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A Guide to Amazon FBA and FBM

A Guide to Amazon FBA and FBM

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FBA: What is it?

Amazon logistics(FBA) stands for “Fulfillment by Amazon.” This means that sellers send goods to the Amazon fulfillment center in groups, and Amazon helps the sellers store them. When the goods are sold, Amazon sorts the orders, packages them, ships them, and delivers them. Customer services like buyer consultation and returns help sellers save a lot of time, money, and materials.

Amazon FBA

Amazon FBA Fees

Storage Fees

“Average daily volume” (in cubic feet) is used to calculate storage fees. Fees for storing inventory are usually charged every month. Items that are kept in Amazon fulfillment centers for more than 365 days have to pay extra fees. Overage fees are imposed for inventory that needs more room.

Fulfillment Fees

FBA charges fulfillment fees per item, based on its size and weight. First, you have to figure out the size segment (standard size or large, etc.).

Other FBA fees

In addition to the basic fees, there may be fees for some other things that you do when you use FBA. There are usually three kinds of extra fees: removal order fees, return processing fees, and fees for services that were not planned.

Amazon

What are FBM and MFN?

Fulfillment by sellers, also known as FBM or MFN (which stands for Fulfillment by Merchants or Merchant Fulfillment Network), is when the seller ships the orders they sell on Amazon themselves. The seller is responsible for a number of tasks, such as managing inventory, packaging, shipping, customer service, etc.

FBM/MFN: Common ways to ship

There are four common ways for FBM/MFN sellers to send packages: postal parcels, international express delivery, internationality special line (dedicated line logistics), and Overseas warehouse delivery.

Postal Parcel

A postal parcel is an item that is properly wrapped and can be sent through the mail. It is a type of mail. Post offices are all over the place, and postal parcels use self-managed postal routes as well as railways, roads, waterways, air travel, and other means of transportation to get to their destinations. This means that they can meet the needs of the public to deliver things, especially small and random things. An air parcel is a package that needs to be sent by airplane for all or part of its international postal journey. Express parcels are small, light packages that don’t weigh more than a certain amount and are sent with a letter as a priority. They are delivered in the same way as letters and don’t weigh more than a certain amount.

International Express

International Express is the business of sending packages and moving goods between two or more countries (or regions). Most of the time, once the express arrives in the country of destination, it needs to be shipped again in the country of destination before it can be delivered to the buyer. Logistics carriers like DHL, UPS, FedEx, etc. are often used.

International Special Lines

The logistics line channel to a certain country is called a “international line.” International special lines often use the sea, the air, and the rails to get from one place to another. We usually mean the international special line when we talk about the British special line, the American special line, the German special line, etc.

Overseas Warehouse Delivery

Overseas warehouse delivery means sending goods in batches from a warehouse in one country to a warehouse in another country. Once the buyer places an order, the goods will be sent directly from the overseas warehouse.

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