Because of the products and services it offers, people around the world are well familiar with Amazon. For years, this website has been one of the most popular platforms for online shopping. You can find everything on this website – from men’s shoes, home décor, gift ideas and toys, Amazon has got it all! But Amazon isn’t just a one-stop shop for all your shopping needs; it actually offers a service which lets you make money. And since you can do all of your transactions online, you can choose when and how you can do it. This might sound too good to be true, but that’s how Fulfillment by Amazon works.
What Is Fulfillment By Amazon (FBA)?
In a nutshell, Fulfillment By Amazon or FBA is a service which allows business and sellers to make use of Amazon’s services. Once you sign up for this service, Amazon will work behind the scenes by picking, packing and shipping your orders. Your products will be stored at their fulfillment centers, which makes inventory easier for you. They will also be responsible for handling your customer service. This means that you’ll have more time on your hands without compromising the chances of increasing your revenue. And because Amazon has been one of the most trusted online platforms for years, working with them can even entice more customers to do business with you!
So How Can I Make Money Using FBA?
FBA is a simple service which can be used by anyone who wants to earn money. It will not require you to undergo a month’s worth of training just so you can understand everything in the system. Additionally, FBA gives you the flexibility to make money during your most convenient time – you’re basically your own boss! Regardless if you want to earn extra income or make money from home, FBA can help you achieve those goals over time. Here’s how you can make money using this service:
- Create your own account: First things first, you need to create an account with FBA. The process is simple: you visit Amazon’s website, look for the heading that states “Make Money With Us” and click on the link which reads “Sell on Amazon.” After this, you’ll be redirected to a page which will require you to sign up either as an “Individual” or a “Professional.” If you sign up as an individual, no monthly subscription fee will be charged from you. This option works best for sellers who are still new to the business or who are still testing the waters with FBA. However, if you’ve been doing online business for years and you’re seeing yourself use this service in the future, sign up as a professional. Once you’ve picked what type of account you’ll have, everything will be straightforward. You just have to follow the instructions provided.
- Decide what to sell: Setting up your account with FBA might be easy, but deciding what to sell might come off as a challenge. You’ll have to consider a lot of factors along the way because your product can make or break your success while using the service. Looking at what your target audience wants, and how saturated an industry is, can help with your decision. You can also take note of the current online trend by using Entrepreneur Journal Review.
- Source the product: After deciding what to sell, you now have to look for suppliers. This phase will require your time and effort. Scout for suppliers in your area and inquire if they’re selling the product you’re looking for. Ask for warranties and discounts, especially if you’re planning to buy in bulk. Don’t immediately do business with the first supplier you find. You should be able to compare offerings from different suppliers to find one who will provide you with the product and service that you need. It’s also important that as early as possible, you start to create healthy relationships with suppliers around you. You might be getting the same products from them.
- List your products: The products which you bought from suppliers should be listed in your seller account. You’ll have to fill in details about your products such as prices and description. You can have the liberty to place any amount or information here. But if you’re still a neophyte, it might be best if you price your products at an amount which is slightly less than the competitors. This will entice customers to do business with you. Your description should also be as detailed as possible. If you’re selling bags with 24 compartments or shoes which are waterproof, let customers know about it. These features might be the only thing they’re looking for in a product. Recommended: How to sell more products on your online shop?
- Ship your products: You might be selling bulky and huge products, but Amazon will take the struggle of storing these for you. Once your products arrive, you can ship them to Amazon’s fulfillment centers. They’ll take care of your inventory while you focus on other aspects of the business.
- Let Amazon take the wheel: Everything that happens after you send your products will be handled by Amazon. They will package and ship your products to customers. They will also take care of complaints through their customer service. Everything will be a breeze for you during this process! As for your income, Amazon will collect the payment from customers, deduct their Amazon FBA fees and send you money twice a month. FBA is basically a great source of passive income.
Beginnings Are Tough
Earning money doesn’t have to be hard, contrary to what most people would think. In fact, earning money is easy when you have the knowledge, desire, and tools to do it. Plus, technology has created many avenues that would allow sellers like you to reach out to many potential customers – and Amazon’s FBA is a clear example. Once you know the tricks of the trade, your income will increase even if you’re still a beginner in using Amazon’s FBA!
Published with contributions from Kristen Pearson from the Journal Review.