What Is Amazon FBA?

ecommerce

Amazon is the world’s largest retailer, averaging more than 200 million unique visitors each month. The popular e-commerce website has its own collection of offerings, and also enables third-party sellers to sell both new and used products on a fixed online marketplace. With such a massive following, it’s no secret why many businesses now choose to automate order fulfillment through Amazon’s FBA program. Fulfillment By Amazon (FBA) is simple, effective, and can result in significantly more sales for your business. Best of all, Amazon streamlines the selling process by storing your inventory, shipping your products, and delivering high-quality customer service to your buyers.

How Amazon FBA Works

Currently, about half of all Amazon sales come from third-party sellers. In addition, about 66 percent of the top 10,000 sellers use FBA. What makes Amazon FBA so efficient for business owners is the flexibility it provides. Fulfillment by Amazon provides storage, packaging, and shipping assistance. Just ship your merchandise directly to an Amazon fulfillment center where your goods will be safely stored until they are sold. When a buyer visits Amazon and purchases your product, Amazon employees will prepare, package, and ship your items. This helps eliminate the need to hire employees for these tasks.

After the customer receives your product, the Amazon customer service team will follow-up to ensure that the customer is fully satisfied with their purchase. Amazon customer service will also address any concerns or answer questions your customers may have about your products. As the owner of the merchandise, you will have full control over responding to customer feedback published on the product listing. Every two weeks, Amazon will total your sales and deduct seller’s fees. Amazon will then deposit your earnings directly into your bank account. With the FBA program, you can outsource the entire selling process from start to finish.

Benefits of Amazon FBA

Business owners will experience a number of benefits when using the fulfillment by Amazon program. Some of these benefits include:

  • Have your products associated with a leading brand. Amazon is an established brand that is trusted by customers around the world. Having the Amazon brand associated with your products can help draw in a bigger audience.
  • Cut down on fulfillment activities. If you have ever sold an item, you know how time-consuming the packaging process can be. With FBA, Amazon employees are responsible for these tasks giving you more time to focus on growing your business.
  • Take advantage of discounted shipping. Amazon works with major shipping carriers which provide their services at a discount. That means more money in your pocket. In addition, your customers benefit as many orders are eligible for free shipping.
  • Avoid dealing with returns from customers. Processing returns can be a real nuisance. Fortunately, Amazon employees will manage all customer inquiries, print and send return shipping labels, and will quickly process all returns.

Fulfillment by Amazon has proven to be a simple and effective way to grow your business. It’s easy to get started. Just head to Amazon.com to register an Amazon seller account and follow the prompts to join Amazon’s FBA program.

This post is sponsored by Orlando Towing & Recovery

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