What is Amazon FBA?
FBA stands for Fulfillment By Amazon. Amazon FBA has become a sustainable business model adopted by many in the United States and around the world. Here is how it works - when you have a physical products you'd like to sell on Amazon, you sign up for an Amazon seller account and mark you'd like to sell with Amazon FBA. By using FBA, Amazon will ask you to send your physical products to multiple warehouses located in various regions of the host country. By sending your physical products to multiple locations in multiple regions, this allow Amazon to deliver your package within the 2-day delivery time frame offered with Amazon Prime. Considering millions of customers on Amazon are members of Amazon Prime, this is a huge selling point for Amazon and their customers. It's not uncommon for a customer to buy from another merchant on Amazon specificity because one merchant offers 2-day shipping and the other doesn't. Therefore, by using Amazon's FBA service, it allow you to quickly sell products around the host country. Using FBA, Amazon will store your products, packages your products, ship your product and even handle the customer service. Of course, the FBA service comes at a fee depending on many variables. This means the days of eCommerce business owners having to store products and boxes at home are over. Although Amazon does offer the ability for merchants to store products in their own home and do all the traditional ways of shipping and selling, this model is quickly becoming unpopular.