What is Amazon FBA (Fulfillment By Amazon)?
Amazon’s FBA program, which stands for Fulfillment By Amazon, allows companies and individuals to sell products on the Amazon website. You send your products to Amazon fulfillment centers, and they handle all of the shipping and customer service. Once you’ve sent your products to Amazon, they handle all of the hassles.
Some of the features of the FBA program include:
- Free shipping for orders over $35
- Amazon Prime shipping
- Competitive pricing to encourage purchases
- Customer service
If you’re looking for a business that is nearly passive income, Amazon FBA is a great option. Sure, it’s not entirely passive.
You will have to search for inventor, upload information about your products, and ship the products to Amazon’s warehouse, but you don’t have to handle shipping the products to individual customers, tracking inventory, dealing with customer service, complaints, and returns, or any of that.
The FBA system just makes it incredibly easy to sell online, and it costs very little to get started.
The Processes Of How FBA Works
The FBA process is actually a lot simpler than most people think. It’s a 5-step process that requires you to send your inventory and upload your listings.
You can also sell on Amazon without having any inventory, allowing you to use drop shipping. We’ll cover that in a later chapter. Drop shipping is a way you can get started without spending money on inventory upfront.
The process is simple:
- Upload your listings to Amazon’s Seller Central.
- Send your products to Amazon’s warehouse.
- Amazon receives your inventory and handles inventory management.
- A customer orders your product.
- Amazon locates your product in their warehouse and ships your product directly to the customer.
- Amazon handles any customer service issues and returns.
As you can see, most of the work is done by Amazon. Once you’ve uploaded your product information to their website and sent the products, Amazon handles everything else.
This allows you to sell your products without the hassle of owning your own ecommerce website. To learn more visit our Amazon FBA information page