FULFILLMENT BY AMAZON FBA SERVICES
Discover the meaning of Amazon FBA and unlock the potential of Amazon’s fulfillment services
Streamline your business today!
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WHAT IS FULFILLMENT BY AMAZON (FBA)
Fulfillment by Amazon (FBA) is a service that lets eCommerce sellers store products in Amazon’s fulfillment centers while Amazon handles storage, packing, shipping, and customer service. This allows sellers to focus on growing their business rather than logistics.
73% of third-party Amazon sellers use FBA to streamline operations, boost visibility, and ensure fast shipping.
Key Factors of FBA
An FBA seller can focus on growing business instead of struggling with product listings, customer service, or logistical challenges. Here’s how Amazon handles the heavy lifting:
Simplifies Logistics:
Amazon stores, picks, packs, and ships your products.
Boosts Product Visibility:
Prime-eligible products often rank higher in search results.
Fast & Reliable Shipping:
Access Amazon’s advanced fulfillment network.
Optimized Inventory Management:
Amazon tracks stock and updates availability in real-time.
Elevates Customer Experience:
Amazon handles returns and customer inquiries.
BENEFITS OF FBA SERVICES
Are you having trouble managing your inventory and fulfilling orders? FBA service helps you scale the business without the burden of storing products or shipping individual orders. Below are a few more benefits of using FBA services:
Global Shipping Power
- 175+ fulfillment centers worldwide
- 200 million+ Prime members for increased visibility
Easy for Sellers
- List products, ship to Amazon, and let them handle fulfillment
- Choose Fulfillment by Merchant (FBM) if you prefer self-shipping
Fast & Cost-Effective Shipping
- Amazon invests heavily in robotics and automation for efficient fulfillment
- Low shipping costs due to economies of scale
Professional Customer Support
- FBA sellers see an average 35% increase in sales due to Prime eligibility
- Amazon manages returns, refunds, and inquiries
Multi-Platform Fulfillment
- Use Multi-Channel Fulfillment (MCF) to ship products sold on other platforms
- Connect with tools like SellerCloud & Multiorders for cross-platform inventory management
FBA DRAWBACKS
Inventory Tracking Challenges
- Navigating Amazon’s Seller Central can be complex for new sellers
Limited Branding
- Customer interaction happens through Amazon, making brand-building harder
- Solution: Include branded packaging and inserts to drive customers to your website
High Return Rates
- Amazon’s easy return policy may lead to increased return rates
- Prevent returns by ensuring accurate product descriptions and images
Operating Costs
- Fees include fulfillment, storage, and returns processing
- Average fulfillment fee: $2–$5 per item, varying by weight and size
FBA SERVICE FEE
If you use Amazon FBA, you'll pay extra fees on top of the selling price. However, these fees can be worth it for your business. Here are the common FBA fees you should know before visiting the Fulfillment by Amazon webpage.
Summary of Basic Fees
- Restocking Fees: costs vary by product type.
- Storage Fees: A monthly fee that is determined by the volume of products stored.
- Long-term storage fee: The long-term storage fee is payable after 365 days of storage.
- Disposal fee: charged for disposal of the item.
- Unscheduled service fee: charged for unscheduled items.
- Return processing fee: the fee for returning the item to the customer, depending on the product.
| Fee Type | Description | Cost Determination |
|---|---|---|
| Fulfillment Fee | Picking, packing, shipping | Based on item size & weight |
| Storage Fees | Monthly charge for warehouse space | Varies by size & season |
| Long-Term Storage Fee | Charged for inventory stored 365+ days | Higher fees for slow-moving |
| Disposal Order Fee | The cost of returning unsold items to you instead of disposing of them is significant. | The price is based on item size and weight |
| Removal Order Fee | You will be charged for unprepared or wrongly labeled shipment. | Similar to disposal fees |
| Unplanned Service Fee | Charged if your products are not prepared or labeled correctly for shipment. | Per item fee for corrections |
| The Return Processing Fee | Amazon handles returns, but you'll pay a fee for returned items in certain categories (like apparel). | Ranges from $2 to $43 per returned item |
HOW TO SHIP TO AMAZON FBA?
FBA sellers can ship their products from a supplier to Amazon's warehouses, or they can choose to deliver them to a preferred location and wait for fulfillment. Here are the right steps:
Step 1: Find Your Product
Go to the “Manage All Inventory” section of your Seller Center account. Find the product you want to ship. Choose the "Edit" drop-down menu and then click on "Send/Replenish Inventory."
Step 2: Enter Packaging Information
If you have a workflow for a product, it will appear in “Packing Details.” Otherwise, enter new details like units per box, dimensions, and weight. You also have the option to name this template. This lets you reuse the same packing information for future Amazon shipments. If you pack differently next time, you can create a new template.
Step 3: Confirm shipping information
Review your shipping information and accept payment. Select the shipping date and type (either LTL or FTL Freight). Confirm shipping and pricing with the carrier. If all looks good, click "Accept Charges and Confirm Delivery".
Step 4: Print Your Labels
Make sure to print your shipping labels with both barcodes clearly visible on the outside of the box. Then, consider hiring a professional carrier who offers doorstep pickup service and delivers to Amazon's warehouses. Once your product reaches Amazon’s warehouse, they handle everything else, like storing and delivering your shipment. Just make sure to provide correct information about your shipment and cross-check all the details of the Bill of Lading (BOL) document.
| Requirement | Details |
|---|---|
| Pallet Material | Use wooden pallets only; Amazon rejects plastic pallets |
| Heat Treatment | Heat-treat wooden pallets according to ISPM-15 standards to prevent pest issues |
| Pallet Type | Choose 4-way access pallets for flexibility and ease of lifting |
| Condition | Ensure pallets are in good condition before shipping |
Prepare your pallets correctly to avoid rejections and ensure safe transportation for your products to Amazon’s warehouses.
| Measurement | Details |
|---|---|
| Width | 40 inches x 48 inches (100 cm x 120 cm) |
| Maximum Height | 72 inches (182.5 cm) for single pallets; 100 inches (254 cm) for double-stacked pallets |
| Weight Limit | 1,500 lbs (680.4 kg) |
| Pallet Type | Specifications |
|---|---|
| GMA Standard B Pallet | The structure features 7 boards at the top, 5 boards at the bottom, unrepaired longitudinal beams, and a 4-way fork access |
| GMA 1A Pallet | 7 boards on top; 5 boards on the bottom; longitudinal beams with no repairs; 4-way fork access |
| GMA 1B Pallet | Usually there are 6 or 7 boards (depending on board width) on top and 4 boards on the bottom |
USHIP LTL SHIPPING SERVICES FOR FBA SHIPPING
What is LTL Shipping?
Less Than Truckload (LTL) shipping is a cost-effective way to transport inventory without booking a full truck.
Why Use uShip for Amazon FBA?
- Access 30+ LTL freight carriers competing for your shipment
- Compare multiple quotes to get the best rate
- Easy shipment tracking with uShip’s platform
How to Use uShip for FBA Shipping
1. List Your Shipment: Enter dimensions, weight, and destination
2. Compare Carrier Quotes: Choose the best price & timeline
3. Book & Track Your Shipment: Manage everything in one place
4. Confirm Delivery to Amazon: Ensure safe arrival at fulfillment centers
THE COMPLETE FBA SHIPPING PROCESS
Here is a simple step-by-step guide to help you understand the complete FBA shipping process:
Step 1: Create an Amazon Seller Account
- Sign up on Amazon Seller Central
- Provide business details, payment info, and identity verification
Step 2: List Your Products
- Enter product details, price, and fulfillment method
- Choose between FBA (Fulfilled by Amazon) or FBM (Fulfilled by Merchant)
Step 3: Create an FBA Shipping Plan
- Set inventory quantity, shipping method, and warehouse location
Step 4: Ship Your Inventory
- Print Amazon barcodes & labels
- Select LTL or FTL shipping
Step 5: Monitor & Optimize
- Track inventory levels in Seller Central
- Use Amazon’s advertising tools to boost visibility
ADDITIONAL TIPS
Request Appointments Wisely: Only place orders when you are ready to ship your product. This streamlines the process and helps prevent unnecessary delays.
Limit of Appointments: Please note that you can only receive up to seven items per entry. Ensure your request does not exceed this limit.
Importance of Scheduling: Amazon will not accept shipments without a scheduled appointment. Secure your appointment in advance for shipment acceptance by Amazon.
Timeliness is Key: If you miss your appointment window by 30 minutes or more, Amazon will refuse to accept your order. In such cases, you may need to reschedule your appointment, which may result in a delay.
Notify of Delays: Please contact Amazon as soon as possible if you suspect your shipment is missing. With advance notice they can make the necessary arrangements.