Fulfillment by Amazon– How It’s Done

Entrepreneurship has been on a rise in the past few years, but only a few get the chance to earn big, while others who lack resources fail to survive in the market. Thanks to Amazon’s Fulfillment initiative, home-based sellers like you can now do better.

If you are a home-based seller, just create a Fulfillment by Amazon (FBA) account and prepare your products ready to be shipped. Amazon keeps your products in its fulfilment center until sales are made, allowing you to focus on marketing strategies and enhancing your products’ visibility. Once a customer places an order, your products are packaged and shipped directly from the fulfillment center, saving you a lot of hassle and earning you huge profits.

Here is exactly how FBA works:

Getting Started

Register yourself by creating an account on Amazon’s FBA portal. Fill out all the fields carefully with accurate information. One you are done, it is important to create your product listing. Be specific about what you are selling.

You can do this by creating catalogues and putting up your products one by one or altogether. If you already have an inventory system in place, integrate it with Amazon’s Application Program Interface – API. This will enable you to process all the working with more ease.

With this, you have created your account successfully.

Get Working

Your aim now is to make your products eCommerce ready. This means that you should consider all the necessities before a product is shipped to consumers.

The use of proper packaging material is of utmost importance. If you are selling apparels, it is important to use proper plastic bags. If your product is fragile, make sure the packaging material passes the 3-foot drop test.

Be very careful when packing liquids. They may ruin your product or product quality, so make sure that your liquid packaging material passes the double seal test. Similarly, if your products have small parts, make sure to secure them in small packets, as they tend to get lost, which may lead to dissatisfied customers.

Providing you with more ease, you can order the appropriate packaging material through Amazon itself. If your products usually sell fast, make sure to use ready-to-ship packaging. In addition, you have the option to let Amazon take care of the entire packaging process.

Policies You Need to Know

At the start of 2018, Amazon revised its policies and fee structure. It is important to understand the policies beforehand and clear any concerns related to them. The change in policies for 2018 are as follows:

Long-Term Storage Fee

The long-term storage fee has been revised. This fee previously was charged semi-annually, and is now charged on a monthly basis.

  • $11.25 were charged for 6 months as long term storage fee, now a monthly fee of $3.45 is charged.
  • A minimum long-term storage fee of $0.50 is introduced on storage of units for more than a year.

The other policies remain unchanged.

Monthly Inventory Storage Fee

Similarly, a change in the monthly inventory storage fee will be observed.

  • Previously standard size was charged $0.64, which, after an increase of $0.05 is now $0.69
  • Oversized units were charged $0.43, which is now increased by $0.05 and totals $0.48

This raise in fee would be effective from April 2018, and would reflect in May 2018.

Your Ultimate Solution to Warehousing

The FBA program offers the perfect assistance to all the home-based sellers and entrepreneurs who find warehousing a difficult job. It saves them from losses incurred because of not being able to store products in the right manner. Give your business the boost it needs, and let Amazon’s Fulfillment program take care of your warehousing needs, while you focus on improving your products and taking your business to new heights.

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