Both Amazon FBA and FBM have their own advantages and disadvantages. In this blog post, we’ll guide you on how to strategically list your items using both fulfillment methods to enjoy the best of both worlds. Let’s dive in!
Can I Do Both FBA and FBM?
Yes, you can. Amazon allows you to list the same item for both FBA and FBM. Many sellers focus primarily on FBA, which is a smart choice for Amazon private label sellers and resellers. However, combining FBA and FBM can offer additional benefits.
FBM (Fulfilled By Merchant) requires the seller to ship orders themselves, akin to selling on your own website. The seller sets shipping rates and processing times and is responsible for ensuring orders reach customers within the promised timeframe.
Benefits of Listing on Amazon FBM and FBA
Managing Stock-Outs: Stock-outs can be problematic for private label sellers. Eva uses sales velocity, category analysis, and seasonal trends to prevent stock-outs or delay their occurrence. It identifies the optimal time to replenish items and notifies private label sellers promptly. However, unforeseen logistical or manufacturing challenges may arise, such as customs issues or missing manufacturing ingredients.
In such cases, maintaining an FBM listing can be valuable. While sales velocity with FBM might not match that of FBA, it helps stabilize keyword and BSR rankings, minimizing negative impacts. It also ensures customers still have the option to purchase the item, promoting customer satisfaction.
Reaching Non-Prime Consumers: Although Amazon Prime is popular, there are still non-Prime customers who may not benefit from its services. Offering an FBM option provides these customers with a potentially cheaper alternative. This can expedite purchasing decisions and appeal to a wider audience.
Additionally, FBM allows sellers full visibility of buyer information, which is not available with Amazon FBA.
Know Your Customer: For private label sellers, understanding your customers is key to developing customer-centric strategies. Using FBA as the primary fulfillment method is recommended, but gathering insights from your customers through FBM can be valuable. It enables surveys, comprehension of customer intent, and the offering of new products.