The major goal of your amazon business is to grow and to generate the maximum possible sales out of it but in order to do that the most common problem an amazon seller faces is to decide whether to choose FBA (Fulfilled by Amazon) or FBM (fulfilled by the merchant). now the question arises what exactly is FBA and FBM?
Let’s understand this in a really simple language, these two terms come in effect when you need to choose when you get an order and now, how are you going to fulfill your orders which include- warehouse, packaging, inventory data, shipment, customer service and etc.
This is a vast topic, so let’s begin with FBA first!
FBA means Fulfilled by Amazon.
With FBA you store your products with amazon’s fulfillment center and Amazon takes care of everything. After getting an order seller informs Amazon and now Amazon will do all the heavy lifting the company will carefully pick the product, packs it and ship it to the customer, and provide the customer service too. FBA is really helpful for those sellers who hope to grow rapidly and reach a maximum amount of customers.
Let’s know about the advantages you get if you opt for FBA
First and foremost.
Become a prime member
When you list your products with FBA, you are eligible for the prime subscription which means your products are now eligible for free 2 days shipping, therefore, making your listing more appealing to about 80 million amazon prime subscribers. These prime customers buy more frequently, spend the extra money on shopping. With this benefit, you are more likely to sell your products because they are associated with amazon and therefore end up making more profits.
Win a buy box
If you are a new seller and your product is newly launched, you won’t get the buy box automatically. However, Amazon favors FBA products over FBM thus giving you the best chance of getting and keeping the buy box quickly and easily. Buy box increase up your sales and eventually your online business.
Pick, pack, ship and returns all by Amazon
One of the biggest advantages of FBA is that your orders are fulfilled by amazon making customers trust your products and buy from you. Every time you get an order, Amazon will pack it, ship it and if the situation demands also take care of the returns and do all the heavy lifting for you, saving your time and efforts.
The most expensive issue with sellers is where to keep all of their inventory? And warehouses cost a lot of money and a headache of keeping the records and data and insurances. with Amazon FBA, you send the inventory to Amazon’s warehouse and they store all of it for you so now when a customer places an order, Amazon takes it from its inventory and sends it to the customer.
Grow your business
Sellers with Amazon FBA have their products displayed at a higher position in the search results, while it is not mentioned anywhere officially, but it is common knowledge that fulfillment by Amazon is the major factor that goes into amazon SEO. Amazon gives more exposure to FBA products over FBM so just think about the possibilities of growing your business rapidly with Amazon FBA.
Let’s conclude the bottom line
Just think if everything is been done by Amazon, then you are left with so much free time, which you can utilize in more productivity of your online business.FBA grows your business in many ways, there are plenty of advantages of which you will get with this service but there is nothing in this world that is perfect, and every service comes with its own disadvantages so does Amazon FBA.In this next article, we have covered the disadvantages of Amazon FBA don’t forget to read it.