Amazon FBA for a seller selling on Amazon, and Amazon Multi Channel Fulfillment for a seller on a third party store like Shopify, BigCommerce, Magento and others derives an unprecedented edge in shipping their orders on the context of huge fulfillment centers, packing and customer service provided by the Amazon.
Benefits to a Seller Choosing an Amazon Multi Channel Fulfillment Program
A seller while using an Amazon MCF program to fulfill his orders from the third party eCommerce store like Shopify and others reaps following process related benefits with its supply chain management and logistics process.
- A Competitive Business EDGE: With shipping and fulfillment better streamlined and customers satisfied, Amazon MCF offer a business competitive edge over other sellers on the eCommerce market. While selling products through Amazon FBA, they automatically become eligible for Amazon Prime Free Two-Day Shipping, Free Shipping among other benefits. With product featuring Amazon Prime logo have a better opportunity to reach a wider audience.
- Improved Business Scalability: With shipping and fulfillment process more robust, simplified and customer friendly, it relives a seller away from the worries of managing delayed and faulty shipping process. This way, he is more relived from logistics part and can pay attention towards business growth and expansion. He can focus upon taking his business to the next step.
- Improved Amazon and Search Listing: Faster shipping and improved customer service as an integral part of Amazon A9 algorithm helps a seller to have better listing and ranking on Amazon. A seller having products listed on Amazon as well as third party store, while using Amazon Multi Channel Fulfillment can have better ranking on Amazon listings as well as Google search engine.
- Better Customer Service: With Amazon Multi Channel Services offered by experienced eCommerce professionals at Amazon, the customer care becomes an easier and simplified task. All the shipping related queries are handled by Amazon customer care executives and a seller is required for tracking of an item and responding to customer queries.
What exactly An Amazon FBA Pricing is Consisted of?
The world class Amazon fulfillment service also referred to as Amazon FBA service, no doubt, comes at a price. The Amazon multi channel fulfillment services variably depends on three primary factors.
- Product Weight: It is volumetric weight of an Amazon product listed.
- Product Size: Dimensions at which a product is being packed for shipping including length x width x girth.
- Channels: This depends upon whether a product is sold on an Amazon market place or through an external site.
The MCF fees at the inventory is divided into two segments including:-
- Amazon Fulfillment Fees: This is a fee that is paid by a seller to Amazon for fulfilling an order. The fee charged here covers all the business processes including picking, packing, shipping and providing customer services. The fulfillment fee is counted upon on the basis of items per unit
- Monthly Inventory Storage Fees: This fee is charged on the basis of an inventory stocked into an Amazon fulfillment center. Calculated on the basis of per cubic foot this fee depends upon per cubic foot.
Product Weight and Size
- Standard Size: A product falling under the standard-size item category should weigh less than 20 pounds when fully packed and the dimensions should not be more than 18” x 14”x 8”.
- Oversize: The product that exceeds the standard size dimension comes under the over sized. In case, a product weighs more than 20 pounds and exceeds 18 inches on its longest size, the item is packed under the oversize category.
Some Recent Revisions into Amazon Multi Channel FBA Fees
Revising its earlier Amazon MCF fees for the third party seller, the Amazon has relaxed norms for a third party seller. With new MCF fee the following changes will take place from now on.
- Fee has been decreased for every product size and speed of shipping. There is not increase in a fee whatsoever.
- Standard size items 16 ounces or less for expedited shipping, the fee has been decreased in the range of 20% to 35%.
- Standard size MCF orders now have less than 10oz and 10–16oz categories which are consistent with the FBA fee categories used for non-MCF orders.
- Priority shipping (1-day shipping) fees for most sizes is remained unchanged.
- Small Oversize MCF fees for expedited shipping has been decreased around to 15%. While oversize tiers, there remains unchanged.
Know more about: How to Receive a Cost and Competitive Advantage with Amazon Multi Channel Fulfillment?
Change to Standard Size Items (Expedited Shipping)
Expedited 2-Day Shipping (New Rates)SIZEI Unit2 Unit3Unit4 Unit5 UnitSmall Standard
10 Oz or less
$ 5.69$ 3.99$3.29$2.89$2.49Small Standard
10 to 16 Oz
$5.89$ 4.19$3.49$3.09$2. 69Large Standard
10 Oz or less
$5.79$ 4.09$3.39$2.99$2.59Large Standard
10 to 16 Oz
$ 6.29$ 4.59$3.89$3.49$3.09Large Standard
1 to 2 lb
$ 6.99$ 4.99$4.19$3.69$3.29Large Standard
2 to 21 Lb
$ 6.99 + $0.38/lb above first 2 lb$ 4.99 + $0.38/lb above first 2 lb$ 4.19 + $0.38/lb above first 2 lb$ 3.69 + $0.38/lb above first 2 lb$ 3.29 + $0.38/lb above first 2 lb
Change to Oversize Fees (Expedited Shipping)
Expedited 2-Day Shipping (New Rates)SIZEI Unit2 Unit3Unit4 Unit5 UnitSmall Oversize$ 11.99 + $0.38/lb above first 2 lb$ 7.80 + $0.38/lb above first 2 lb$ 7.30 + $0.38/lb above first 2 lb$ 7.15 + $0.38/lb above first 2 lb$ 6.85 + $0.38/lb above first 2 lbMedium Oversize$ 16.80 + $0.39/lb above first 2 lbLarge Oversize$78.30 + $ 0.80/lb above first 90 lbSpecial Oversize$ 143.30 + $ 0.92/lb above first 90 lb
These above mentioned changes in Amazon Multi Channel Fulfillment fees in effect from April 2020 has reduced the fees for Amazon FBA at considerable levels and have make it more competitive with respect to cost for third party sellers like BigCommerce, Shopify and others.