By James Billy 
Sellers on Amazon can choose between two fulfillment methods: Fulfilled by Merchant or Fulfilled by Amazon. Under Fulfilled by Merchant (FBM), it is the seller’s task to ensure products are delivered to customers upon order.
With FBM, the merchant must handle everything, not just delivering orders alone. As a seller, you are also responsible for handling returns and sorting out customer complaints.
Setting up Amazon FBM Fulfillment
You must first open a store on Amazon using the seller management hub. Once your business is verified, the next step is configuring your shipping and fulfillment settings to operate as an FBM seller.
There, you must set your shipping and return policies. Now, you are ready to start listing your items on Amazon as an FBM seller. As an FBM seller, you are responsible for handling your inventory, dispatching orders, and managing customer complaints.
Order Fulfillment Process
Under Amazon FBM fulfillment, you have full control over logistics. Once an order is placed, you must pick it from the inventory, pack it nicely, and ship it within your stated handling time.
You must be careful when packaging and labeling orders to ensure they arrive in mint condition. This will also reduce customer complaints due to getting the wrong orders or receiving damaged products.
After shipping the order, you must confirm the shipment and upload tracking data to meet Amazon’s performance requirements.
3PLs and Shipping Options
Most sellers who use FBM choose to fulfill orders with the help of a 3PL company like Packageman because it is cheaper. It also makes handling the logistics side of things easier. Another benefit 3PLs bring to the table is that they make warehouse and inventory management flexible and scalable.
3PL partners also ensure orders are packaged as per Amazon’s policies. Additionally, they can handle customer complaints and returns. Moreover, they partner with multiple courier services to make products arrive within the stipulated handling time.
Challenges and Solutions
Amazon FBM fulfillment has its share of pros and cons. For most sellers who want control over everything from inventory to shipping and customer complaints, FBM is the best solution.
However, things can become tedious if you are handling everything by yourself. Once your business starts to grow and orders stream in by the hundreds, Amazon FBM fulfillment can no longer be a one-man show.
The first solution most sellers choose is partnering with a reputable 3PL firm. However, you must first go through the step of searching for the best 3PL partner in town. This can take time, and if not done right, it can lead to losses.
Final Thoughts
Amazon FBM fulfillment is a great option if you want to have complete control over your business. However, it requires adequate planning for it to succeed. Finding a reliable 3PL company should be your first order of business, not an afterthought.
Ensure the 3PL can also meet your store’s needs, especially if you expect growth to pick up soon. The last thing you want is to go back to find another 3PL partner because the current one doesn’t have enough fulfillment centers.