Fulfilment by Merchant (FBM) is Amazon’s logistics system where the seller manages the storage, packaging and shipping of their products themselves.
Unlike Fulfilment by Amazon (FBA), where Amazon handles these aspects, FBM offers more control and flexibility. Sellers can thus optimize their costs by avoiding the fees associated with FBA, while maintaining control of their logistics.
This autonomy requires rigorous organization: responsiveness and the quality of customer service remain key criteria for success on Amazon.
What are the benefits of Fulfilment by Merchant (FBM)?
Fulfilment by Merchant ( FBM ) has several advantages for those who choose to manage logistics on Amazon themselves.
It offers full control over inventory and order fulfillment, allowing you to tailor processes to specific product needs, such as adding custom packaging or a handwritten note. This autonomy gives you more flexibility, you can adjust your shipping methods without the constraints of Amazon.
In terms of costs, FBM can be more economical than Fulfilment by Amazon (FBA), especially for businesses with low order volumes or those with their own warehouse. Avoiding long-term storage fees and inventory removal costs can significantly improve margins.
Another advantage is that direct contact with customers facilitates loyalty and continuous improvement of services, as it allows for a better understanding of their needs. This approach requires a solid organization and impeccable customer service to get the most out of it.
How to prepare to use FBM on Amazon?
Preparing to use Fulfilment by Merchant ( FBM ) on Amazon requires a good strategy. Start by checking Amazon’s packaging and logistics requirements. Make sure your products are ready to ship, with secure packaging and labeling properly.
Next, register on Amazon Seller Central by providing all the required information, such as your business details and tax ID number. Once your account is activated, set up your shipping and return policies. In particular, define your transit times and return conditions.
To make your daily life easier, the Amazon Seller App allows you to automate order management, track inventory, and manage customer service. This automation naturally frees up your time to focus on what really makes a difference: your listings.
Create clear and attractive product listings. Make sure your listings are complete, with accurate descriptions, quality images, and competitive prices. With this solid preparation, you’ll be putting all the odds on your side to succeed on Amazon and satisfy your customers.
What are the differences between FBM and FBA?
With Fulfilment by Merchant (FBM), sellers keep the reins of their logistics. They can thus customize their management as they wish.
Fulfilment by Amazon (FBA), on the other hand, works differently, with Amazon taking care of shipping and customer service. The downside? Higher fees and less control over your inventory.
The choice is simple: keep full control of your logistics with FBM, or rely on the simplicity of FBA by entrusting everything to Amazon.
How to optimize inventory management with FBM?
Optimizing inventory management with Fulfilment by Merchant (FBM) requires a well-thought-out approach. The key is to anticipate and adapt to demand to avoid stockouts. Adopt inventory management software to optimize your business. These tools allow real-time monitoring, thus ensuring optimal responsiveness.
Plan for safety stock levels. This helps cover unexpected fluctuations in demand and replenishment times. Regularly analyzing sales trends and seasonal cycles helps proactively adjust inventory levels.
Rely on a rigorous logistics organization and reliable partners to maintain high standards of customer service. Commitment to quality customer service and compliance with Amazon standards are essential to stand out in a competitive environment.
What tools can help manage Fulfilment by Merchant?
To effectively manage Fulfilment by Merchant, several tools are essential. Start with inventory management software. Among the available solutions, we find TradeGecko or Zoho Inventory.
Now let’s move on to optimizing your supply chain. Integrating with platforms like ShipStation makes shipping management easier. This type of tool centralizes shipping information, automates label printing, and tracks deliveries.
To automate these processes, solutions like Zapier allow you to connect your apps and create custom workflows.
Customer relations also deserve special attention: a CRM like HubSpot or Salesforce helps manage customer relationships, by centralizing information and tracking interactions. The intelligent integration of these tools transforms the management of Fulfilment by Merchant into a fluid and controlled process.
