Fulfillment by Amazon is a model that allows you to sell your products without handling the order processing, packing and shipping. This not only gives comfort to you, the seller, but it saves time and storage costs. Using fulfillment by Amazon can save you lots of time and help give you a passive income.
The goods are stored safely at Amazon’s warehouse and shipped fast to the customer once they order. Below are some of the key things that you should know about Amazon FBA.
Using Fulfillment By Amazon Boosts Your Credibility
When you are selling via FBA, Amazon will place a Prime logo beside you listings. This boosts the confidence of your customers since the logo indicates that Amazon will handle the delivery, returns and any concerns they may have.
Amazon has already established a good reputation and thus it is easier for customers to trust Amazon above individual vendors. Thus, by having the prime logo, your products can attract more sales thanks to Amazon’s reputation.
Amazon Prime 2 Day Free Shipping
Every customer loves free shipping. Amazon has free 2 day shipping for its prime members. When you register to sell with FBA, your products will qualify for the free two-day shipping.
Customers can also enjoy free shipping on qualifying orders and same day shipping when you are selling through FBA. Moreover, according to Statista 2017, Amazon had an average of 90 million prime subscribers from the US alone.
The statistics also show that prime members spent an average of 1300 US dollars per year compared to non-prime members who spent an average of 700 US dollars. This shows that prime members tend to spend more and thus, with Amazon FBA you stand a chance of earning more revenue each year.
Amazon Buy Box
Being on FBA also boosts your chances of winning the buy box. Buy box is essential, especially in cases where you have many sellers selling the same product. When your product is in the buy box, your chances of making a sale increase.
Amazon looks at a number of factors when determining which product will win the buy box. Examples include customer service, fulfillment and ratings. Thus, with FBA, since Amazon is handling your customer service and fulfillment, you have a better chance of winning the buy box.
Amazon Fulfills Orders From Other Platforms
Amazon FBA fulfills orders beyond Amazon to help sellers maximize their sales. You can store your products in Amazon’s warehouses and have Amazon staff ship them to buyers that you get on your own store platform as well as buyers from other platforms.
This not only boosts sales, but can help saves on costs and reduce managerial tasks and outsourcing.
You Can Send Products In Bulk
When you use FBA, you can send your products to Amazon’s warehouse in bulk to save on transportation costs. This also helps when you have a large number of goods but don’t have enough storage space for them. The storage space you get from Amazon will help manage your inventory more effectively.
Final Word On Using Fulfillment By Amazon
Amazon FBA provides more than just storage and fulfillment. It boosts the credibility of your products and gives you access to Amazon Prime two-day free shipping. It also offers other shipping benefits and increases your chances of winning the Amazon buy box which leads to increased sales for you.