As the Amazon slogan says, “You sell it, we ship it.” In simple terms, this sums up the premise of Fulfilment by Amazon, but of course, there is a lot more to it than this. Amazon is one of the world’s largest online retailers, with 197 million people visiting Amazon.com each month. If you are looking to sell a product online, but you don’t want to go through all of the hassle and expense of building a website, scheduling deliveries, and creating a loyal customer base, then becoming a FBA seller might be for you. In this blog, you will learn everything there is to know about Amazon FBA, including what it is, what the benefits are, and why you need an Amazon consultant to help you navigate selling on Amazon.
What exactly is Fulfilment by Amazon?As briefly touched upon above, Amazon FBA is a service offered by Amazon that allows third-party sellers to automate their order fulfillment and shipping services. Once enrolled in this service, Amazon will handle all your shipping, including returns and refunds, as well as warehousing, picking and packing, and so much more. So, you might be thinking, what’s the catch. Well, of course, Amazon is not offering this service for free, so there are fees involved, but the advantages of selling on the Amazon platform far outweigh the costs involved. As part of this service, you will receive 24/7 customer support from Amazon, all shipping and fulfillment costs are taken care of, and access to one of the world’s most profitable retailing platforms.
What are the main benefits of Amazon FBA?If you are still not sure if this is the right selling platform for your products, then the below benefits may help to convince you. However, it also has many advantages for your Amazon platform, including:
- Stress-free shipping and logistics
- Discounted shipping rates
- Return and refund management
- Customer service management
- Quick delivery and free shipping
- More storage space
- Ability to scale your business
- Omnichannel promotion and selling
Are there any drawbacks to Amazon FBA?Fulfillment by Amazon is not the right solution for everyone, and there are a few drawbacks that may mean your business is not suited to this platform. These are:
If you are just launching your eCommerce business, you may not have the funds needed to pay for this service.
It is worth knowing that you may experience an increase in returns when you use this service.
Long-term storage fees
As you might expect, Amazon does not like to sit on FBA inventory, so the longer you need them to store your stock, the more it is going to cost you.
All of the above being said, Amazon FBA is still a great service for online sellers who want to increase customers and make more sales.
What is an Amazon consultant?An Amazon consultant, or Amazon consulting agency, is someone who helps to manage Amazon accounts for sellers. Ultimately, their aim is to help businesses increase sales on their product listings. Amazon consultant services offer many different services, including Amazon SEO, Amazon PPC, and account management.
Why do you need an Amazon consultant?If you want to enjoy a good return for your Amazon seller account, then you need to put in a lot of time and effort into your business. Not to mention the fact that you need to have expertise in this area of the eCommerce industry. While it may seem simple to sell products on Amazon, there is actually a lot involved in the process, especially if you want to outsell your competitors and make a healthy profit. The top five reasons why you should hire an Amazon consultant are listed below:
1. To handle Amazon advertising
The cost of advertising on Amazon has been slowly increasing over the past few years, and this is expected to continue in 2022 and beyond. Therefore, if you want to see a good return on investment, you need someone with experience who can manage your ad campaigns for you.
2. To optimize your Amazon listings
There are more FBA sellers on Amazon than ever before, so, if you want to stand out from the crowd, you need to make sure that your Amazon listings are what shoppers see. Doing this through Amazon SEO is one of the most effective ways to make your listings seen. However, this is another aspect of selling on Amazon that can be tricky for beginners.
3. To transition from Vendor to Seller Central
An Amazon marketing agency can help you to navigate the tricky transition from vendor to seller central. They will talk you through any additional fees you need to pay, such as long term storage fees, as well as effective FBA inventory management, which can help you to cut the cost of being an FBA seller.
4. To launch a new product
An Amazon marketing agency can help you to navigate the tricky transition from Vendor to Seller Central. They will talk you through any additional fees you need to pay, such as long term storage fees, as well as effective FBA inventory management, which can help you to cut the cost of being an FBA seller.
5. To win the Amazon Buy Box
Every Amazon FBA seller wants to win the Buy Box, as over 80% of sales are generated from this feature. The Buy Box is essentially a widget that is visible on most Amazon product listing pages and which allows shoppers to quickly purchase an item they have been searching for. By owing the Buy Box, you can dramatically increase your sales and create Amazon PPC ads. To become eligible for the Buy Box, you need to have a Professional Seller Account, and you need to ensure that it remains in good standing.