What Is an Amazon FBA Business and Is It Right for You?
Getting started as a seller on Amazon is a simple process, but standing out from the crowd is more difficult. In order to compete, you need to provide a top-quality service. Amazon’s FBA program can help a great deal in achieving this.
What Is an FBA Business?
FBA stands for fulfilled by Amazon. Usually, when you want to sell stuff on Amazon, you take on responsibility for processing and fulfilling orders as they come in. But with the FBS system, sellers can ship their products to Amazon warehouses. As a result, if a customer orders one of the products, they can be dispatched directly from Amazon’s own warehouse. This also means that they will be delivered by Amazon and will be transported using their infrastructure.
What Are the Benefits of Running an FBA Business?
The biggest benefit of operating an FBA business is that the most fraught parts of the selling process are handled for you. Failing to fulfil orders or taking a long time to deliver the goods can both have a negative impact on your seller account’s reputation. By outsourcing the order fulfilment to Amazon, you will be benefiting from its impressive infrastructure.
With an FBA business, you also don’t have to worry about tracking your inventory and making sure that you have products in stock. All you need to do is send stock to Amazon’s warehouse and they will handle the rest. This includes monitoring inventory levels and ensuring that available products are listed on the store page.
The first thing you will need to do is create a seller account. You can choose to set up an individual account or a professional account, depending on the type of FBA business you want to start. Individual accounts are free but subject to a number of restrictions. On the other hand, a professional account will charge you a monthly fee but doesn’t have the same restrictions limiting what it can do.
Keeping Your Business Secure
If you are going to be making most or all of your income from an FBA business, it is essential that you keep your seller account in good standing. Any negative reviews and complaints can have an impact on your reputation. If there are enough strikes against your account, then Amazon might even suspend you.
You should have a plan of action for Amazon appeals before you need one. Thompson and Holt is a great resource for this. They have a guide to writing an effective appeal letter to Amazon, the first stage of putting an Amazon plan of action in place. Amazon’s FBA system means that you don’t have to worry about shipping orders yourself, which helps a great deal in terms of maintaining a high seller-rating and good feedback. It also makes it less likely that your account will be suspended.
Starting an Amazon business can be a great way of making some extra money on the side, or it can serve as a full-fledged e-commerce business. By enrolling in the FBA system, you can remove a lot of the hard work from the selling process and provide your customers with the