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How to Set Up FBA (Fulfillment by Amazon)

Do you want to grow your business by selling more? Here is a better way to boost your sales: set up FBA.

What is Fulfillment by Amazon?

Free 2-day shipping is now the online shopper’s standard for all online purchases. This is one of the main reasons why people shop on Amazon. If you use Fulfillment by Amazon, you can also offer 2-day free shipping on the items you sell online – without all the hassle.

When you set up FBA, you simply ship your items to an Amazon warehouse and Amazon picks, packs and ships each item as they are sold. Plus, Amazon also provides customer service for these orders.

As simple as that, Amazon promises to “Help you build your business.”

For many, they set up FBA because it is a smart and cost-effective way to ship items. While you pay a fee for this service, you’re providing customers industry-leading logistics to ensure their package arrives on time with the guarantee of quality or their money back.

How to Set Up FBA for Beginners

Step 1: Create an Amazon Seller Account

Basically, before you can set up FBA, you need to create an Amazon Seller Account. Read the “Before Your Register” section on the webpage for information about the two types of Amazon Seller accounts, Professional and Individual.

The Professional account gives you an opportunity to sell an unlimited number of products with a monthly subscription fee of $39.99. This is the best choice if you plan to sell sell more than 40 items a month. The Individual account has no monthly subscription fee but a $0.99 fee per item sold. This is the best choice if you have fewer products.

Log in or create a new Amazon account, then:

  1. Provide your Business Name and Address
  2. Acknowledge the Seller Agreement
  3. Provide your Mobile or Telephone Number
  4. Provide your preferred Billing Method / Bank Deposit Information – a Chargeable Credit Card for Professional Account
  5. Provide your Tax Information for a Professional Account
  6. Chose a Display Name for your Business – the name buyers see next to the item you’re selling.
  7. Verify your Identity through a Phone Call or Text Message

Step 2: How to List Your Items on Amazon

Now that you have an account, you need to list the items you want to sell.

  1. To add your first product, you want to go to “Inventory” at the top of your screen and click “Add a Product”.
  2. Once you click “Add a Product”, you will be prompted to search for your product. You can search by barcode or product name.
  3. Once you select your product, you’ll be taken to a screen to enter important product information. There are three main things you must enter:

The price you want to sell your item for – what  you feel comfortable selling your item at, but consider the competition as

What condition your item is in – be as honest and descriptive as you can. All you are required to enter is a selection from the dropdown – “Acceptable”, “Good”, “New”, etc. – but a good description will help you sell more.

To set up FBA, make sure you select “I want Amazon to ship and provide customer service for my items if they sell.” This is essentially the “I want to use FBA option”. You’ll be redirected to a registration screen where you’ll need to accept Amazon’s terms of service.

Tip: You can also check out Amazon product listing optimization best practices and learn more about what an Amazon ASIN number is.

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Step 3: How to Convert Your Items to Fulfillment by Amazon Items

You may be asking, “Why do I need to convert my items to FBA items if I just selected them to be fulfilled by Amazon?” When you set up FBA, you are given the option to use Amazon FBA, but you aren’t forced to do so for every item you sell. You may want to ship them yourself. There are also some items that can’t be shipped through Amazon FBA. In this case, go into your account and manually select the allowed items that you want to fulfill through Amazon FBA.

  1. Go to the “Inventory” tab on your Seller Central account, click “Manage Inventory” and “Actions” to reveal the dropdown to select “Change to Fulfilled by Amazon”.During processing, your listings will be temporarily unavailable on until your inventory has been received at Amazon’s fulfillment centers.
  2. Once you change your inventory to Fulfilled by Amazon, you’ll be asked about two preferences:

FBA Label Service. You can have Amazon put a sticker label on your items instead of you doing it yourself. Amazon charges only 20 cents per item to have them label your items. However, you may still consider printing your own stickers or talking to your manufacturer about labeling your products if you want to keep better margins.

Stickerless, Commingled InventoryThis means that Amazon will not distinguish your inventory with other sellers’ inventory of the same type of units. If someone orders from you, Amazon might ship a matching unit that is actually from a different seller, but in a warehouse closer to the customer. This is done to provide faster shipping for better customer service.  (If you’re choosing commingled inventory, please be aware of the risks. If another seller sells counterfeit products, they could be shipped in lieu of your authentic products before Amazon notices, giving you a bad reputation.) In addition, note that this option will not work for private label products.

  1. Once you select your options, you’ll be prompted to either “Convert Only” or “Convert & Send Inventory”. Convert & Send Inventory if you are sending inventory for all your products. If not, select “Convert Only”.
  2. Your item should now appear in your “Amazon-Fulfilled Inventory” under “Manage FBA Inventory” in your main “Inventory” tab in Seller Central.

Step 4: How to Create an Amazon FBA Shipping Plan

When you “Convert & Send Inventory” or add another item, you will be prompted to create a shipping plan. Prepare your Ship from address – where your inventory is now – and note whether you are sending individual products or several items packed in boxes – “Case-packed products”.

  1. Use “Case-packed products” if you’re sending a box with all the same exact type of item in it; otherwise, use “Individual products”.
  2. Once you set up a shipping plan, you will be prompted to add the items that you want to send to Amazon warehouses.
  3. You can also add more items to the same shipment, selecting “Add to an existing shipping plan” rather than “Create a new shipping plan”.

Step 5: How to Ship Your Products to Amazon for FBA

So now that you have all your items in your shipping plan, it’s time to finally ship your items. Navigate to “Inventory” then “Manage FBA Shipments” and then click “Continue with shipping plan”.

  1. Enter the number of units you’re sending, then select whether you need Amazon to prep and/or label them.
  2. Arrange for an Amazon pick-up based on what you’re sending.
  3. After you approve your shipment, you can purchase shipping from Amazon. You should know how much your package weighs, though. You can either put it on a bathroom scale, or just estimate the weight based on the items inside the package. Amazon may give you trouble, however, if the weight is very different from your estimate.
  4. Print out your labels and stick them on your package and it’s ready to go!

Sell Your First Item with Easy FBA

As soon as Amazon receives your shipment – which you can track under the “Manage Inventory” tab – your items will be available for purchase. That is all there is to it. Don’t just sit and wait for payments to start coming in, though – you should make sure that you optimize your Amazon listings and consider running Sponsored Products campaigns so you can be easily found and grow faster. Now is actually the best time to get those listings in top condition, what with Prime Day just around the corner and Black Friday in Q4 not far behind.

Julia ValdezHow to Set Up FBA (Fulfillment by Amazon)
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