Is Amazon Seller Fulfilled Prime Right For You? – Part 1

Wednesday August 3, 2016 | Posted at 2:22 pm | By Dan Hawkins
August 3, 2016 @ 2:22 pm

In our most recent post on Amazon’s Prime and Seller Fulfilled Prime, we covered how the programme came about, what the benefits are of Seller Fulfilled Prime and how you can join the programme.  We’re assuming a bit of knowledge in this post, so if you’re not ready, just go back to our first one. 

Seller Fulfilled Prime is getting a lot of attention at the moment, and rightly so, but is it something you should throw everything at? Some of you may not be selling on Amazon at all, preferring your own website or perhaps other marketplaces. Some of you may experienced Amazon web sellers. Some of you could be tapping into the huge growth of the Amazon Prime customer base and fulfilling your orders via Amazon Fulfillment centres in the FBA programme. If you’re starting to evaluate whether you should get involved, this post will help you assess whether it’s for you. We’ll start with the more sophisticated Amazon sellers and our next post will cover those of you not selling on Amazon at all.

 

Amazon FBA Sellers

For those of you using Amazon FBA, Seller Fulfilled Prime allows you to expand your operations. If you’ve been overly reliant on FBA warehouse space, or your items are not moving as quickly as you’d like, and you’re being hit by the new harsher long term storage penalties, Seller Fulfilled Prime is definitely worth looking into.

You can use Seller Fulfilled Prime for larger or bulky items that don’t make economic sense through FBA. You can also sell items that are FBA-ineligible, like some hazardous materials. Consumer electronics products are great for Seller Fulfilled Prime. In short, it’s a great opportunity, if you have your own warehouse, for you to offer items from your own premises and still keep the crucial Prime badge.

 

Amazon Non-FBA Sellers
For non-FBA sellers, Seller Fulfilled Prime gives you access to the same set of benefits that FBA provides, but without the increased fees that using FBA entails, ie shipping and storage. For both types of sellers, Seller Fulfilled Prime gives you access to very favourable shipping rates via Amazon logistics.

Typical products that do well on FBA are the following: fast-moving items, items with high demand during peak periods like the final quarter of the year, items with a predictable demand (good reporting like Volo’s Vision module can help you figure this out), and products eligible to be sold across Europe (such as items without fiddly country-specific plugs).

Ideal products for Seller Fulfilled Prime, on the other hand, tend to be less commodity-based. They’re typically slower-moving items, items with variations, fragile, seasonal or high value items, items with unpredictable demand, and fast-fashion and personalised items. In other words, there’s probably something there for all sellers.

 

If you are a non- Amazon seller, read back later this week to see how Seller Fulfilled Prime can work for you…

 

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