Amazon FBM Shipping Requirements #1 Guide

Amazon FBM shipping requirements are always being updated. 

With Amazon being in the spotlight recently as a way for sellers to potentially increase their profit margins, especially on larger or bulkier items. 

Amazon recently updated its default handling time options for fulfilled by merchant Amazon sellers, highlighting the growing importance of this fulfillment method. 

Amazon FBM shipping requirements

What is Amazon Fulfilled by Merchant (FBM)?

Amazon FBM (Fulfilled by Merchant) is a fulfillment option that allows sellers to take complete control of the order fulfillment process, from picking and packing products in their warehouse to shipping them directly to customers. 

This approach offers several advantages, including: 

Branding and Packaging: Sellers can customize the packaging and marketing materials included with their shipments, creating a more cohesive brand experience for customers. 

Fulfillment Costs: Merchant fulfilled sellers can avoid Amazon’s storage and fulfillment fees. This can be particularly advantageous for larger or bulkier items that may i lead to higher FBA fees. 

Flexible Shipping Options: Sellers can choose from a wider range of shipping carriers and services than what’s available through FBA. This allows them to tailor their shipping options to specific customer needs and potentially offer competitive rates. 

What is Amazon FBM Shipping?

FBM shipping refers to the process of a seller fulfilling customer orders on Amazon without using Amazon FBM. The seller shoulders the entire responsibility for the other fulfillment process, from inventory storage and order processing to packaging, shipment, and delivery to the customer. 

This includes managing inventory levels, ensuring the accuracy of product information (including weights and dimensions), selecting a cost-effective and reliable shipping carrier and service, and adhering to Amazon’s shipping timelines. 

FBM fulfillment shipping can be a suitable option for sellers who are looking for more control over their fulfillment operations, potentially lower costs, or the ability to offer unique shipping options to their customers. 

However, it also requires a significant investment of time and resources to manage effectively. 

Amazon FBM vs. Amazon FBA: Pros, Cons, and Differences

Choosing between FBM and Fulfillment by Amazon (FBA) requires careful consideration of your business needs and resources. 

FBM offers greater control over your fulfillment process, allowing you to customize packaging and branding to enhance the customer experience. 

You can also potentially reduce fulfillment costs, especially for larger or bulkier items, by avoiding Amazon’s storage and fulfillment fees. 

Additionally, FBM gives you more flexibility in shipping options, enabling you to choose carriers and services that best suit your needs and budget.

However, managing FBM shipping requires a significant investment of time and resources. 

You’ll be responsible for everything from picking and packing orders to purchasing shipping labels, managing inventory, and handling customer service inquiries related to shipping. This can be a challenge for sellers with a high volume of orders or limited resources. 

On the other hand, FBA offers a more hands-off approach to fulfillment. Amazon takes care of storing your products, picking, and packing orders, shipping them to customers, and handling customer service inquiries related to fulfillment. 

This frees you up to focus on other aspects of your business, such as product sourcing, marketing, and customer service. 

However, FBA comes with storage and fulfillment fees that can eat into your profit margins, especially for smaller or lightweight items. 

Not to mention you have less control over branding and packaging, and you’re limited to the shipping options offered by Amazon. 

Find out more about the differences between Amazon FBA vs FBM!

How to Set Up FBM Shipping

Head to the Amazon FBM shipping settings that involves creating an Amazon seller FBM account, listing your products, and configuring your shipping settings. 

This includes defining accurate product weights and dimensions, which are crucial for calculating shipping costs and ensuring on-time delivery. 

You’ll also need to create shipping templates that outline the various shipping rates and services you’ll offer to customers. 

Amazon allows sellers to create multiple shipping templates, giving you the flexibility to tailor your shipping options to different product categories, customer locations, or order values.

How to Manage FBM Shipping

Once you have orders, efficiently managing FBM shipping is necessary. 

  1. Process orders promptly: Identify the items from your inventory system, ensuring accuracy. Carefully pick and pack the items according to the customer’s order details. Double-check for accuracy and ensure all items are included. 
  2. Package Products Securly: Use appropriate packaging materials that can withstand transportation. The packaging should be the right size for your product to prevent movement and damage during shipping. For fragile items, use cushioning materials like bubble wrap or packing peanuts. Seal the package securely using strong packing tape. 
  3. Generate Shipping Labels: Purchase shipping postage through your chosen carrier’s online system or Seller Central account. Print the shipping label and securely affix it to the outside of your package. 
  4. Ship the Order: Drop off your packages at your chosen carrier’s location or arrange for pickups, depending on your carriers services and your presences. 
  5. Update Tracking Information: Upload the tracking number to your Amazon Seller Central Account as soon as possible. This allows customers to track the progress of their shipment and improves transparency. 
  6. Communication with Customers: Proactively communicate any delays or issues with shipment to the customer, helping manage their expectations and avoid customer service inquiries.

Amazon FBM Shipping Costs

Amazon FBM shipping rates vary depending on the following:

Product weight and dimensions: Larger and heavier items will cost more to ship. Amazon uses dimensional weight pricing, so consider both size and weight when calculating FBM shipping cost. 

Shipping distance: Shipping costs increase with the distance the package needs to travel.

Shipping speed: Faster shipping options like overnight or two-day delivery will be more expensive than standard ground shipping. Chosen carrier: Different carriers offer varying rates and services. It’s important to compare rates from multiple carriers to find the most cost-effective option for each shipment.

10 Amazon FBM Shipping Requirements

1. Set Clear Shipping Templates

Define your shipping rates and estimated delivery times accurately for different locations and shipping methods. This ensures customer transparency and avoids order cancellations due to unexpected shipping costs. 

2. Offer Competitive Shipping Options

Consider offering a variety of shipping options to cater to different customer needs and budgets. This might include free shipping on certain orders, expedited shipping options for faster delivery, or flat-rate shipping for specific product categories. 

3. Ship on Time 

Meeting your stated handling time and ensuring timely order fulfillment is necessary for customer satisfaction. Amazon metrics track your performance on this aspect, so prioritize order processing and avoid delays.

4. Provide Accurate Tracking Information

Always upload tracking numbers to your Seller Central account promptly, allowing customers to track their orders and build trust. 

5. Package Products Securely

Use sturdy packaging materials that can withstand transportation and protect your products from damage.

6. Comply with Carrier Restrictions

Familiarize yourself with the specific restrictions of your chosen carrier regarding prohibited items,size limitations, and proper labeling. 

7. Maintain Accurate Inventory

Keep your inventory levels updated in Seller Central to void stock outs and order fulfillment issues, especially during peak sales. 

8. Offer Clear Return Instructions

Provide clear and easy-to-understand return instructions for your customers, including outlining the return window, acceptable return conditions, and the return process itself. 

9. Respond Promptly to Customer inquiries

Be responsive to customer inquiries regarding shipping, returns, or order status. This demonstrates good customer service and helps to maintain positive customer relationships. 

10. Monitor Performance

Regularly review your Amazon FBM shipping metrics to identify areas for improvement. Track feedback to identify areas for optimization. 

Amazon FBM Shipping FAQs

1. How does the Amazon FBM shipping process work?

The FBM shipping process involves you picking and packing orders from your warehouse, selecting a shipping carrier, and ensuring the shipment reaches the customer safely and on time. You are responsible for the entire fulfillment process.

2. What factors affect the pricing of Amazon FBM shipping?

Product weight, dimensions, shipping distance, speed, and chosen carrier all influence FBM shipping costs. 

3. Can I track shipments sent through Amazon FBM?

Yes, you can track shipments sent through FBM. Purchase postage through your chosen carrier or Seller Central and upload the tracking number to your Seller Central account. This allows customers to track their packages as well.

4. Are there any restrictions or guidelines for packaging when using Amazon FBM?

While there are no specific packaging requirements from Amazon, it’s crucial to use sturdy packaging that protects your products during shipping. Ensure the package is the right size to prevent movement and damage. 

Follow any specific guidelines from your chosen carrier regarding prohibited packaging materials or labeling requirements. 

5. What shipping supplies do FBM sellers need?

FBM sellers need a variety of shipping supplies, including boxes, padded envelopes, packing tape, and cushioning materials like bubble wrap or packing peanuts. 

The specific supplies you’ll need will depend on the types of products you sell. 

6. Can I still ship Prime?

No, you can’t offer Prime two-day shipping through FBM. Prime two-day shipping is exclusive to the FBA fulfillment program. However, you can still offer competitive shipping options to your customers through FBM.