Amazon FBA:
what is it
and how does it work?
Logistics on international scale and invaluable support for online selling – that’s how one can in short describe Amazon FBA, the selling platform of Amazon, a giant on the market of digital commerce. Owners of online stores use this form of trade for many reasons, and its benefits mostly result from Amazon’s access to the biggest international markets.
What is Amazon FBA?
Amazon FBA (Amazon Fulfillment By Amazon) is a service allowing for the sale of goods all around the world with Amazon’s logistical support. As part of this partnership, Amazon takes care of both the packaging and shipping of the parcels as well as their further handling. One of the benefits of this solution is the access to the world’s biggest markets, thus increasing sales and expanding to export. Sellers do not have to worry about managing their own storage facilities or the timeliness of deliveries. However, the main benefit is transferring the responsibility for the shipment and preparation of the product from the retailer onto the deliverer. Not only does this influence the operating of online stores but also matters related to finances. An online business wishing to use the opportunity of selling their goods internationally should be aware that this also changes the type of accounting.
How does Amazon FBA work?
Amazon FBA’s support in sales has a great influence on export. Thanks to a complex logistical network, the platform can provide its services to the eCommerce industry in a beneficial and easily introduced way. Amazon’s logistic centres bring the products into warehouses and then commence a procedure whose aim is to ship the products abroad. These services consist of, among others, the receiving, cataloguing, storing, completing, packaging and shipping of products. Amazon also takes over the customer service in a given country – any details of the parcel are also given in the language preferred by the customer.