4 Ways To Improve Your Fulfillment By Amazon (FBA) Business

Kyiv, Ukraine - Feb. 02, 2021: Buying goods in the Amazon online

Fulfillment by Amazon (FBA) allows sellers like you to send your products to Amazon warehouses. 

Once your products arrive in the warehouse, Amazon handles all the customer service and shipping from that point on. Meaning the logistics are handled for you so that you don’t have to worry about managing inventory or shipping orders. Then, you can focus on what matters most: growing your business. 

However, there are a lot of other Amazon business owners vying to take the top spot in their respective niches and the whole online shopping platform. 

If you want to succeed in selling on Amazon via FBA, being on top of your game should be your main objective to beat out your competitors and increase your sales is possible. To achieve this goal, here’s a list of tips for helping you enhance your FBA business: 

1. Leverage Technologies 

Today, online sellers on Amazon are using different technologies in their operations. This helps streamline their workflow, allowing them to focus on growing their business.  

Here are three of the top technology examples that may help you in improving your FBA business: 

  • Logistics Dashboard

A logistics intelligence dashboard tracks and reports all logistics key metrics concerning the warehouse. It delivers insights about indicators, such as transit time, service type, average expense per pound, and package count. This gives complete shipping visibility and lets you know whether you need to consider a new distribution center to optimize delivery pinpoints. 

  • Keyword Tools

Keyword tools show you the popularity of words related to your products. This means that you can find keywords relevant to your niche to help you market your offerings effectively.  

  • Inventory Management Software 

Inventory management software gives you real-time reports on how many units you have left and how much money you’ve made from selling them. Aside from that, it shows you the demand for the products so you can forecast future sales and reduce running out-of-stock. 

With these technological advancements, you can boost the success of your Amazon FBA business. 

2. Address Negative Reviews 

Every Amazon seller only wants to leave a positive impression on their customers. However, what happens if you read many bad reviews about your products? It’s a stressful experience, and you only want to eliminate the issue immediately. How do you properly deal with this unfavorable feedback then? 

The best thing you can do is not to ignore these complaints. Instead, respond to the dissatisfied consumers by trying to sympathize with their side. For instance, you’re selling books, and you read reviews about the text quality and loose stitches. Use this opportunity to apologize to the buyers and thank them for their honest feedback.  

Then, provide a solution to their concern if it can be resolved. Try offering a discount for future purchases or a refund to satisfy them. Just make sure to do this privately, not under the comments. 

3. Strengthen Supplier Relationships 

Suppliers play a vital role in your FBA business as they’re the ones who provide you with the products that you sell. Thus, strengthening your relationships with them is imperative for your business growth.  

If you already have trusted suppliers, ensure you have an open line of communication. Make it a habit to discuss expectations about on-time deliveries and other matters that may affect your supplier-buyer relationship. Visit their warehouse and check for yourself if everything is in order. If not, speak with them about resolving the problem immediately to avoid affecting your business. 

If you don’t have any suppliers, start looking for one today. Many wholesale manufacturers are willing to supply goods for drop shipping purposes. Nonetheless, make sure to verify the following information: 

  • Ownership Status;
  • Business License;
  • Location;
  • Certifications For The Products; and 
  • Images Of Their Operations.

Although the requirements depend on your industry, ensuring the supplier meets these local standards is necessary. Be careful when sourcing your product to avoid infringement issues. 

4. Implement Competitive Pricing 

Portland, OR, USA - Sep 28, 2021: A smartphone showing the web p

Pricing affects the perception of consumers as they visit Amazon. Price your items too high, and you’ll lose a lot of sales. On the other hand, pricing your products too low reduces their credibility and results in lower profit margins. The sweet spot is somewhere in between, but where exactly would it be? 

One way to find better pricing in your Amazon products is through competitor analysis. Researching similar products helps you understand what people are willing to pay for matching items in different categories. Then, use these insights to set your prices accordingly. This way, you can be sure that your price is competitive and appealing to customers without hurting your brand

Summing It Up 

Ultimately, running an Amazon FBA business requires much effort and patience. 

Even if the Amazon platform helps you with product picking, packing, and shipping, you still have responsibilities as a seller. You might make more sales if you successfully maintain credibility in your shop. How do you do it? By taking advantage of modern technologies like inventory management systems and logistics dashboards. In addition, responding to negative reviews is necessary so potential buyers can see that you care about their experiences.  

By following these tips, your FBA business might expand to a broader audience and increase your market share.


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