FBA stands for 'fulfillment by Amazon.' This is a service offered by Amazon where you use their fulfillment center as your own personal warehouse.
You send your items there and Amazon takes care of selling them for you.
Here are the benefits of this program for you.
Everybody Knows Amazon
Amazon is the world's best known online marketplace. You're basically using them as your fulfillment house.
This gives the products you sell global reach 24 hours a day. Your business couldn't ask for better exposure than this.
You Save on Shipping
When you use FBA, you don't have to take orders, pack items and ship them yourself. This means considerable labor and cost savings for any business.
You've got to pay fees and commissions, but it's nothing compared to the manpower costs of doing your own order fulfillment.
The system makes it easy for anybody to become a seller on Amazon
You Save Space
You also save space. By using Amazon's warehouse as your own, you don't need space for stacks of books.
They also offer a really easy to use inventory interface so that you can keep track of the items you've got at their warehouse.
No Customer Service
Amazon handles all of the customer service for you. This is a wonderful advantage but it also has one downside.
The downside is that you have to abide by Amazon's customer service policies, and this includes their return policy.
This means that you don't have control over this aspect of your transactions.
The Process Is Straightforward
It seems like a lot at first, but the system is actually very straightforward. You'll get used to it quickly.
Amazon's website walks you through the process to get you started and there's a helpful webinar that explains how it works.
You can also find help forums and other resources to help you get your questions answered.
High Profit Potential
Some people sell their old books through FBA just to get rid of them and make some pocket change.
However, there are also full-time sellers who have thousands of books at the Amazon fulfillment center and make a great profit from it.
You can also use it to create a revenue stream for building your online business.
You're Listed First
FBA actually gives you an advantage over other Amazon sellers.
Your books get listed first in the search results and they're eligible for Amazon's special shipping deals.
Amazon Prime customers can also buy your books without paying shipping costs, which makes yours look better than the penny sellers'.
FBA Isn't Perfect
While there are lots of benefits, keep in mind that FBA has its downsides as well. When you use Amazon as your fulfillment house, you give up control to some extent.
If they damage books or ship them late and the customer isn't happy, it's your seller account that gets the negative feedback. Make sure you're informed on the cons as well as the pros before you get started.
You've got to get creative and think outside of the box a little if you want to really make money with FBA.
Here are some advanced tips culled from the experts.
- See more at: Fulfillment by Amazon How to Guide
The Process Is Straightforward
It seems like a lot at first, but the system is actually very straightforward.
You'll get used to it quickly. Amazon's website walks you through the process to get you started and there's a helpful webinar that explains how it works.
You can also find help forums and other resources to help you get your questions answered.
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