Why do so many people outside US use Amazon FBA for fulfilment?

by sean83
10 replies
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I'm setting up a Shopify store, I am based in Australia, but I want to sell to audiences within USA in the future, i've noticed a lot of people selling in the USA from Shopify based outside of the USA use Amazon FBA. However they are very expensive and will take up a lot of margin, I understand that they offer a quality service and deal with returns etc.

But I have been looking through Shopify apps and have seen plenty of fulfilment houses specialising with Shopify, surely they're must be a cheaper way than Amazon FBA that offer a quality service as well.

Could someone enlighten me?


Thanks Anyone
#amazon #fba #fulfilment #people
  • Profile picture of the author Adreamcreation
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  • Profile picture of the author homeaccent
    I am also outside the US, but have a US address and want to use Amazon FBA. Is there a third party fulfillment resource that can repackage my product per Amazon's specs? I purchase from wholesalers in the US.
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  • Profile picture of the author DWaters
    I am not familiar with shopify but I am very familiar with Amazon and FBA.
    It is simple - Amazon gets more buyer traffic than any other site on the internet.

    If you have something to sell your inventory should be where the buyers are.

    This benefit makes up for any supposed expensive fees, well worth it IMO.
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  • Profile picture of the author Solid Commerce
    I definitely think it's the convenience factor. Amazon is a trusted establishment, and they have A LOT to offer. In terms of product, shipping options, functionality, etc.

    I'd look into what works best for YOU, though. If that turns out to Amazon FBA, I think you'll enjoy your experiences, for sure.

    Many of our sellers use Amazon FBA for a variety of reasons. Inventory space isn't even always the biggest problem that Amazon FBA solves. It's a really great way to make sure that you're protected against inventory, shipping, and fulfillment issues that can really harm you, should you happen to be selling on a third-party marketplace.

    I know that a lot of Amazon sellers like to rely on Amazon FBA because they experienced decrease risk when it comes to things like not having items in stock, etc. Plus, you can use Amazon FBA to fulfill orders on eBay, other shopping carts, et...making it relatively easy for sellers to streamline their operations and eliminating the need to continue building out with new programs and applications as they scale and grow their businesses.
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    Solid Commerce

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  • Profile picture of the author jumbo1
    I personally use a Chinese fulfillment service center that is in many ways similar to FBA, but obviously based in China. The only downside is that shipping from China to your US customers will take some time.

    Otherwise their customer service is great and their fees are low compared to Amazon's. Even shipping from China to the US is cheaper than shipping within the US.

    I'm keeping a review journal about that service I'm using. The link is in my signature.
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  • Profile picture of the author Silas Hart
    It's because of their multi-channel fulfillment. A lot of the people that send in inventory to Amazon FBA sell on eBay as well, and also on their own site, globally - and at that stage, it's almost like dropshipping. You don't worry about customs forms (Amazon handles outbound shipping internationally), and yours sales are supported by eBay and Amazon within the U.S. Market.
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  • Profile picture of the author loprox
    Like someone else said, convenience. Definitely there might be comparable or better services out there but for consistency's sake, Amazon is usually a safe bet for most services.
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  • Profile picture of the author NDAWAAN
    Freshstorebuilder is also available just for comparison, I don't know much but you can see it for yourself. Good luck..
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