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How to sell on Amazon FBA
What Is FBA?

In my previous article “Everything You Need To Know About ‘How to Sell on Amazon for Beginners” I mentioned FBA in brief, but in today’s article I want to talk about it in details. As you probably know, when you sell on Amazon, there are two main methods of the products` fulfillment:

  • FBM – Fulfillment by Merchant.
  • FBA – Fulfillment by Amazon.

The FBA business model means that the Amazon will warehouse your items, provide customer service and even fulfill your orders. This means that you don’t need to dedicate a lot of time to each aspect of your business.

How does the FBA Works?

As I wrote, FBA is one of the best options to fulfill your items, so you might be interested in how it actually works. Let’s dive in!

  1. Look for products, you want to sell on Amazon (Recommendation: market shouldn’t be too competitive or oversaturated). And list it on the marketplace.
  2. Prepare the products to be shipped to a FBA warehouse.
  3. Pack your items and send them to that warehouse placement, that Amazon assigns. By the way, don`t worry about packaging. You can send a lot of different items together. It means, that if you have 30 items of easy grinders, you can ship it safely to the same warehouse.

So, at this stage, your work is just about done with the items.

What does the Amazon do when the products arrive at its warehouses?

Here are the list of actions, that Amazon usually takes, when the products arrive at the warehouses.

  1. First of all, managers of the marketplace check and verify, if you have sent the correct items in proper condition.
  2. If your products are correct, Amazon will activate your listings. This means that your items will be available for sale.
  3. After that, the Amazon will keep the products in the warehouses until a customer orders it. And when the customer orders the item, Amazon will send it to the buyer.
  4. After the product has shipped, Amazon will deposit your share of the sale into your seller account. (Seller`s share is the selling price minus Amazon’s fees). You will receive an email from Amazon every time they ship an order for you.
  5. Every two weeks you will receive a deposit to your bank account for items that have sold for the prior 2 weeks.
Benefits of the FBA
  • One of the biggest impacts of FBA is the free shipping benefits offered to clients. Also, Amazon has some additional pros and offers, free one day, same day, and 2 hour delivery on certain items in select cities.
  • When you sell on Amazon using the Fulfillment by Amazon program, your items are available for all of these prime shipping benefits. That means customers can get Free 2 day shipping on the items that you sell.
  • Another key benefit that is that Amazon does most of the heavy lifting when you use the FBA program when selling on Amazon.
  • By the way, you also can ship items to Amazon in bulk, and they send the products to the individual customers.
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