What is Amazon FBA?
FBA stands for Fulfilment by Amazon. Amazon FBA although simple can be incredibly profitable. FBA provides you with the opportunity to use Amazon’s own warehouses to store your products. This consequently saves you the trouble of finding and maintaining your own warehouses. If you are looking for an accessible business model to channel your entrepreneurial focus Amazon FBA is for you!
So how does Amazon FBA work?
The process goes like this, firstly you send items into Amazon which you have found and believe are a profitable deal. Amazon then store your products in their warehouses. Next, when a buyer purchases your item Amazon will then pick and pack your product if necessary and deliver the item to the customer using their Amazon Prime delivery service. This includes all the bells and whistles, Amazons’ brilliantly responsive customer service including returns and queries. Not only this you have the added consumer confidence associated with Amazon.
Still on the fence?
We have some pros and cons of using Amazon FBA which you might find useful when weighing up if Amazon FBA is for you:
| Pros | Cons |
| Customer support: Amazon deal with any customer related queries on your behalf. | Rules: It is important with Amazon FBA to follow Amazon’s guidelines and rules. |
| Instant sales: Considering the popularity of Amazon instant sales are common, especially if you have found a brilliant deal! | It can be expensive: Depending on how you run your FBA business you can pay for fees such as prepping fees and other fees. |
| Ease: Amazon deal with all the front facing customer queries, freeing up your time to find potentially profitable deals. | Time commitment: Preparing items yourself saves you paying Amazon’s prepping fee. This can be a slight hassle. However it is a cost effective option for your FBA business. |
| Prime Delivery: Need we say anymore? One of the many perks of Amazon FBA is that your items will be delivered via Amazon Prime usually within 1 business day. | Access to customer data: With Amazon FBA you do not have access to customer data. This can limit your opportunity to gain a wider understanding of consumer preferences. |
| Consumer Confidence: The likelihood is that most people you know have used Amazon or at least are familiar with the company. Amazon provides you with an unparalleled level of consumer confidence which you can harness. | |
| Ability to sell overseas: Broadening the accessibility of your products enables your products to be seen by a larger number of eyes. This therefore increases the likelihood of generating sales! |
With so many positives we aren’t surprised thousands of our users have already generated incredible sales!
Final Thoughts
Amazon FBA is a great opportunity to grow a successful business. Of course like any business it is necessary to commit time to FBA but you definitely get out what you put in. So if you think this could be for you we’d say jump in! If you would like to learn more you can check out Youtube channel for more information.
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