DiFFreight Blog What's the difference FBA from FBM?

What's the difference FBA from FBM?

What's the difference FBA from FBM?

FBA is a dedicated program to provide Amazon warehouse space and services to third-party marketplace sellers.

The sequence of the service:

  • You ship your goods to the US to one of the Amazon warehouses;
  • Amazon accepts your goods and distributes them to warehouses throughout the country, for the convenience of internal logistics and ensuring high delivery speed;
  • Buyers order your products, along with products from Amazon and other sellers;
  • Amazon FBA accepts and processes orders;
  • At Amazon FBA warehouses, goods are assembled and packed, and then delivered to the customer's home;
  • Amazon provides almost all work with the order, including its return to the warehouse, if for some reason it did not suit the buyer;
  • Every two weeks the marketplace transfers profit from sales to your account.

Amazon FBA assumes:

  • order processing
  • packaging
  • delivery
  • returns service.

The main feature of FBA is that a buyer on Amazon does not even think about whose product he is purchasing: the marketplace itself or a third-party seller. In both cases, he receives the same service: speed of service, delivery and guarantees.

FBM is a service for receiving, storing, packing and sending your goods from the seller's warehouse.

The FBM procedure can include several operations:

  • acceptance of goods at the warehouse - the products are placed in the warehouse, marked and registered;
  • storage of goods;
  • acceptance and processing of applications (purchase or from a trading platform, for example Amazon);
  • picking and packing of orders;
  • their delivery to customers or transfer to a transport organization engaged in delivery;
  • work on the return of goods (it consists of acceptance at the warehouse, inspection, elimination of defects, storage and dispatch of goods to the buyer in the second sale).
What's the difference FBA from FBM?

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