Right at the tips of our fingers, Amazon rolled out a service called FBA (Fulfillment by Amazon), which provides a one-stop shop for your e-commerce business. From posting to shipping to receiving payment, FBA has you covered. It’s high time to start your business venture as Amazon makes selling more convenient than it’s ever been before. FBA is Amazon’s new initiative helping out small businesses with the whole selling process with a platform that’s convenient and easy to use. Amazon’s FBA tools present a window of opportunity for small businesses to open new markets and establish themselves online.
Just to give you an idea, below are the steps involved in the Amazon FBA service:
Step 1: Products are shipped from your supplier’s factory to Amazon warehouses. A clear advantage to this scheme is the outsourcing of inventory warehousing to Amazon. E-Commerce business owners need not worry about how to store their products—Amazon will do it for them.
Step 2: Amazon’s e-commerce platform reaches millions of people. When people find and like your product on Amazon, they merely click the order button. Amazon’s internal system does the next step for you by alerting their warehouses.
Step 3: Amazon handles all logistic needs including customer service and shipping. Once an order is received, Amazon picks up the item and packages it for you using the standard Amazon packaging. After this, the item is shipped to the consumer and both you and the customer are able to track the shipment real-time. Amazon’s FBA shipment tends to be way cheaper compared to sending the products yourself. In addition, all products under FBA come with a Prime badge—meaning higher exposure, 2-3 days shipping, and higher conversion rates.
Outsourcing shipping and storage lift a heavy weight off the shoulders of business owners— especially those budding entrepreneurs. This guide is tailored to provide tips on how to fully take advantage of Amazon’s FBA offerings so that you may be able to run your business on autopilot.
- Efficient Packing Reduces Costs
Since Amazon takes charge of packing and shipping your goods, Amazon weighs and measures all goods that come to them. To optimize on their service and keep costs low, you must reduce FBA fees as much as possible by packing your products systematically. This means that, for example, soft products are packed tightly to reduce dimensions and in turn reduce charges.
- Utilize Amazon Seller Tools
To fully utilize and optimize the Amazon FBA experience, you must be familiar with all it offers. Amazon FBA has several tools dealing with customer service, shipping fees, and tax guides. Do your research and explore these tools to help you out.
- Optimize Exposure with Amazon’s Platform
The right marketing can take any product to the checkout cart. Amazon allows sellers to create sponsored product campaigns to engage more traffic and boost brand recognition and visibility. Use this tool to promote your products. This has been a proven method to increase sales by a mile.
- Realize the Importance of Reviews
Amazon has an algorithm to crunch data and measure seller performances and customer insights. Specifically, Amazon provides bestseller rankings based on overall performance. One of the factors in the best seller ranking system depends on outselling other sellers— meaning you have to keep sales high. Coupled with that, customer ratings and reviews also come into play when computing for your overall best seller rankings. Pay attention to your ratings and customer comments. Reply to both negative and positive feedback and provide solutions for bad customer reviews. Ensure the best experience for each and every customer, and this might just get you up on the best seller rankings.
- Use Amazon Product Research Tools
Product research is one of the most nitty-gritty, time-consuming tasks for Amazon FBA sellers. Sellers always need to find new products to sell—from wooden speakers to compartmentalized gym bags. Here are a few recommendations to make product research easier:
- Jungle Scout: Available as a chrome extension web app, its algorithm pinpoints the most profitable products and tracks competition.
- Unicorn Smasher: This product research tool provides real-time sales analysis, prices, rankings, ratings, reviews, and projected sales.
- Keyword Planner: This app allows sellers to target the right customer with particular keywords. It pairs search network campaigns with relevant products and target customers.
- Amazon Best Sellers: This tool is useful for getting an idea of which products sell on Amazon.
- Global Sources: This website provides a convenient way of sourcing products to sell on Amazon. It also includes online marketing tools and products.
Now that you have an idea of what Amazon FBA is and how to utilize FBA capabilities to the fullest extent, you can now wait for your products and the Amazon platform to make money for you while you sleep. With Amazon FBA, you can take advantage of meager shipping costs and the outsourcing of logistics, all while gaining better exposure on the platform. For more tips on managing an Amazon FBA business, check out journalreview.org best opportunities. Hope this guide will help you to take advantage of Amazon’s FBA amazing offerings.