7 steps to use FBM/MFN
Step 1: Create an Amazon seller account
Once you create your seller account
and choose a selling plan
, you’ll have access to Seller Central, your go-to resource for selling on Amazon.com. Before you sign up, make sure you’re ready with the following:
- Business email address or Amazon customer account
- Chargeable credit card
- Government ID (identity verification protects sellers and customers)
- Tax information
- Phone number
- A bank account where Amazon can send you proceeds from sales
Step 2: List products for sale and create product pages
How you go about listing will depend on if you have existing listings, need to create new listings, and whether you want to create listings one by one or in bulk. Help shoppers find items by adding descriptive titles, clear images, and concise feature bullets on offers.
Save time with existing product pages.
If you’re selling items that already exist in Amazon stores, you do not need to create a new product page from scratch. You can simply:
Step 3: Manage your storage space, warehouse, or fulfillment center
The more efficiently you manage inventory, the more profitable your business can become. Try to have enough inventory to cover demand, but not so much you become overstocked.
Continuously manage inventory to get a return on your investment. It’s essential to have enough inventory to meet customer demand, especially during seasonal holidays
or peak sales events such as Cyber Monday or Prime Day
Step 4: Set up your shipping templates to match your logistic capabilities for both handling time and transit time
Through the Seller Central dashboard, you can assign shipping templates from the Manage Inventory dropdown menu. Create large batch shipping templates and assign them to specific offers that match your logistic capabilities for specific products.
Additionally, through the Seller Central dashboard, you can set your Default Handling Time and Order Handling Capacity to ensure that you are protected from a surge in orders.
Step 5: Coordinate picking, packing, and shipping for orders
Once a customer completes a transaction, order processing begins. If you want to handle fulfillment in-house, be sure you have the capacity to efficiently pick, pack, and ship orders to customers. You will also want to make sure that the carriers you will be using are part of our valid tracking rate network of carriers:
A critical part of order processing is choosing the right packaging. This could be:
- Paper or bubble mailers
- Packing material such as bubble wrap or air fillers
Be sure to follow all Amazon requirements for packing and preparation
to minimize costs and avoid damaging items in transit.
You can buy Shipping Services
If you don’t already have shipping logistics in place, you can take advantage of discounted rates with Amazon Buy Shipping Services. Through Amazon Buy Shipping Services you can buy labels, handle shipping, confirm orders, and track shipments. As long as you confirm shipment of your products on time, you will receive protections against Negative Customer Feedback, A-to-Z Guarantee claims, and Valid Tracking Rate
To access this service, click on the “Buy Shipping” button on your merchant fulfilled order.
Step 6: Handle customer service and returns in-house
Providing great customer service is essential for success on Amazon. Research shows that orders, where sellers respond to customers’ messages within 24 hours, receive half as much negative feedback as orders with response times over 24 hours. (source
Staying on top of customer service can help convert one-time buyers into loyal customers. Monitor customer service metrics in Seller Central to stay on top of customer feedback and responses.
Excellent customer service includes handling returns swiftly and efficiently.
Here are a few simple measures you can take to limit returns and exchanges:
- Provide accurate product listings.
- Include sizing guides.
- Allow customers to ask questions about products before purchasing.
- Use the “Request Review” button to encourage customer feedback.
Learn more about how to handle in-house returns on Amazon.
Shipping can make or break a sale.
Order shipping is among the top factors’ customers weigh when deciding whether to buy a product. A study on U.S. shoppers found:
- Free delivery is the most important factor for 83% of shoppers when ordering online. (source)
- More than half of shoppers (54%) have abandoned online shopping baskets because of delivery costs. (source)
You can learn more about your fulfillment options in this ecommerce fulfillment guide
Step 7: Consider FBM costs and fees
Costs vary based on many factors, including:
- Your selling plan. Learn about the differences between an Individual or Professional plan.
- Referral fees. For every item sold, sellers pay Amazon a percentage of the total price—including item price, shipping cost, and any gift-wrapping charges—or a minimum amount, whichever is greater.
- How you handle fulfillment.
The Amazon Partner Network offers software to improve your ecommerce logistics.
The Amazon Partner Network
offers Amazon-approved third-party software and services to help you automate, manage, and grow your business. Applications from third-party and Amazon software providers can help you automate pricing, manage inventory, conduct product research, improve customer response time, and more.