We have discussed in our last article about the key benefits of FBM (Fulfilled By Merchant) provided to Amazon online sellers but again, nothing in this world is perfect and everything comes with the flaw, so does FBM. Under FBM self shipping is typically a good option for those who are starting new, small sellers or earning small margins.
But it is really difficult to qualify for the prime member when you do FBM. And we all know more than half of the Amazon buyers are prime subscribers and prefer to buy from prime sellers only, after all, they have paid for it.
So let’s state a few of the obstacles associated with Amazon FBM faced by Amazon seller
Comes with extra responsibility
If having full control is a benefit for new buyers, it could easily turn out to be a terror as you grow in your business. It may not sound scary if you are selling few products in a day but it will surely become a topic of terror if you start selling thousands of products in a day, which we hope you do. In the starting you may keep the inventory in your bedroom or in the garage but what you will do when you start selling thousands of products? You are going to be responsible for each and every decision you make.
Difficult to keep track of inventory data
Growing businesses comes with extra responsibilities. It’s easy to keep track of a few hundred products in your computer or in the diary, but it will become a bit tricky when your business will grow. It will be a headache for you to keep the track of what items you sold, which are in the transit, which to ship, what are the returns and a lot more.
Additional maintenance cost
I admit you have saved from amazon’s shipping and storage fees but it doesn’t mean these costs are going away completely. You still have to store and ship on your own, right? Depending on a lot of factors these costs could be more or less than what you would have paid to Amazon FBA.so you need to carefully calculate what it would cost you with FBA and FBM and if the cost is getting higher with FBM or somewhat similar then I would suggest you choose FBA.
Miss out on prime members
Believe it or not, but amazon prime members likely to buy only from prime sellers, after all, they have bought a paid subscription for the additional services, including the major one that is 2 days shipping. It’s natural that prime members trust prime sellers only, when they plan to buy something, so in the end, you would be the one who would miss out on the prime subscribers.
Buy box is harder to win
Have you ever seen a little ‘Add to cart’ option when you buy something on Amazon? That’s a buy box. Registering as a seller on Amazon won’t give you a buy box. And not all sellers have this facility. All the new Amazon sellers have to become eligible for getting a buy box. Now you must be thinking, what’s the problem here? Well, the thing is amazon favors FBA items over FBM when it comes to the buy box ownership. This won’t be an issue if your item is unique or of a little competition, but you and I both know that’s rarely the case.
In the end, there is no perfect formula to choose in between Fulfilled by AmazonB vs Fulfilled by Merchant, and it’s up to you and your business needs, which path you need to choose.FBA and FBM both have their own advantages and disadvantages and come in use according to the situation and maturity of your business. If you are still confused how to become an amazon seller and need to keep everything aside and only generate profits with the free mind then you can use our service of guaranteed sales and if we do not keep our word we will give your 100 percent money back making a win-win situation for you.