, delivery, and customer service on behalf of the seller. Sellers who use FBA can also add delivery options. Although these are paid services, they will ultimately increase your profits, so it is worth investing in and using them. Here's how to use it:
1) Deliver the products you want to sell to Amazon.
2) List your products and have them listed on Amazon.com.
3) Once the sale is confirmed, Amazon will package and deliver them.
4) If there are any returns, Amazon will handle everything.
The service fee varies depending on the product type find your mobile phone numbers database weight, shape, and the period it will be listed. Also, remember that Amazon has a fixed packaging fee, so if your product is less than $10, there is no need or benefit to using FBA.
Looking at it this way, it seems like Amazon is doing everything they can, and you might be wondering, "How can this benefit me?" Well, let's take a look at the advantages below.
1) For products using FBA, you can choose 2-day shipping or Super Saver shipping as an option, so if a competing product does not have this option, customers will prioritize purchasing it even if it is a little more expensive.
2) If you are competing against non-FBA products, the shipping amount is calculated into the total price and you get free 2-day shipping.
3) Depending on the product category, if you use FBA, you can price your products 2-10% higher than your non-FBA competitors and still win the Buy Box.
4) 20% of the survey respondents reported an increase in sales after moving to FBA.
5) Amazon Prime customers who want the free 2-day shipping that comes with FBA spend, on average, 150% more than non-Prime customers.
6) You don't have to manage your inventory at home or hire a separate customer service representative.
What is Fulfillment by Amazon?
FBA is a service that handles product listing, packaging, delivery, and customer service on behalf of the seller. Sellers who use FBA can also add delivery options. Although these are paid services, they will ultimately increase your profits, so it is worth investing in and using them. Here's how to use it:
1) Deliver the products you want to sell to Amazon.
2) List your products and have them listed on Amazon.com.
3) Once the sale is confirmed, Amazon will package and deliver them.
4) If there are any returns, Amazon will handle everything.
The service fee varies depending on the product type find your mobile phone numbers database weight, shape, and the period it will be listed. Also, remember that Amazon has a fixed packaging fee, so if your product is less than $10, there is no need or benefit to using FBA.
Looking at it this way, it seems like Amazon is doing everything they can, and you might be wondering, "How can this benefit me?" Well, let's take a look at the advantages below.
1) For products using FBA, you can choose 2-day shipping or Super Saver shipping as an option, so if a competing product does not have this option, customers will prioritize purchasing it even if it is a little more expensive.
2) If you are competing against non-FBA products, the shipping amount is calculated into the total price and you get free 2-day shipping.
3) Depending on the product category, if you use FBA, you can price your products 2-10% higher than your non-FBA competitors and still win the Buy Box.
4) 20% of the survey respondents reported an increase in sales after moving to FBA.
5) Amazon Prime customers who want the free 2-day shipping that comes with FBA spend, on average, 150% more than non-Prime customers.
6) You don't have to manage your inventory at home or hire a separate customer service representative.