Amazon FBA - The definitive guide 2020

posted on 20, 04, 07, Tue 01:07

You probably have seen “Amazon FBA’ mentioned on virtually every Amazon-related article. This is because it is one of the best ways to earn online income in 2020. And it is our intention to show you how it all works by demystifying the entire process.

Let’s jump right in, shall we?

amazon fba seller

What is Amazon FBA?

FBA means fulfillment by Amazon. When you vend an item, Amazon packages it & ships it, easy-peasy! After registering an Amazon seller profile, the retailer informs Amazon of the items they wish to sell. Amazon designated the storehouse to forward your stock for shipment. Simply obtain your UPS packing document from seller central & do a drop-off via FedEx or UPS.

How Amazon FBA works?

  1. Forward the items to Amazon
  2. They stock it in their depositories 
  3. Once a customer places an order, Amazon sorts, packs, dispatches & monitors the order on your behalf. They handle customer support too
  4. You get remunerated
  5. It’s important to expect some types of FBA fees such as referral fees, Amazon fulfillment fees, monthly FBA on Amazon fee, Amazon FBA storing fee.

Who uses Amazon FBA?

Amazon FBA plays out remarkably for businesspeople who lack storeroom for the storage of their items, & who don’t have the time to answer to shopper queries. Merchants usually find it resourceful to utilize the FBA scheme. The platform allows the retailer to fixate their mind to other business-enhancement activities.

Essentially, Amazon FBA is for:

Brick-and-mortar stores

These are physical stores that already have offline popularity with their merchandise but need a breakthrough into ecommerce. FBA guarantees rapid success & credibility to your item as you don’t need to abandon from your present endeavors, look for space for items & track shipments day by day.

Ecommerce shops

FBA is the solution that assures the on-boarding of new clients that’ll acquaint themselves with your brand label. This is an astute promotional mechanism.


In a fast-paced digital-run world, it can be difficult to keep abreast with the times but with FBA, you’ll be informed about changes in routine practices.

How to find products to sell on Amazon FBA?


This is a free appendage that monitors the pricing of specific merchandise on Amazon. Vendors can utilize CamelCamelCamel to analyze price timelines & feedback entries on items they are hoping to include in their portfolio.

Jungle Scout

JS is a world-renowned product-sourcing assistant that you can integrate easily to your Amazon business. Whenever you need principal Amazon-specific key-words, put your faith in JS. Jungle Scout authenticates your item demand & displays the item search volume, letting you know whether it’s a low- or high-difficulty niche.


Sellics is an all-inclusive dashboard for the aggressive Amazon vendor. It provides entry to the best 5000 items with high sales on

Benefits of Using Amazon FBA

Efficient set up – you get to start vending your merch in a jiffy.

Enjoy two-day shipment – vendor gets the two-day shipment perk with the highly coveted Amazon Prime tag on the item. Naturally, people go for rapid-fire services, & this move accords your item more visibility.

Brand expansion – one doesn’t need to bother about the tediousness of consolidating logistics. This avails you time to fine tune your strategies for empire building.

High rankness – prime listings come first in ranking. Paying FBA fees guarantees that your item appears higher than those devoid of the Prime insignia. Your brand will be procured more often, meaning more cash over your adversaries.

Disadvantages of using Amazon FBA

FBA costs money – this is a big conundrum especially if profit margins are low after deducting fulfillment charges

Long-term stock-keeping fees – if your product is under-performing, you will stay pay. This is bad for business.

You may get hit with returns – returns are one of the dreaded aspects of Amazon retailers. No matter how good you item is, it will get hit by returns by disgruntled customers or total bad guys who just want to test a product only to send it back.

Final notes

Amazon FBA allows venture builders on Amazon to get their ware in front of shopper lightning fast. It allows the retailer to take advantage of first-rate customer service and storeroom excellence. In addition, customers are prone to trusting merches that are supported & branded by Amazon. Hence, it’s a great way to gain label recognition & expedite sales.

Meta description: Amazon is one of the best ways to earn online income in 2020. This article reveals how it all works by demystifying the entire process of making money from the comfort of your home while Amazon does all the dirty work.

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