Enrich Trading Group
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May 11, 2021 | Amazon, Marketplaces
What’s the difference between Amazon FBA and FBM?
Fulfilment by Amazon (FBA): A method of selling on Amazon in which a seller (or a seller’s supplier) sends their products directly to Amazon’s warehouses. Amazon then stores the inventory and ships it directly to the customer (often through their 2-day Prime shipping). They also manage customer support.
Fulfilment by Merchant (FBM): A method of selling on Amazon in which a seller lists their products on Amazon, but manages all storage, shipping, and customer support themselves (or through another third-party).
Which one should a seller use?
For both SMEs and Enterprise brands with elaborate supply chains, all sorts of Amazon sellers can benefit from both Amazon FBA and FBM fulfillment methods. But how do you choose what’s right for your business?
Consider your sales strategy:
There are six major factors you should consider before you select a fulfillment method on Amazon.
Here is a quick overview of which method you should use based on those factors.
You should consider or use FBM when:
You should consider or use FBA:
Can you use both FBA and FBM?
Yes, it is all about having a strategy that is based on product selection and sell through rates, Enrich Trading Group work with our clients and manage both.
If you have a large variety of products, you may consider using both to gain the benefits from the two.
For more information how this could work for you, or receiving an initial free audit contact us today
Hi! Let us know how we can help and we’ll respond shortly.