5 Simples Steps for Starting an Amazon FBA Business
FBA stands for Fulfillment by Amazon. It is a service via which Entrepreneurs selling on Amazon e-store outsource their order fulfillment to Amazon. Business owners ship their products to Amazon fulfillment centers. Whenever a customer purchases online, Amazon itself handles its pick, pack, and ship to the end customer.
FBA allows you to scale up your business by taking care of order fulfillment responsibility.
1 — How Amazon FBA Works
How Amazon FBA works is explained below in a nutshell.
Step 1 of 5: Setting up FBA
Create your Amazon selling account and log in to your Amazon Seller Central.
Step 2 of 5: Creating product listings
Add product listings to your Amazon account and specify Amazon FBA inventory.
Step 3 of 5: Preparing products
Prepare the products as per Amazon packing guidelines and shipping requirements.
Step 4 of 5: Shipping products to Amazon fulfillment centers
Develop product shipping plans, generate Amazon shipment details, and send shipments to Amazon fulfillment centers.
Step 5 of 5: Receiving products at fulfillment centers
Amazon receives products at its fulfillment centers. Now these products are available for customers to purchase.
2 — Amazon FBA Benefits/Advantages
Amazon FBA, compared to other online business models, is very effective and worthy. A few benefits that you can get via Amazon FBA are written below.
Benefit 1 of 4: Free shipment to Amazon Prime members
Once you list products for FBA, they become eligible for free shipping too. Amazon customers can get 2-day free shipping on qualified FBA listings.
Benefit 2 of 4: Amazon customer care service & return policy
Amazon takes care of customer care service & customer returns, which lowers a major workload for Amazon sellers and allows them to expand their business further.
Benefit 3 of 4: Cost effective
Amazon only charges fulfillment center fees and order fees it fulfills, including the shipping cost in the Amazon fees structure. Also, free shipping on selective eligible orders & 2-day free shipping for Amazon Prime users also comes under the Amazon fee.
Benefit 4 of 4: Larger inventory storage space
Amazon FBA allows storage of large inventories in its warehouses with the fast movement of the products to the customers across all my marketplaces.
3 — Maximizing Sales
Increasing your sales trend isn’t rocket science. Some key tips & tricks are listed below that can help you maximize your sales.
Tip 1 of 5: Product research
Use online analytical tools like Helium 10 to do product research and find out the best-selling category to sell your product in.
Tip 2 of 5: Product selection
Be smart in product selection, check the sales rank of the products, and select high sales rank products.
Tip 3 of 5: Build your brand
Make your product a brand by selling a high-quality product to your Amazon customers. Get good feedback & reviews from your customers to increase your sales.
Tip 4 of 5: Use SEO in your product listings
Maximize your sales by using SEO on your Amazon FBA product listings.
Tip 5 of 5: Use good product photos
Use good and high-end quality photos on your product listings. If your pictures are better, the customer will get attracted to your listing.
Market your product as effectively as you can to increase your sales opportunities. Become a brand, so people choose you over other sellers. Spend time with people who already have been selling on Amazon and learn from them because you can’t run the marathon having an empty stomach. It will surely boost your growth in this industry faster while you bear its fruit.
Learn more about Amazon FBA by checking out this article. If you want to know about other Amazon business models, check out my latest article.
Follow me on Medium for more such wonderful blogs.
Thank You!
