Let’s start from the beginning: what exactly is Amazon FBA?
Essentially, FBA here stands for “Fulfilment By Amazon.” This does exactly what it says on the tin: it means that Amazon will handle your fulfilment.
With FBA, you’ll be able to outsource all of the most complicated, costly, and error-prone aspects of your business, and instead just focus on choosing products and selling them.
That’s because Amazon will handle both storage and delivery, meaning that you just need to get the products shipped directly from the supplier/wholesaler to Amazon’s warehouses (called “fulfilment centers” which sounds like some kind of self-help cult hideout).
Your product will then be listed on Amazon, and will then be fulfilled via Amazon. That means in other words, that Amazon will list your product on its storefront, and every time someone puts in an order, it will send it out to the buyer. This way, you can potentially fulfil hundreds of thousands of orders without needing to see a single product!
Of course you will pay fees, and there are particular regulations you need to abide by. But for the small business owner or entrepreneur, this is a FAR preferable scenario than having to have large amounts of inventory delivered to their home. And it opens up nearly endless opportunities. Your buyers can even benefit from Prime delivery and get their products the very next day.
Amazon Prime alone has over 95 million members in the US alone, and that’s only 59% of the user base in that country! The site owns 49% of the eCommerce market in the US too.
By having your products listed on Amazon, they become significantly more likely to succeed – especially as customers have become so used to buying on the platform with a single click.
And with Amazon handling the delivery, you’ll have just a few fees to worry about and no logistics, tracking, or other stuff that can go wrong! Your customers will be getting a service that is comparable to the very biggest and best-known brands in the world.
As long as you choose the right products, invest wisely, and know how to write a great store listing… then you can’t fail.
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