Over the past few years, the gigantic eCommerce platform Amazon has done remarkably well to upgrade its market share in the emerging eCommerce industry. Because of its effective seller-centric programs, such as FBA (Fulfillment by Amazon) and SFP (Seller fulfilled prime), millions of sellers from different countries of the world joined this platform to reach out to a broader range of customers. In 2018, Amazon introduced FBA onsite, especially for its third-party sellers looking for a pocket-friendly way to use FBA logistics service without any storage fees.
The Ultimate Goal of this Amazon program is to consolidate shipping and delivery services for sellers while also convincing others to use this quintessential service of Amazon. As an Amazon seller, if you also find it challenging to pay the FBA fees, you can opt for FBA onsite. In this particular blog, you will get to know about FBA onsite along with its benefits. You will know how to take advantage of this service and make it a more profitable service for yourself. What are we waiting for? Let’s go in and find out the basics about FBA onsite that you must know are?
What is Amazon FBA Onsite?
FBA Onsite is a slightly more simplified and upgraded version of the Amazon SFP program. It is an attempt by Amazon to get aboard more sellers who prefer to pay a minimum fulfillment fee. FBA onsite was created for sellers who have previously ignored the Amazon FBA service because of the massive changes. As a seller, you must know that the FBA onsite program is a warehouse management solution that diminishes the storage fees, decreases overhead costs, and improves the delivery experience by resolving the shipping issues.
How to Attain the Amazon FBA Onsite Service?
The FBA onsite program is based on invite only. There are no such rules that you have to follow to take advantage of this service. If you have been selling your products on Amazon for a very long time and have a solid customer base, and there are no complaints regarding your orders, Amazon can probably send you an invite for FBA onsite service. For this compelling service, Amazon also considers those who have their own warehouse. Clearly, we can say that this beneficial program is not for newcomers but for the established brands and sellers.
This program is for multichannel sellers or brands selling their products on various eCommerce sites. The real target of this program is sellers who may be keeping a few of their inventories outside of Amazon due to cost and are only offering Amazon Prime customers part of their entire product portfolio. You can say that the overall drive is to get more products eligible for Prime. Although there are no such specific criteria for FBA Onsite, here we are mentioning some of the best practices that can help you in receiving an invitation for this individual program.
- Pack all your order units before the shipment date.
- On time shipment and the accuracy should not be less than 99%.
- There should not be more than 1% of the cancellation rate.
Accuracy in these three factors are really essential for attaining the FBA Onsite program.
How Does Amazon FBA Onsite Work?
In this individual program of Amazon FBA, Amazon tends to ship products to customers directly from a seller’s or brand’s warehouse. Once you enroll in this program, you can invite Amazon executives to determine your warehouse and ask them to set up an “Amazon node.” Amazon node basically refers to a specific warehouse area dedicated to FBA where Amazon executives can come and collect products and ship them to your customers.
In the FBA Onsite program, Amazon does not take care of your stocks, you need to manage to own your own. If you want to escape the situation of Oos (out-of-stock), you can get along with stock track reports software such as etraKY BS. To enroll in this program, you can choose the seller fulfilled program; it can become easier for you to store and ship the products on your own. FBA onsite program effectively helps you select an existing carrier that will deliver the product to the customer on time. This essential program can minimize the hassle of selecting a third-party delivery provider for your orders.
What is the Amazon SFP Program?
To better understand Amazon FBA, it is essential to know about Amazon’s SFP program. SFP refers to Seller Fulfilled Prime; it is one of Amazon’s tremendous order fulfillment programs to implement high-volume sellers to sell their products under the Prime label and ship orders within two days to its customers. This program was launched in 2015 to fasten the order fulfillment process. Now the question is how it is related to the FBA onsite program. Well, if you are already a member of the SFP program, it can increase your chances of getting an invite from Amazon for the FBA onsite program.
What are the Benefits of the FBA Onsite Program?
Here we are mentioning some of the compelling benefits of the Amazon FBA Onsite program that can help you to understand its importance in a better way.
- Amazon’s FBA Onsite program can save time and money by using FBA services just to pick up the orders and deliver them to your valuable customers.
- FBA Onsite minimizes the need to store your products at Amazon’s warehouses. It automatically cuts the shipment charges and fastens the delivery process.
- Getting enrolled in the FBA Onsite program minimizes the stress of product delivery. It will be Amazon’s responsibility to deliver your products in the minimum time.
- Amazon itself selects its logistic partner or third-party delivery services to deliver the product as soon as possible quickly.
- Reducing the need for warehouse storage automatically removes the storage charges.
- According to Amazon, it abolishes shipping costs by more than 65%.
- It gives you more control over your stocks and makes it easier to restock or remove any product from the stock.
- As an Amazon FBA Onsite seller, it allows you to access the other services of Amazon, such as PRIME, subscribe and save, etc.
Apart from all the benefits, it will be best if you consider that FBA Onsite is much faster, simpler, and cheaper than any other current program of Amazon.
Thus, if you are an experienced seller owning a warehouse and serving a massive number of customers, you can get an invite from Amazon for getting enrolled in their FBA Onsite program. In this way, Amazon has cleverly resolved its problem of warehouse overloading by empowering the sellers and brands to manage their stocks in a better way. Apart from that, it is quite a benefit for you as well because it saves your essential time and money and efficiently boosts your sales. As a seller or a brand, if you are struggling on delivery fronts, FBA onsite can resolve your problem.
However, getting an invite from Amazon for this program is not easy, and neither can you apply for it. All you can do is deliver a great shopping experience to your customers and expand your business to the next level. As we have mentioned in the above paragraphs, Amazon prefers to provide this service to those who have a great hold on this eCommerce business and are dealing on a larger scale. So, it should be your ultimate goal if you want to take advantage of the FBA onsite program. It will be best if you concentrate on making your business more powerful than ever. That is the only way that may lead you to attain this exceptional program of Amazon.