WHAT IS AMAZON FBA?
Amazon FBA stands for “Fulfillment by Amazon. This is a service offered by Amazon that allows sellers to store their goods in Amazon’s warehouses. When a customer orders a product offered through FBA, Amazon provides storage, packaging, shipping and customer service for these products.
THE BENEFITS
The biggest advantage of FBA is that it allows sellers to take advantage of Amazon’s extensive distribution network and customer service. This can help increase the visibility and reach of your products. In addition, FBA products may qualify for Amazon Prime, which means they can benefit from free two-day shipping, which can be attractive to Amazon customers.
1. Global Reach:
Amazon FBA gives you access to millions of customers around the world who are active on the platform. This allows sellers to expand their reach and present their products to a wider audience.
2. Logistics Convenience:
One of the biggest advantages of Amazon FBA is the ease of logistics. Sellers send their products to Amazon’s distribution centers, where Amazon handles storage, packaging and shipping. This saves sellers a lot of time and effort, especially when dealing with large volumes.
3. Prime Benefits:
Products sold through Amazon FBA qualify for Amazon Prime, making them eligible for fast shipping and other benefits Prime members enjoy. This can boost sales, as many customers prefer products that qualify for fast shipping.
4. Customer Service:
Amazon is also taking over customer service for products sold through FBA. This includes handling returns, customer inquiries and any problems with orders. This reduces the workload for sellers and provides a better customer experience.
WHAT DOES IT COST?
As a seller, you pay a fee for Amazon FBA. This fee is based on the size and weight of the products and the amount of time the products spend in Amazon’s warehouses. Although there are additional costs associated with using FBA, many sellers choose this service because of the convenience and potential increase in sales. If you are a business owner looking to scale, using Amazon FBA is a plus.
These are the main costs you should consider, among others:
Storage fees: Amazon charges for storing products in their distribution centers. These fees vary depending on the size and weight of the product.
Shipping costs: In addition to storage costs, there are also charges for shipping products to customers. These charges depend on the size and weight of the product, as well as the shipping distance.
Fulfillment Fees: Amazon also charges fulfillment fees, which cover the cost of packaging, shipping and customer service for products.
Other charges: In addition to the above charges, there may be other charges such as return charges and charges for optional services such as labeling and preparation.
It is important to consider these costs when pricing your products and calculating your profit margins. We can help you calculate your exact margins you will make if you choose Amazon FBA.
SELL THROUGHOUT EUROPE
By using fulfillment by Amazon, you are more easily able to sell your products throughout Europe. Whether in the Netherlands, Germany, France, Italy or any other European country. Here are the steps to do this:
Register as a seller: To begin selling on Amazon FBA, you must register as a seller on the platform and create an account.
Prepare your products for shipping: Sellers must prepare their products according to Amazon’s guidelines and ship them to Amazon’s distribution centers.
Activate European marketplaces: Sellers can choose to sell their products on various European marketplaces, including Amazon.de (Germany), Amazon.co.uk (United Kingdom), Amazon.fr (France), and so on.
Manage your inventory: Sellers can manage and monitor their inventory through Amazon’s Seller Central dashboard, where they gain insight into their sales performance and inventory levels.
Optimize your listings: It is important to optimize your listings for each marketplace to perform better and generate more sales.
Need help with Amazon FBA or want to learn more about it? Book a free product scan with one of our trained marketplace specialists. During a 30-minute call, we’ll show you what the potential for your brand can be when using Amazon FBA.
