Amazon FBA (Fulfill by Amazon), FBM (Fulfill by Merchant) and Inventory Support
Before you start selling on Amazon you're going to need to settle on a plan for fulfilling your customer's orders. This is critcal as Amazon is very finicky about prompt order shipment. You need to make sure your orders are shipped as timely as possible and manage your inventory. This is a critical strategic decision that will probably affect your success on Amazon more than anything except for your products themselves.
The two primary methods of fulfilling your orders are:
In the absence of items that are very large or awkward to ship we always recommend you sign up and ship using FBA. Better to start out with FBA from day one - switching later can be tricky. While it adds some complexity to your supply chain it will more than pay for itself because (and this is a dirty little secret) Amazon automatically gives preference to FBA shipments. All things being equal, an Amazon FBA offering will always get the "buy box" over an exactly the same FBM offering. This is a huge deal in any competitive niche. FBA has some special requirements, storage charges, obsolete inventory charges, etc. but you will be best served by learning how to work with them.
We can help you set up your FBA shipments, comply with the FBA program rules and monitor your inventory to make sure the Amazon warehouse never runs out of your products.
Seller Central FBA requires ongoing management and in most some cases we will need to set up a plan for you using time and material billing on a monthly basis. Please contact us now for rate estimates on how we can help you set up and/or optimize your Seller Central FBA operations.
Amazon, Amazon Vendor Central, Amazon Seller Central, Amazon FBA, and Amazon Brand Management are registered trademarks of Amazon and their ownership is acknowledged.