HOW TO SHIP TO AMAZON: Amazing Shipping Options.

HOW TO SHIP TO AMAZON
SellOnAmazon

Streamlining the shipping process is crucial for e-commerce businesses, especially for merchants on Amazon. To efficiently fulfill customer orders, you should be informed on how to ship to Amazon as well as the available Amazon seller shipping options for quick customer fulfillment.

Selecting the right shipping method improves inventory management and customer satisfaction, reduces costs, simplifies inventory, and increases customers’ reliability on your product deliveries.

Furthermore, Amazon offers various shipping options for sellers, depending on their business program. To increase sales, sellers should familiarize themselves with Amazon’s business dimensions and learn about all available options for streamlined customer order fulfillment.

Choosing the best shipping option saves money and increases profit, though it might be a bit challenging. That is why you need to do your research and choose the least expensive plan for your business. That’s the essence of this write-up: to provide you with a list of Amazon shipping options and save you the time and stress of further research.

In this article, we will explore various shipping options available on Amazon and their benefits to sellers. But first, let’s explore a summary of Amazon.

What is Amazon?

Amazon is the largest online retailer and cloud service provider. Amazon, initially an online bookselling company, now offers e-commerce, cloud computing, streaming, and AI services.

Presently, Amazon offers a vast product range and inventory through its Amazon-to-buyer sales approach, which includes clothing, beauty supplies, gourmet food, jewelry, books, movies, electronics, pet supplies, furniture, toys, garden supplies, and household goods. Headquartered in Seattle, Amazon operates worldwide, with individual websites, software development, customer service, data centers, and fulfillment centers. 

Amazon Web Services (AWS) was launched in 2006, providing online services for websites and client-side applications. The company’s backbones include the Elastic Compute Cloud and Simple Storage Service. Amazon also launched Unbox, a cloud computing and video-on-demand service. Amazon’s Kindle e-reader revolutionized book buying and reading with its launch in 2007, enabling users to browse, buy, and read e-books.

In addition, Amazon offers multiple shipping options for sellers, empowering them to manage their sale cycle and inventory and retain their customers, thereby empowering sellers.

What is Amazon’s “Buy Box”?

The Amazon Buy Box is a part of the Amazon product detail page that allows customers to add products, make instant purchases, and add items to a cart with a visible “Buy Now button. This Buy box enables instant purchases from the product detail page.

Read Also: A Comprehensive Guide to Amazon Ad Types and Why You Need Them 

Here is a list of Amazon shipping options for you to consider for your e-commerce business.

Amazon Offers Various Shipping Options

Amazon’s one-stop solution for shopping requires offering diverse shipping options and product types. To remain competitive and attract customers, sellers must understand how to offer the desired options, which can be complex due to the numerous options available. 

Here is a rundown of Amazon’s shipping options for effective product delivery that sellers can leverage:

#1. Fulfilled by Amazon (FBA):

FBA is a popular Amazon shipping method with Prime shipping advantages, allowing sellers to outsource inventory, storage, packing, shipping, order returns, and customer queries. This makes it an ideal choice for sellers looking to streamline their fulfillment process.

As a seller, you can enroll inventory in FBA to store products in Amazon fulfillment centers, enabling efficient order fulfillment and customer service. That is to say, Amazon handles FBA orders, including packaging, shipping, and customer service.

Advantages of FBA:

  • The seller’s product is eligible for Amazon Prime with fulfilled Amazon shipping. It offers two days of free shipping to prime customers, thereby increasing sales and product exposure.
  • FBA costs 32% less per unit compared to alternatives.
  • FBA is a flexible program that allows you to register as many products as you want, even if it’s just one.
  • Amazon’s customer service team handles customer inquiries and returns free of charge, thereby enhancing the ease of handling shipping, returns, and accessing Amazon Prime customers.

In addition, FBA offers tools and sub-programs for optimizing operations and meeting business goals, including Remote Fulfillment.

Disadvantages:

  • Sellers pay extra fees to Amazon for storage, fulfillment, and other services.
  • There is an increased risk of product damage, which is why sellers seek control over the shipping process.

#2. Fulfilled by Merchants (FBM)

FBM, or Fulfilled by Merchant, allows sellers to manage the overall product selling process. Amazon offers shipping options for sellers, giving them the privilege of inventory control, scalability, and fulfillment methods. Using Amazon FBM, sellers can list their products on the platform while still managing inventory storage.

The Seller handles delivery, returns, and customer issues independently, using Amazon shipping as an additional marketing channel for their e-commerce businesses. FBM shipping options save money for sellers with fewer products and lower revenue, as they can ship their products for less money than Amazon through their delivery partner networks or third-party logistics networks.

Advantages 

  • The seller gains control over the order fulfillment process by selecting the shipping carrier, packaging system, and delivery speed.
  • The seller will avoid concerns about Amazon’s shipping requirements or unexpected costs due to fee changes.

Disadvantages

  • Amazon FBM prohibits Amazon Prime shipping offers.
  • About 103 million Prime users are buying from Amazon due to its faster shipping. Lack of prime delivery options may discourage customers, and they tend to consider alternative delivery policies.
  • Sellers face increased competition for Amazon Buy Box, due to the reduction in product visibility and sales. Note that the “Amazon Buy Box” enables instant purchases from the product detail page.

#3. Seller Fulfilled Prime (SFP):

Seller Fulfilled Price (SFP) is a shipping method for sellers with warehouse storage, that requires consistent product delivery and commitment to Amazon’s Prime customers. This option is suitable for sellers who don’t want to pay storage fees but still want to enjoy Prime features. 

The Sellers must demonstrate consistent product delivery and commitment to Amazon’s shipping program to qualify for Prime features without paying storage fees. The SFP shipping option enables delivery to domestic Prime customers directly from the seller’s warehouse. It also offers One-Day and Two-Day Delivery at no additional charge.

In summary, SFP offers affordable, profitable fulfillment options, allowing for own fulfillment centers or third-party logistics companies, Prime badges, and warehouse management, reducing FBA fees and remote inventory management.

Advantages

  • SFP offers affordable, profitable options for sellers to utilize Amazon’s order fulfillment services.
  • Free FBA fulfillment fees for Prime badges on products
  • It enables remote inventory management in Amazon warehouses.

Disadvantages:

  • Amazon’s SFP shipping method is ideal for sellers who save money by storing inventory themselves.
  • Sellers must achieve performance metrics like 99% on-time shipping, 4.5-star seller rating, etc.
  • Sellers must log into the Amazon shipper’s account to print packing slips and shipping labels, which can be time-consuming if not integrated with Amazon’s API. To resolve this, sellers may need to develop integrated applications for the Merchant Fulfillment API.

#4. Amazon’s Seller Central:

Amazon’s Seller Central shipping method allows sellers to become suppliers, offering wholesale products, with Amazon handling fulfillment and reselling, ensuring timely delivery. 

Amazon purchases products for reselling, using attractive shipping options. However, this may result in reduced inventory sales and potential competition. However, the potential risks are worth it for some brands.

As Amazon expands, your job shrinks as you focus on shipping inventory and let them handle the rest. They have incentives to sell your inventory, offering attractive shipping options and potentially selling products at lower prices than on your website. This could turn Amazon into your main competitor, undercutting your pricing.

Even so, some businesses may find the potential risks worth it due to increased sales.

Advantages:

  • There is an increase in brand sales.
  • Seller Central streamlines the manufacturing merchant order fulfillment process.

Disadvantages:

  • Inventory sellers must sell at reduced prices.
  • Amazon can be a significant competitor for sellers selling products through other channels.

#5. FBA Onsite:

Amazon revolutionized online business operations with the FBA Onsite program, combining FBA and SFP. This program allows sellers to apply for Prime shipping and store inventory, while utilizing Amazon’s software and shipping network, allowing for streamlined processes and cost-effective order fulfillment.

Basically, using this method, Amazon treats your warehouse like an Amazon warehouse, then you will save money on storage, and delivery costs and eliminate fees for order fulfillment. 

Advantages:

  • FBA Onsite offers a cost-effective alternative to Amazon’s traditional FBA service.
  • Sellers have greater inventory control as Amazon views their warehouse as theirs.
  • Sellers save on delivery and order fulfillment fees.

Disadvantages:

  • The FBA Onsite program is limited to a few sellers because it is an invite-only program 

#6. Shipping with Amazon (SWA):

Amazon’s shipping option is limited to select locations but plans to expand to most businesses in the near future. The SWA Amazon option allows sellers to manage inventory and shipping jobs, working with a shipping company like FedEx or UPS to deliver products to sellers in selected locations.

SWA enables sellers to maintain inventory independently, with Amazon handling the shipping process. An Amazon representative collects orders, ships them, and benefits sellers with a Prime badge. This option eliminates compliance with Amazon’s shipping standards and doesn’t require warehouse access like SFP or FBA Onsite.

Advantages:

  • Effective for brands using the Prime badge to sell products without paying fulfillment costs.
  • Amazon’s strict delivery requirements can be obtained by brands.
  • This method is accessible to sellers without warehouses.

Disadvantages:

  • The program’s geographic coverage is limited to select cities.

#7. Premium Shipping:

Prime members have specific shipping options, but not all Amazon customers or sellers qualify; only sellers in good standing, who can offer faster shipping options, have the right to offer it.

Amazon sellers over 90 days old can use premium shipping, with prices set based on expenses. However, timely delivery is crucial, as customers may lose eligibility if orders take longer than expected.

Premium shipping options include:

  • Same-day shipping
  • One-day shipping
  • Two-day shipping

In summary, Amazon Premium Shipping offers free shipping for sellers over 90 days, including same-day, one-day, and two-day options.

#8. Amazon Subscribe And Save:

Consider Subscribe and Save for regular purchases of toiletries or wellness products, offering discounts ranging from 5% to 15% on monthly delivery, free shipping, and a minimum of five products. 

Amazon sellers benefit from this shipping method, gaining loyal customers, increasing sales, and generating revenue through scheduled repeat purchases. Although slightly lower prices may seem like a bargain, they boost business growth and customer referrals.

Amazon sellers can gain loyal customers and faster revenue by selling less, but they must maintain 85% inventory stock for participation in the shipping program. Selling items at a lower price boosts business, increasing orders and revenue through scheduled repeat purchases. 

#9. Amazon Prime Shipping Options:

Over 60% of Amazon buyers have Prime memberships for fast, free shipping, requiring seller fulfillment and potentially additional fees. Sellers must meet high-performance metrics for order fulfillment to join Prime Shipping and qualify for Prime Products.

There are other shipping options available to Prime customers, and they are:

i. Free two-day shipping: Free two-day shipping is a popular option among Amazon customers, attracting Prime members who prefer quick, free delivery, increasing sales, and attracting more buyers.

Ii. Business Prime Shipping: Prime memberships benefit individuals and businesses with Amazon Business accounts, offering free two-day shipping with similar terms.

Iii. Amazon Prime Pantry: Consider this shipping option for non-perishable grocery products and household goods. Prime Pantry orders have a fixed $5.99 shipping fee, allowing Amazon to ship incoming orders promptly. Prime Pantry lacks 2-day shipping, affecting some grocery items like meat and dairy, affecting its suitability.

For those products (perishable groceries), we would suggest the following shipping options:

Iv. Amazon Prime Now: This shipping option offers free 2-hour shipping on various items, including grocery products, dairy, electronics, and clothes. It is limited to specific areas, and it is fast and convenient shipping.

Prime shipping is exclusively available for Amazon stores and deliveries, ensuring timely order delivery.

v. Amazon Fresh: This is a grocery delivery service, is a new shipping option available in select cities, and focuses on Amazon’s growing grocery delivery strategy, surpassing Prime Pantry and Prime Now.

Summary

For e-commerce businesses, selling on Amazon platforms offers your business 24/7 availability, increased visibility, secure payments, worldwide sales, brand protection, weekly payments, and stress-free shipping. 

Shipping is the most compulsory basis for e-commerce sales. This also means that packing and delivering a customer’s order at the right time is very important if you want to earn the customer’s trust. 

In addition, choosing the best shipping option saves money and increases profit, that is why you need to choose the least expensive shipping plan for your business. All that is required of you is to find out the optimal Amazon shipping method while considering factors like size, weight, and packaging.

Have you chosen the right Amazon shipping option for your business? Start selling on Amazon and enjoy the shipping benefits it provides.

Do You Use Amazon’s Paid Shipping Service?

Amazon provides free shipping on a large number of items. However, there are situations when delivery fees apply, even to purchases that meet the criteria for free shipping. Free delivery is explained in detail on Amazon’s Order with Free Delivery page. Both the order form and the confirmation email include the shipping cost.

Can I Get Free Shipping From Amazon?

If your order meets the required quantity of qualifying items, shipping will be free of charge. The “FREE Shipping” label on a product detail page indicates that the item is eligible and counts against your free shipping order minimum if fulfilled and sent by Amazon.

How Does Shipment to Amazon Work?

Fulfillment by Amazon (FBA) is a service that allows sellers on Amazon to have the company handle shipments on their behalf. Amazon handles inventory management, order picking, packing, shipping, and customer delivery for your online store. Amazon also handles returns and customer service for these purchases.

Can You Directly Sell to Amazon?

Not only can you sell stuff on Amazon, but can as well sell stuff to Amazon. You can become a “first-party” seller through the Amazon Vendor program and sell your products to Amazon at a discount.

Is a Shipping Label Provided by Amazon?

With the help of Amazon Marketplace Shipping Services, printing USPS shipping labels is a breeze for Amazon merchants. Your Amazon Marketplace Payments account will be charged just $0.07 for each label that you have printed.

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References

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