Amazon FBA
What is FBA?
FBA, or Fulfillment by Amazon, is a service that allows Amazon sellers to store their products in Amazon’s warehouses. Amazon then handles the shipping, customer service, and returns for these products. This service offers benefits such as next-day delivery, seven days a week in the UK, and the coveted Prime badge for your products.
How Does It Work?
Create a Shipment
Use your Seller Central account to create a shipment of the products you want to send to Amazon.
Send Your Products
You can use your own courier to send the products to Amazon's warehouse or opt for Amazon’s partnered carrier to collect your parcels.
How Much Does It Cost?
While FBA fees might seem more expensive than self-fulfillment, they can be cost-effective at higher sales volumes. To see detailed FBA costs, you can refer to Amazon’s FBA cost section.
Requirements for FBA
- Inventory Management:
- Ensure you maintain optimal inventory levels. Overstocking or understocking can affect your IPI (Inventory Performance Index) score.
Understanding “Sold and Fulfilled by Amazon”
- Products listed as “sold by Amazon and fulfilled by Amazon” are not FBA products but are sold directly by Amazon from its vendors. This is a different program from FBA.
Amazon FBA UK Fees
Category | Fee Range | Max Dimensions | Max Weight |
Standard Envelope | £1.56 – £1.77 | < 33cm x 23cm x 2.5cm | 460g |
Standard Parcel | £2.19 – £6.30 | < 45cm x 34cm x 26cm | 11.9kg |
Small Oversize | £4.16 – £5.16 | < 61cm x 46cm x 46cm | 1.7kg |
Standard Oversize | £5.07 – £8.30 | < 120cm x 60cm x 60cm | 29.7kg |
Large Oversize | £8.43 – £12.43 | > 120cm x 50cm x 60cm | 31.5kg |
This table summarizes the FBA fees for various packaging categories, along with their maximum dimensions and weights.
Inventory Storage Fees and Damages
Amazon calculates storage fees based on the IPI score. A lower IPI score can lead to higher storage fees and limited storage capacity. During peak times, like Christmas, low scores can prevent you from stocking your items.
For damages, Amazon often allows customers to keep damaged items and refunds them, so factor this into your budget
Making FBA Cost-Effective
Although FBA fees might seem high, they can be cost-effective with higher sales volumes. For example, sending 20 products to Amazon in one shipment can reduce postage costs per unit significantly compared to sending each item individually.
Shipping to Amazon
You can choose Amazon’s courier program, currently UPS, or use other valid couriers like DPD, FedEx, Parcelforce, and Royal Mail. Ensure your courier can regularly ship to Amazon’s centers. If sending pallets, they must be booked in with Amazon prior to shipping.
Dealing with Suppressed Listings
For suppressed listings, refer to our detailed guide on handling suppressed listings.
Does Amazon FBA Increase Sales?
Using FBA gives your products the Prime badge, offering 7 days a week next-day delivery for Prime members, which can significantly improve search capabilities and conversion rates.
How We Can Help
With years of experience in Amazon FBA, we offer services from prep to packaging, selling to optimizing inventory scores and performance.