Trading on Amazon is seeing sellers rake in millions of dollars in revenue, actually 19% of sellers on the platform reported to have made not less than a million dollar sales in the past year. This is even more of the case for those who are on the Amazon’s FBA program.
The Amazon FBA program has as such been such a popular program for many and attracts a number of merchants. In as much as this is the case, before one gets to trade on this platform, there are some facts that one should well know before hand as they get to trade on the Amazon FBA platform. As a matter of fact, you wouldn’t jump into any business venture without having known the details and this is the case as well when you are looking forward to the Amazon FBA program. Check this article out for some of the top things that you need to know of before you have your Amazon FBA site up and running for merchant activities.
To begin with, it is important to get to understand exactly what an Amazon FBA business actually happens to be. By and large, there is actually a difference between selling items as second hand on Amazon and selling on the Amazon FBA program and this is one thing that hasn’t been much understood by many. Talking of selling items second hand on Amazon, this is one that remains so open and one that can be explored virtually by anyone who would be interested. For more on selling items second hand on Amazon, read more here.
Basically talking of FBA, this typically stands for Fulfillment By Amazon. This typically means that it is Amazon that will be taking care of your customers. Basically, it happens to be a lot similar to what we have in drop shipping only that it happens to be having that extra benefit of allowing you test the products on your own before you get to sell them.
It is to be understood that there are charges to trading on the Amazon’s FBA program and these will be in monthly pays and a percentage or slight share of your sales that will be charged for holding the products in their warehouse. Amazon will be the one that will be storing the items for you, package and ship them when it comes to selling them to customers.
Plus, you should bear in mind the fact that for your Amazon FBA program, you will need to have with you some money for startup needs. These you can source from investors and people you can talk to who would be interested in seeing your business grow.