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Did You Choose The Right Way To Ship From Amazon?
Kinghood International Logistics Inc | Updated: Nov 21, 2018

For the vast majority of amazon sellers, either FBA deliveries or FBM spontaneous deliveries.And amazon, by tilting traffic, makes sellers more inclined to choose FBA services.However, the logistics cost has always been a problem for sellers to do cross-border e-commerce, and the introduction of the new FBA warehousing regulation in 2018 has made the sellers even more bitter.In order to save the cost of logistics, the editor believes that sellers need to understand the logistics mode.

One, the FBM

FBM, Fulfilment by Merchant, is delivered by the seller. Amazon only serves as the sales platform, and the seller needs to use third-party express service, such as postal parcel, international express and special line, to send to the buyer.

FBM has many advantages, such as:

1. It can ensure that all the goods shipped are completely safe, and all the product accessories and gifts can be checked or added temporarily.

2. The delivery method is flexible and changeable, which can be delivered by postal parcel, international special line, international express and overseas storage delivery mode.

3. For small sellers, they are afraid to prepare too many goods at the early stage, and FBM delivery is a better choice.

4. Many goods, such as bulk and heavy goods, will be very uneconomical to ship with FBA.FBM shipping is a good option

So how can spontaneous sellers reduce costs?Recommend sellers to join amazon's SFP program, and goods can also have the Prime logo.Have the same delivery service as FBA delivery.After joining the SFP program, sellers can use amazon's logistics to make the final delivery.Amazon will give the seller a logistics bill, which is equivalent to using FBA to deliver goods, but the delivery cost will be much lower than FBA.

Sellers can send their goods to overseas warehouses in advance for storage, which will also be much cheaper than FBA warehouses.When the order is made, the working soft agent of the overseas warehouse can pack and ship the goods.

Second, the FBA

FBA(Fulfillment by Amazon) means that the seller sends the inventory of products sold on Amazon directly to the warehouse of Amazon's local market. When the customer orders, the Amazon system will automatically complete the subsequent delivery.FBA has its unique advantages:

1. Customers receive goods quickly, and the alternative way of receiving goods is flexible and changeable.

2. The buyer's feedback dissatisfaction caused by the logistics problem will be solved by amazon, and the account security is high.

3. Consumers' willingness to buy FBA products will be higher than other ways of receiving goods.

4. Amazon will have special care for sellers who use FBA.(e.g., help get shopping cart, improve Listing ranking, etc.)

However, in general, the FBA will be very expensive.Moreover, buyers can return goods without reason for 7 days, and they will not have any communication with the seller during this period.And amazon rules, the same label bar code after the withdrawal of warehouses, six months can not be returned.Once the return of goods to replace the phenomenon, the goods can only be destroyed on the spot.

So how can FBA sellers cut costs?

It is recommended that sellers use FBA to cooperate with overseas warehouse. Sellers can ship goods to overseas warehouse in batches by sea. When it is necessary to replenish goods, they can directly ship goods from overseas warehouse to FBA warehouse.Maximum range of savings in overhead costs.At the same time, goods are stored in overseas warehouses, and the storage fee will be much cheaper than the FBA warehouse.

When there is a problem of returning or changing goods, the goods can be returned to the overseas warehouse, and the labels can be changed in the overseas warehouse and returned to the store for sale.The most effective solution to the problem of returns.

Either way, sellers need to weigh the advantages and disadvantages according to their actual situation. High cost performance is the basic way to choose delivery.

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