What Is FBA Prep?
FBA is more than just allow sellers to place their items in a box. Your inventory must adhere to certain rules in order to be accepted by the Fulfillment Center. Some of these rules apply to all inventory while others are specific to categories. FBA preparation refers to the process of preparing your inventory to be placed on Amazon. It is mainly focused on packaging and labeling items, however, certain sellers, particularly those who import items, also include an inspection of their inventory. It is crucial to get it right before you submit your FBA. Amazon won't accept stock that you do not prepare properly and you'll be charged to return it. It's worse: if your inventory arrives damaged at Amazon the buyer will complain and would like to return the item. If these complaints start to pile up the impact will be on your metrics and see your listing suppressed, or even having your account suspended.
Why Outsource FBA Prep?
FBA prep can be done by either you, Amazon, or a third-party. FBA preparation is specialized, full of intricate rules and easy to get wrong. By outsourcing the process in the sense that you're handing it over to the experts. The FBA preparation service must be aware of the process and ensure that any stock you send into FBA complies with Amazon's rules and reduces the chance of your inventory being rejected. This is particularly important when it's your first time submitting inventory to FBA. This is because you don't really understand how complicated it is until you test it and make a few mistakes. Amazon's strict rules can result in FBA inventory preparation can consume a lot of time. When you're not searching for new products, you might discover yourself examining inventory and preparing boxes.
Price
When choosing FBA preparation services, the most important consideration for sellers is price. Although price shouldn't be the main consideration but it's normal to seek out the most affordable price. If your expenses start high, it does not mean they need to remain high. The first thing to ask is whether your prep services are charged per item or per month. A monthly charge is best for big volume sellers. Per-item charges are better for low volume sellers who might only be shipping in small quantities. It is also important to be aware of the costs associated with the process of packaging, since some prep services charge additional fees for packaging, such as bubble wrap and poly bags. It can also be useful to find out the storage costs and whether there is an amount of units you must send into the center for preparation at one moment. The most important thing to consider when choosing the FBA prep service is cost. The price of FBA prep services should not be a deciding factor. But, the same goes for budget-friendly ones. It is important for your preparation costs to be reasonable. Even if your initial costs are high doesn't mean that they must remain high. You can reduce your costs by becoming more comfortable with the preparation process. For instance you can split certain tasks between your manufacturing facility and the prep company. Check out the most popular Door to Door Delivery blog for details.
Location
Strategic thinking is key in deciding where to put your preparation center. If your company is predominantly private label, it's probable that you'll ship massive quantities of stock from China. It is important to know the ports that your goods arrive at and finding a nearby prep center is a good idea. Danny McMillan says that it is possible to utilize prep centers near the ports you ship to. This can not only save time and costs on trucking but also helps your business operate efficiently. If something goes wrong, your prep center could be able to send a person to the port to repair it. This wouldn't be feasible if there was greater than 300 miles between your preparation facility and the port. Preparing a center close to your home is another option for sellers of retail arbitrage. This allows them to pick up the inventory from their homes or pay very little freight costs. It is crucial to select the right prep center close to an Amazon Fulfillment Center. The Amazon warehouse where you ship to could be different each time. Remember, this is even the case if you sign up for Amazon's Inventory Placement Service. With this program, you send all of your inventory of a particular product to the same Fulfillment Center, but Amazon can, and will, move the place of shipment to the shipment.