Fulfilment by Amazon
Wil je jouw producten verkopen via Amazon? Wil je ook gebruik maken van de mogelijkheden die Amazon biedt voor opslag, verpakking en verzending en een klantenservice voor bestellingen van jouw klanten op Amazon? Dat kan allemaal met de volgende dienst van Amazon: Fulfilment by Amazon (FBA).
What is FBA?
What is Fulfilment by Amazon (FBA)? Fulfilment means that another party, in this case, Amazon takes over the logistics process of your Amazon orders from your company. You can choose to have your products stored in Amazon’s warehouse. In addition to storage, Amazon then also takes care of sorting, packing and shipping your Amazon orders.
Above all, you save a lot of time and effort, and you can use these time savings for other important tasks to market your company effectively. Furthermore, thanks to Amazon’s enormous logistical efficiency, it is often even more economical. Our team at MPExpert would be happy to discuss these marketing strategies with you.
Fulfilment by Amazon (FBA) offers the following advantages:
- No storage space required
- Stock management
- Order processing
- Fast delivery times
- Customer service for your Amazon customers
- International sales and shipping
- Standardised shipping
- Low-cost shipping throughout Europe
- Free delivery for Amazon Prime members
Other additional advantages of Fulfilment by Amazon (FBA) are mainly related to sales and marketing:
- Easier to sell via different channels (Multi-Channel Fulfilment)
- Quality guarantee through the use of the Amazon Name
- Better findability of your products on Amazon
When you use FBA, Amazon ensures that your products are found more easily in their online webshop than related products from companies that handle the logistics process themselves. However, this priority position for companies that choose Fulfilment by Amazon (FBA) only applies to Amazon. It does not affect the findability of your product range within other channels, at the Bol.com Marketplace for example.
Types of Fulfilment by Amazon (FBA)
FBA offers various types, and we are happy to advise you on which option suits your company best.
- European Fulfilment Network – EFN
- Multi-Country Inventory (MCI)
- PAN-European FBA
European Fulfilment Network (EFN)
For small companies, startups and new sellers to the market, the European Shipping Network (EFN) is the best form of Fulfilment by Amazon (FBA). You choose a country for the sale of your products, and your products are stored in a warehouse in that country. This means that as a company, you must have a VAT number in the country where your products are located. Because, according to the legislation, you must have a VAT number in the country where your goods are in stock. In short, within the option of the European Shipping Network (EFN), Amazon regulates everything from storage up to and including shipment and the possible returns of products. They also offer customer service for orders from your Amazon customers.
Amazon Multi-Country Inventory (MCI)
For growing companies that sell products in different countries, Multi-Country Inventory (MCI) is a suitable form of fulfilment by Amazon (FBA). Your products will then be in stock in the countries you choose. These can be the countries where it is clear that your products are selling well. Because your products are in stock in those countries, Amazon can deliver your products faster and at lower shipping costs. Amazon also arranges all logistics operations within this form of fulfilment. You do need a VAT number for each country where your products are in stock to be able to use Multi-Country Inventory (MCI).
Amazon PAN-European FBA
The PAN-European form of fulfilment is suitable for large companies that sell products throughout Europe. You send your products to one Amazon warehouse. Your products will then initially be stored in a central Amazon warehouse. They then distribute your products efficiently across their warehouses in various countries. Your sales figures determine where the products should go. Your products end up in various warehouses throughout Europe with the advantage that there are fast delivery times with low shipping costs. Here too it is important you arrange the VAT return properly with the various countries, and you need a VAT number for each country where your products are in stock.
Multi-Channel Fulfilment (MCF)
You can also use Fulfilment by Amazon (FBA) for orders outside Amazon. For example, have you received a German order through your online webshop or another marketplace, but your own shipping costs are much higher than Amazon’s Multi-Channel Fulfilment (MCF) rate? Then you can also have Amazon ship these orders on your behalf.
You can use the Multi-Channel Fulfilment (MCF) service to sell your products more efficiently through different channels. You sell your products via your own online shop, Amazon, and other e-commerce platforms, and Amazon then takes care of the rest. Amazon charges a single rate for sorting, packing and delivering your products. This ensures that all your orders are delivered fast and at a low cost.
Costs Amazon FBA
Amazon charges the fee related to the type of fulfilment your company chooses for storing, sorting, packing and shipping customer service orders for Amazon customers. The cost also depends on several other factors, such as the country it is shipped from and the destination. Would you like to know more about these costs? Download the price list via the link below.
Are you interested in finding out more about the possibilities for your organisation?
We would love to exchange ideas with you, and as MP-experts, we know what is possible and sometimes impossible when it comes to e-commerce platforms. We are available all day on various online marketplaces, and we are happy to offer you tailored advice for your company.