Amazon FBA! Amazon is a global brand with over 200 products and services. Are you trader? Do you do business transactions on Amazon marketplace?
Do you have goods and services to sell? Do you want to know more about Fulfillment by Amazon (FBA)? Then you are on the right page.
The right information helps you to make the best choices and here we will explain all you need to know about Fulfillment by Amazon (FBA).
What is Fulfillment by Amazon (FBA)?
Fulfillment by Amazon (FBA) is an e-commerce fulfillment service provided by Amazon. It is a service that provides traders with storage, packaging and shipping assistance from Amazon. It allows businesses the option of outsourcing fulfillment orders to Amazon.
What is e-commerce fulfillment?
E-commerce fulfillment is the process in commerce where the storage, packaging and shipping of goods and services is done. It also includes the retrieval, return or exchange of goods and services.
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Why is Fulfillment important?
Fulfillment is an important aspect of commerce. No matter how good your products are if they cannot get to those who need them when they do, then there will be a reduction in the amount of sales made.
A good fulfillment service will ensure that goods are shipped early so that they arrive at where they are needed on time. Also not all goods are purchased once they are produced, so having good storage facilities is important.
What is the benefit of Fulfillment by Amazon (FBA)?
This service whatever product you want to sell, you can send it to Amazon under and they will do the packaging and shipping of the products, they also offer storage option. It helps businesses in the process of transferring goods from the producer to the buyers.
It helps businesses who have products to sell but do not have storage or shipping capabilities. Businesses also have the publicity that their products are packaged and shipped by Amazon which is a global brand.
Apart from the benefit of having Amazon’s name associated with your product you also have the benefit of enjoying Amazon’s 24hr customer service.
Amazon also ensures that your products meet the required shipping standards so there is no issue when shipping.
You also enjoy subsidized costs by Amazon. Other benefits include Multi-Channel Amazon Fulfillment Center and sellers also have access to a prime audience thereby reaching new customers among others.
Amazon FBA Fees
For you to use the e-commerce fulfillment service by Amazon there are several fees that are required for members to pay. They include:
Seller fee: this is the fee paid on each product by the seller to Amazon for selling that product. Amazon usually charges 15% of the price of the product as the seller fee.
Fulfillment fee: this is the fee paid for the picking up, handling, shipping of products also attending to inquiry and customer services for the products are carried out by Amazon, so they charge a fee for these services. The fee charged is dependent on the product involved.
Inventory storage fee: this is the fee paid for the storage of the products. It is dependent on how long the product will be stored and the size or capacity of the product.
Whether you are starting a new business or you have been a long time seller, using the Fulfillment by Amazon service is a sure way of promoting your business. By easing the stress of handling the fulfillment service by yourself it allows you to focus on other vital areas of your business.
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