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What Is Amazon FBA & How Does It Work?


FBA is an acronym that stands for Fulfillment by Amazon.

Fulfillment by Amazon (FBA) is an Amazon solution that allows sellers to send their products to Amazon, and Amazon will store, pack, ship, and assist with customer service on the sellers’ behalf. Put simply, Amazon takes what would otherwise be a logistical nightmare off your shoulders so you can focus on building your brand.

In order to start an Amazon FBA business and turn a profit, you must have a solid understanding of product research, keyword research, listing optimization, operations, analytics and marketing by taking an Amazon FBA course.

FBA fees are dependent upon your selling plan, referral fees, fulfillment fees, and other miscellaneous costs (i.e. long-term storage fees or Amazon advertising). To find a full breakdown, please visit Amazon’s Pricing page for sellers.

By utilizing an Amazon profitability calculator, you’re able to gain estimates on how much it would cost to sell a given product.

You can ship your products to Amazon after you’ve selected a shipping plan, packed your products, and from there you can send them to fulfillment centers that Amazon designates (using a carrier of your choice).