If you're thinking, "I'd like to try FBA shipping, but I'm not quite sure how it works...," this is a must-read for you.
This time,BenefitsfromGreat Benefits for Those New to FBAUntil,I’ll carefully explain each piece of useful information one by one.
Please feel free to use this as a reference.
Amazon Shipping Methods
When purchasing from Amazon,ShipperHave you ever thought about that?
Actually, the shipping origin isn't just related to the seller's operations, but also...Purchases by Users...which also affects [...].
As some of you may already know, there are two main shipping methods for Amazon listings:
- FBA Shipping
- Self-Shipping
Since each has its own advantages and disadvantages,
ListingProduct CategoriesやPriceIt is important to choose the appropriate shipping method based on these factors.
In this article,"FBA Shipping"Let's take a closer look at this.
We also plan to update our article on “Self-Shipping.”
We hope you'll look forward to it!
What is FBA?
To begin with"FBA"How does it work?
I imagine many of you have the impression that “Amazon handles shipping,” right?
While this understanding isn't incorrect, you can also outsource tasks other than shipping to Amazon.
Let's take a closer look!
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「FBA」：「Fulfillment by Amazon」
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"Fulfillment" is,The entire process involved in mail-order salesThat's what it means.
, such as,
Before we deliver it to our customersThe Mail-Order ProcessTry to picture this.
"FBA" is thisA system for outsourcing all business operations to Amazon。
That's a really convenient service.
Image Source: Fulfillment by Amazon (FBA) Service Overview
According to the results of a survey of sellers using FBA,
75.5%of sellers reported that “their sales increased after starting to use FBA compared to before.”
In fact, most of the clients for whom we provide fulfillment services use FBA shipping.
As explained in “3. Six Benefits of FBA Shipping,”
FBA shipping offers many benefits and is one of the strategies for increasing sales.
How do I use FBA?
The process for using FBA is as follows.
①Sign Up for FBA
Please register for FBA on the following page.
▼Registration Page
https://services.amazon.co.jp/services/fulfillment-by-amazon.html
②Ship products to an Amazon fulfillment center
We will ship the products to Amazon's warehouse in accordance with the guidelines.
6 Benefits of FBA Shipping
By using FBA shipping, Amazon handles product storage, packaging,
Since they handle everything from shipping to customer service, this offers benefits such as improved operational efficiency for sellers.
In addition, thanks to Amazon's logistics system, ordered items are shipped quickly, and
As a Prime member, you can purchase many items with free shipping, among other benefits,
There are plenty of benefits for buyers, too!
I’ll explain the six main benefits in detail.
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① Becomes an Amazon Prime-eligible item
② You can list products under the Amazon brand
③ Reduces the workload
④ Appear higher in search results
⑤ Increasing the Shopping Cart Conversion Rate
⑥ Supports various payment methods, and
It can highlight the ease of purchase for users
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Let's take a closer look at each of these.
Become an Amazon Prime-eligible item
When you use FBA shipping,Express Delivery and Same-Day Express DeliveryW-
Amazon Prime MemberYou are eligible for the free shipping benefit available to our customers.
With similar prices and about the same number of reviews,
Would you rather buy items with fast shipping or slow shipping…?
Of courseItems with Fast ShippingRight?
As such,Delivery SpeedIt is one of the factors considered when making a purchase decision.
Taking steps to improve FBA shipping will also lead to higher customer satisfaction.
In addition, FBAOperates 24 hours a day, 365 days a yearAs a result, we are able to respond to emergencies at any time.
You can list products under the Amazon brand
Many Prime members,Verifying that the shipper is AmazonWe will carry out the following.
Ultimately, the deciding factor for whether to make a purchase is whether Amazon is handling the shipping.
Just because it says it's shipped by Amazon,
Not just Prime members, but all customersTrustやSense of securityThis leads to...
Reduces the workload
If you spend all your time on shipping operations, you’ll have less time to focus on building your product’s appeal, right?
By registering for FBA and entrusting everything from shipping to delivery and customer service to Amazon,
Product Planning and MarketingThis makes it possible to focus on other tasks, such as...
Appear higher in search results
FBA products arePrioritized placement at the top of search resultswill be done.
The image shows the top-ranking products that appear when you search for “enzyme supplements.”
What appears right after the ad isFBA ProductsYou can see that, right?
Appearing higher in search results will increase traffic to product detail pages, which can lead to higher sales.
Click here for more details on Amazon SEOThis is explained in detail there.
Be sure to check it out!
Increasing the Shopping Cart Conversion Rate
FBA products can be added to the cart on a priority basis.
By increasing the cart conversion rate,Unit Session RateやSales...is more likely to increase.
When listing products on Amazon, understanding shopping cart conversion rates is essential.
Supports a variety of payment methods, making it easy for users to make purchases
Add Payment MethodsThis, too, is an important strategy for encouraging customers to make a purchase.
It’s such a waste to drive customers away simply because there isn’t a payment method that suits them.
Items shipped via FBA areCash on Delivery AvailableThat's it.
This allows you to reach customers who don't have credit cards and reduce lost sales due to payment issues.
Two Disadvantages of FBA Shipping
It is difficult to keep track of the current status of products
When you outsource shipping to Amazon,
I can't check the condition of the item right awayThis can be cited as a disadvantage.
Also, even if you suddenly decide, “I want to add a sticker to the product packaging!”,
The condition of products sent to Amazon's fulfillment centersIt can't be changed easily.。
In fact, accidents like the ones listed below could happen…!
- "I accidentally put the barcode for the 3-pack on the 2-pack!"
→Amazon failed to verify the order, and it was shipped to the customer as is… - "There was a problem with the product!"
→Since we can't retrieve it, we'll just leave it with the customer...
Since verification after shipping to an FBA warehouse is handled by Amazon,
We really need to make sure we check everything thoroughly beforehand.
A fee applies
FBA shipping does not apply to self-fulfillment.FeesIt will cost.
There are two basic FBA fees:
There are no monthly fixed costs, but
A fee applies to each item.
Let's take a closer look at each one!
■Shipping Agency Fee
The fees listed above include 10% in consumption tax.
*Dimensions = The sum of the length, width, and height of the packaged item.
*Even if an item is classified as an oversized item at the fulfillment center (FC) where it is delivered, the extra-large size fee will apply if the item’s dimensions exceed 200 cm or its shipping weight exceeds 40 kg.
Source:Amazon Seller Central Fulfillment Fees
These are the fees for packaging, shipping, and customer service related to your order.
The shipping agency fee isNationwide Flat RateTherefore, it may be possible to keep costs lower than if you were to ship the items yourself.
Since the handling fee varies depending on the size of the item, please use the table above as a reference to run a simulation.
■Inventory Storage Fees
Source:Amazon Seller Central: Inventory Storage Fees
Product Size(per unit volume) andStorage PeriodIt is calculated on a daily basis.
(Storage period: From the date the item was stored in FBA until the date it was shipped to the buyer)
Let's also take a look at any other fees that may apply!
■FBA Packaging Preparation Service
Packing can be surprisingly time-consuming and labor-intensive, can't it?
The "FBA Packaging Preparation Service" is for sellers who use FBAA service where Amazon handles product packaging on your behalfThat's it.
Properly packing and preparing your products can help minimize delays upon receipt.
■Long-Term Inventory Storage Fees
FBA conducts an inventory clearance check on the 15th of every month.
In such cases, for items that have been in storage at an Amazon fulfillment center for more than 365 days,Long-Term Inventory Storage FeesRequest.
Sellers will notify you in advance if a product is subject to a long-term storage fee.
Be sure to check regularly to avoid paying unnecessary fees!
■Return and Abandonment Fees
"A long-term storage fee will be charged."
"Low turnover rate"
"Not suitable for resale"
We recommend returning these items to the warehouse or abandoning ownership of them.
Source:Fees for Return and Abandonment Requests on Amazon Seller Central
When returning or disposing of inventory from an Amazon fulfillment center,Return/Abandonment Feeswill occur.
Let's make the most of it while balancing excess inventory and costs!
*Amazon periodically reviews its FBA fees. For the latest information,Revision of FBA Fulfillment FeesPlease take a look.
What is the FBA Multichannel Service?
「FBA Multichannel Service"..." refers to the process of handling the delivery of products sold through channels other than AmazonLogistics services managed by Amazon on behalf of customersThat is to say.
By registering, you will no longer need to manage your products separately for each sales channel.
Source:Amazon Seller Central Multichannel Service
AWhen registering products sold on platforms other than Amazon with FBA,
What are the benefits?
This time, I’ll highlight and explain three of them!
Shipped in plain cardboard boxes
「FBA Multichannel ServiceItems registered in "..." will be shipped to customers in plain cardboard boxes when sold outside of Amazon.
From a branding perspective, the fact that it’s plain is a definite plus for sellers.
Order Hold Feature
Have you ever had trouble securing inventory when managing it across multiple sales channels?
If you sign up for the “FBA Multichannel Service,” you can temporarily hold orders, andEnsuring Inventory Availability During Order Processingis possible.
Same shipping method as FBA
No special steps are required when shipping.
These items can be shipped just like products listed on Amazon, and you can request shipment through Seller Central.
Summary
Did you gain a thorough understanding of FBA?
FBA offers many benefits for both buyers and sellers.
Be sure to take advantage of FBA to boost your sales!
The following article provides a detailed explanation of listing products on Amazon.
Be sure to check it out!
Hide&Seek, the author of this blog, is,
We are a Fukuoka-based company that provides management services for Amazon, Rakuten, and Yahoo!.
Amazon Management Services for Over 40 CompaniesWe are currently offering this service.
"I want to open a store on an e-commerce marketplace, but I don't have the resources to spare."
"We want to expand our sales channels while maintaining the competitive edge of our own online mall."
"I opened a store on an e-commerce marketplace, but I'm too busy to manage it properly, so my sales aren't going up."
If you're facing such concerns,
Please feel free to contact us using the contact form below.
Thank you for reading to the end!
