Amazon FBA enables online sellers to automate their order fulfilment and delivery processes. It’s a reasonably straightforward process where sellers sell their products online and Amazon fulfils their orders. An ecommerce company registered with Amazon FBA have an eminent advantage of getting all services like shipping, returns, refunds, warehousing facilities, picking and packaging managed by Amazon.
Amazon FBA is continuously evolving and adjusting to meet the demands of both its consumers and the vendors who use the platform. As long as you manage your sales and keep Amazon stocked with your products, you don’t need to worry about your day-to-day operations.
1. Hassle-free Fulfilment
Amazon FBA offers some significant advantages in terms of outsourcing the entire process of managing fulfilment, shipment, and customer service, which is a substantial and paramount part of an ecommerce business. When the business reaches a point where a large number of orders are received every day, the need for logistical advancements increases and this is where Amazon FBA helps in making the entire process hassle-free and cost-effective.
2. Low-cost shipping
The primary benefit of FBA is delivering products to customers at a lower cost. Amazon negotiates substantial shipping reductions with all of the major delivery carriers so that it can ship items at a lower cost. The fulfilment fees will reflect a portion of the discount, allowing businesses to generate more profit per purchase than if you shipped the products yourself. This helps the businesses as they do not need to spend money on shipping materials, while FBA helps in making the entire process hassle-free and cost-effective.
3. Efficient returns management
Amazon FBA manages complete returns as they are considered a part of the fulfilment process. By utilising Amazon FBA, the responsibility of unsatisfied customers is transferred to Amazon, and it becomes their responsibility to manage refunds, shipping labels, and logistics. This feature is highly tempting for ecommerce businesses as it helps in cost-effectively reducing their workload.
4. Managing customer service
Customer-service management is one of the greatest advantages of Amazon FBA. Customers can communicate directly with Amazon’s customer-service specialists and as Amazon provides exceptional customer service, online sellers prefer to delegate everyday client service to them. This not only saves time, but it also provides the customer with more options, as Amazon is accessible via email, chat, and telephone 24 hours a day, seven days a week, allowing your consumers to receive assistance whenever they require it.
5. Unlimited storage space
A crucial benefit of FBA is that you do not need to rent a warehouse or transform your basement into an Amazon storage facility. Amazon will make sure that it stores your products with security and guarantee. This service fits right in the cost-benefit analysis as the service is worth the investment.
An added benefit is that if your inventory is performing well and your products are flying off the shelves, you will have unlimited space at an Amazon warehouse. This can help you enhance your services and increase your output. And for slow-moving products, Amazon’s FBA inventory management system can assist you in tracking surplus inventory so that you can determine how long it has been sitting.
6. Faster delivery service
With hundreds of fulfilment locations and multiple warehouses across the globe, Amazon FBA offers to deliver an item quickly to any remote location. This is significantly faster than a company transporting a product using its own warehouse arrangement, in which case the orders would take far longer to get delivered and have a negative impact on the consumer satisfaction rate.
7. Omnichannel Order Fulfilment
The most popular feature of Amazon FBA is the ability to process orders via several sales channels. The name of this service is Multi-Channel Fulfilment (MCF). When you sell your products on various online marketplaces, Amazon automatically receives the order from the respective channel for fulfilment. Amazon FBA enables you to consolidate the fulfilment and shipping procedures across several sales channels and smoothen your order management.