Is It Still Worth To Sell On Amazon FBA?

As 2021 is coming to an end, and it is common question among many sellers that will Amazon FBA work in 2022 and beyond or not? In simple words: Yes. Let’s discuss why and how. However, before proceeding, having a little knowledge about key features of Amazon FBA is vital. 

What Is Amazon FBA?

FBA (Fulfillment By Amazon) is a one-stop solution for retailers to store, pack and deliver their products. The sellers who use FBA do not have to handle customer queries themselves; instead, Amazon gives the customer support on their behalf.

Not just that, selling on Amazon FBA makes you a prime seller and gives you a chance to participate in prime days sales. You probably know that most Amazon shoppers trust Prime. Therefore, after winning the Prime badge, your sales will also boost automatically. 

The advantages of using FBA don’t end here; the Amazon fulfilled products elevates your chance of winning a Buy Box that appears on the top right side of your product page with an add to cart option. It will further help increase the customer’s trust in the product, which ultimately boosts your sales. 

The best thing about FBA is that it is free for the first three months or 100 units. So, you can try it for no additional cost. All you need to do is

  • Register yourself as a new seller & list your product
  • Request to join FBA
  • Send your products to Amazon Fulfillment Center
  • Get Orders On Amazon
  • Amazon Will deliver your product from its fulfillment center

Now you have enough reasons to join FBA.  

Let us dive into our main topic, i.e.,

How Amazon FBA will work in 2022 and beyond?

According to the stats in 2019, Amazon’s revenue was $280 billion, and it will rise to $386 in 2020. And more than half the revenue was driven by third-party vendors. And the surprising thing was that out of those vendors, approximately 92% were FBA sellers.

The above information clearly signifies how important it is to use FBA to stand out in the tough competition on Amazon.

Here are some stats that will further substantiate our statement:

  • More than 12 million products & services are on Amazon display.
  • Amazon has over 1.1 million home improvements products.
  • Over 9.5 million Amazon sellers are there on Amazon globally. 
  • More than 1 million new vendors join Amazon each year.
  • FBA seller’s revenue is 30-50% more than the other. 
  • 74% of Sellers Use FBA to manage their sales.

The competition on Amazon is increasing year by year, still many new sellers are able to earn significant profit by using Amazon Fulfillment. Not only this, but they also use some Amazon FBA tools to boost their business further. Some of the popular FBA tools are following:

  • Scale Insights It is used to automate & dominate Amazon FBA business that results in maximum ROI.
  • camelcamelcamel- This tool gives you an update on the price drop of the product as well as information on price history.
  • Unicorn Smasher- It aids you in the product research on Amazon.
  • Zon.Tools-  It is used to manage Amazon ad campaigns in an amazing way.
  • Profit Bandit-  It is equipped with filters that enable you to keep an eye on the profit/loss of your products.

Pros Of Amazon FBA

  • Faster & Low Cost Shipping

The foremost benefit of using Amazon FBA is that your products will be shipped faster and at a low cost by Amazon itself.

  • Optimum Storage Space

You will get unlimited space to store your products. Also, you don’t need manpower for the packaging and delivery of products.

  • Hassle Free Returns & Refund Management

All the return and refund management will be done by the Amazon team so that you can focus on your core business.

  • Build Trust

With Amazon FBA, you will get a Prime badge that will eventually build your trust among potential buyers.

  • Boost Sales

The Amazon prime badge and Buy Box that you will get by Amazon fulfillment will definitely help you to boost your sales.

The Bottom Line-:

Undoubtedly, Amazon is pretty competitive; it takes time and money to start and grow on this shopping platform. However, with FBA, things can become relatively easy. 

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