FBA, FBM, what do these acronyms refer to? If you don’t know, don’t worry. These are terms used in the Amazon world. FBM stands for “Fullfield by Merchant”, on the other hand FBA stands for “Fullfield By Amazon”. Today we will explain how Amazon FBA works, but first we will explain what Amazon FBA is.
Amazon Logistics (Amazon FBA) is a logistics system that gives access to anyone on the planet to sell their products on the Marketplace platform. It should be noted that you have the advantage of storing them in their warehouses. In addition, the platform will take care of shipments to customers, the corresponding refunds, returns and good customer service. To get started with the Amazon FBA program, you will first need to create a professional seller account and choose the geographic area where you want to sell. Then, you will need to list your products on the Seller Central platform, prepare your products and submit them to Amazon.
As you can see, the Amazon FBA program takes care of many responsibilities, but let’s see what other advantages it has:
- As you can see, the Amazon FBA program takes care of many responsibilities, but let’s see what other advantages it has:
- Selling outside of Spain, because Amazon can reach many more customers and potential buyers. You only need to have your inventory published from a single seller account and Amazon takes care of shipping the products throughout the European countries.
- Customer service is available 7 days a week, 24 hours a day.
- You can sell even while you are on vacation, by activating the Amazon Logistics vacation setting your products will continue to sell while you are resting.
- You can’t have direct control of your customers or contact with them. In fact, when you send your products to Amazon’s warehouses, you no longer have control over the shipping and delivery times.
- As all services have a cost, such as storage costs, shipping costs, etc.
- Stock control depends on you. If your product sells very fast you should pay close attention to the stock and check your account very regularly. Stock provisioning in this regard is very important. It is very advisable to send the corresponding products before you run out of stock.
- If you do not meet Amazon’s standards your account may be deactivated.
Now that we have explained what Amazon FBA is in terms of service, advantages and disadvantages we can add that by participating in this program the products earn the PRIME badge: it gives the product a top positioning increasing visibility. You can also benefit from one of Amazon’s biggest shopping events, the PRIME DAY.
Secondly, we find the Managed by Amazon and the Panaeuropean program: for all European sales, it guarantees that our product will arrive in the best conditions and the customer will be able to contact customer service through the platform itself.
Here ends our lesson on “What is Amazon FBA”. If you have doubts or want to deepen in some aspects ask us with a comment. To not miss other content from Epinium University, subscribe to the Newsletter.