Amazon FBA, which stands for Fulfilment by Amazon, is a service provided for sellers who sell their goods and products using Amazon. It has become one of the most famous ways through which a whole lot of sellers generate income for their businesses.
How? The FBA service is a service provided by Amazon, by which Amazon helps to store and ship and deliver goods and services of sellers down to the customers who need them. Yes, this is how it works.
Just as the name implies, it helps to fulfil your orders. You sell your products, but Amazon ships and delivers them for you. This fulfilment service has been launched mainly for sellers who make use of the Amazon online store as their selling location.
You could make use of the FBA to fulfil any of your orders from any channel of sale, such as sites, Facebook, eBay, and so much more. It’s simple! You do not have to stress yourself about how your products get to your customers.
How Does Amazon FBA Work?
Once your products have been sent to the Amazon FBA centre, they will be stored up in a warehouse, till they are sold out to people who have placed orders for them. As a seller using this service, you do not have to see, touch, hold and deliver your products.
You send your products down to Amazon, and they take over from them. They store your products, and when it is time to sell, they pick, pack and ship your products. With this, you are sure to make your money without stress.
However, all these processes come with some fees. The fulfilment service brought to you by Amazon does not fulfil your orders for free. There are certain fees attached when you become a seller on the FBA service.
- You send your goods to Amazon
- They store your goods in a warehouse
- A customer orders for your goods. Amazon picks, packs, and deliver the goods for you
- They also take care of returns and refunds cases
This is how it works.
What Fees Are Attached to The Amazon FBA?
Now, the truth is, in any business, if you put transfer the headache and stress down to a middleman, the expenses tend to be higher than when you take care of the headache all by yourself. And the FBA (Fulfilment by Amazon) service is not different in this case.
With this fulfilment service, there are two fees attached. They are:
- Storage fees – Just like a rent fee, you have to pay for storage, as your products will be stored in a warehouse till they are sold out.
- Fulfilment fees – This fee involves the process of picking, packaging, and shipping the goods down to the locations where they are needed.
You should note that these prices are not really stable, as they tend to change with time.
How to Join the Amazon FBA Program
If this is your very first time to hear about Amazon FBA, you do not have to worry, as I will help you understand the processes of how it works. This part of my article reveals how you can sell your products using the FBA service.
Set Up the Fulfillment By Amazon
Remember, this service has been launched for sellers on Amazon. So, if you have an Amazon account as a seller, you can add the FBA service to your Amazon account.
Go to the official website on www.sellercentral.com. At the bottom left side of the page, click on “Fulfilment by Amazon”. Since you are already a seller on Amazon, click on “Get Started”.
Set Out Your Goods Listing
You will have to list out your goods. On the FBA page, tap “Inventory”, and tap “Add a Product”.
Search for the goods you want to sell my name and add the details of your goods. Wait for a while for the FBA service to process your goods.
Prepare Your Goods
Make sure that your goods are ready to be sold out to the customers who have ordered for them.
Ship Your Goods to Amazon
You have to ship your goods down to Amazon. Go to the FBA page, tap “Inventory”, and click on “Manage FBA Shipping”. From here, you can get started with your shipping plans.
- Add the quantity of the products you want to send.
- Provide a choice of labelling – you or Amazon.
- Weigh your goods.
- Purchase shipping from Amazon.
- Print out your labels.
This is how it works. From here, a customer orders for your goods, Amazon picks, packs and delivers to them. They also provide customer service for the goods that you sell.