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Detailed Analysis of FBA Operation

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Detailed Analysis of FBA Operation

Date of issue:2019-01-22 Author:深圳老魏 Click:

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Some netizens left a message saying that they hope I can write an article about the operation of FBA. This article is dedicated to talk about FBA related matters.


FBA is the abbreviation of Fulfilment by Amazon, which is simply understood as Amazon Delivery Service. As for FBA, the first reaction of many new sellers is that the fee is too expensive, the cost is too high, the profit is gone, it is not cost-effective, and then the FBA is rejected directly from the bottom of their hearts. In fact, there is a serious misunderstanding about this idea. First, the total cost of FBA is that most products are shipped by FBA except a few products with low price and light weight. The cost of FBA is basically equal to or slightly higher than that of spontaneous delivery. Second, compared with the price of spontaneous delivery and FBA delivery, the price of Listing shipped by FBA is often higher than that of spontaneous delivery. In addition to offsetting the costs of FBA, there will be a lot of surplus in the higher part. So, overall, the profit rate of Listing delivered by FBA is higher than that of spontaneous delivery. Thirdly, the Listing of FBA can be delivered to customers in about 3-5 days after customers purchase, with fast arrival time and high customer satisfaction. Fourthly, according to Amazon's traffic distribution system, the profit rate of Listing delivered by FBA is higher than that of spontaneous delivery. According to the matching principle, the Listing exposure rate of FBA is about 40% higher than that of the spontaneous shipment. High exposure rate and high flow generally mean more orders.


After understanding the basic concepts of FBA, we have to ask ourselves the following question: Is FBA a separate matter from operation?


The answer is No.


FBA itself is a very core part of Amazon's store operations. Consideration of FBA-related matters should begin with selection.


According to FBA regulations, some products, such as inflammable and explosive products, are not accepted by FBA. So, at the beginning of selection, once you determine that all or part of your shop should be operated by FBA, you need to determine whether your selection meets the FBA warehousing principle.


In addition, FBA shipment may be more suitable for some heavier products, such as self-delivery in small packages, then items weighing more than 2kg will be more embarrassing, small packages are not optional, express freight is expensive, so many sellers may hear some irrationality, such as not to select items over 2kg, etc., but if you have good products, even if the items are heavier, pick them. There is no problem with FBA delivery. On the other hand, if you have heavier products and use FBA to deliver at the same time, maybe your advantages will be more prominent.


In addition to FBA considerations when selecting items, FBA-related considerations should also be taken into account when creating listing.


Usually, when we create a Listing, the default is to create a spontaneous shipment. After the creation, it is no problem to check the details of the Listing, and then it will be transformed into the way of FBA shipment. However, it should be noted that for spontaneously delivered products, you may be able to fill in the weight and size at will, but for products that want to use FBA delivery, it is better to fill in the weight and packaging size accurately when the product is released, because this will affect the cost of subsequent conversion into FBA delivery, the weight filling is too light, the volume filling is too small, FBA warehouse will naturally. Re-accounting when entering warehouse, but if you carelessly fill in the weight when you release the product, and the volume is large, FBA warehouse may not be able to make appropriate changes in accounting, so you may have to suffer dumb losses and bear the cost. Lao Wei himself had encountered two different listings created by the same product, which resulted in great differences in FBA fees due to weight filling errors.


When sellers begin to arrange FBA delivery, it should be noted that the default of FBA option settings is sub-warehouse delivery. In the case of sub-warehouse delivery, Amazon system will make three sub-warehousing modes for your goods, one warehouse, two warehouses and three warehouses, according to the actual situation of each FBA warehouse. Such sub-warehousing mode is very random for sellers, so it is small. For sellers, there will often be goods that are intended to be sent out by one ticket after warehousing, and the result will be three tickets, which will result in high freight. At this time, sellers themselves should consider that if the quantity of goods is not large, they can use the method of warehousing. Of course, the result of warehousing is that each item will have additional warehousing fees, and the specific rate sellers themselves can use the seller's center. Search or Help in the upper right corner of the background to search for FBA Fee.


In addition to warehousing and closing shipments, as long as FBA shipments are involved, two labels, product labels and container labels must be printed.


Product labels can be printed according to the required quantity in the process of generating FBA orders. They can also be checked out on the inventory management page and printed in the way of Print Labels in the menu bar above. In the labels printed through Amazon system, there will be product titles. The text of this part may or may not be included, including labels themselves, if you think the system comes out. It is inconvenient to print in this way, or you can use the label machine to regenerate a label directly with the corresponding label code of the product label. It should be noted that the label code of the combination of letters and numbers under the label matches the bar code above. What we read with the naked eye is the label code below. The machine recognizes the same inside by scanning the bar code symbols of the above line. Rong.


One of the most important things about product labels is that if you have


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