Amazon, being one of the biggest eCommerce stores worldwide, gives opportunities to entrepreneurs and aspiring business owners to build their online stores. This opens the door for people who want to get involved in passive income or just want to try out their luck in doing business.
Amazon FBA stands for Fulfillment By Amazon. You sell your products on Amazon, have it registered in an Amazon center near you, and then Amazon will store your products in their warehouse. Once an order comes in, Amazon will handle the order fulfillment, and pack and ship your products right at your customer’s doorstep. If there are any queries and returns, this will be managed by Amazon’s customer service.
Business enthusiasts have taken an interest in this business style, and some have proven successful journeys in handling their own Amazon FBA business. As such, a lot of business gurus have been advertising their courses, mentorship, and tutorials on how to start an Amazon FBA business.
If you are interested in this niche and would like to indulge more in this kind of business, here are 7 benefits of starting an Amazon FBA business:
1- Sell Anywhere
You don’t have to put up a physical store, pay rent for your store location, and pay your store’s utility bills. All you need is an internet connection, a laptop or desktop, and the desire to earn money. Since you are selling through Amazon, all you need to worry about is doing product research and monitoring your business’s progress. You can do this anywhere, anytime, as long as you have access to the internet.
2- Vast Economic Scale
Amazon has already established a significant reputation worldwide. Building your online store will let you reach a broader scale, which means you can access the international market and international customers. This will open doors for more sales in your online business. Plus, you wouldn’t need to worry about shipping internationally since Amazon will have these arranged for you.
3- Spend Zero on Ads
There is no need for customer acquisition since Amazon already has millions and billions of customers scrolling through its platform every minute. Amazon has already put up ads on every online platform possible to have customers coming to their site. As you know, you can see Amazon ads on Facebook and other social media platforms.
There are also Amazon affiliates on blogs and websites. Practically, you are saving time and money on getting customers to check out your store.
4- Easy Order Fulfillment
Once you already have an order, Amazon will fulfill it for you. They will handle the order process and then proceed to shipment, which they will also manage. If your business can be accessed through multiple channels, Amazon will do the job for you. With Amazon FBA, conveniently, they will automate all the order fulfillment for your store.
All you have to do is monitor the reports and data that Amazon provides for every order so you can track the progress of your business.
5- Worry-Free Logistics and Shipping
Amazon will handle the hassles and bustles of getting your products shipped to your customers. You don’t need to purchase shipping pouches and packaging boxes since Amazon will already have their own, and they will do these for you.
Amazon has partnered with major shipping companies, giving you access to discounted shipping rates and faster delivery time. Even if an international customer is buying from you, they will handle the shipping of your product.
You can even offer a free shipping service for your products to attract more customers to buy from you. Then strategically, price your products where it includes the shipping rate, so you won’t have to add more budget to make this strategy possible.
6- Excellent Customer Service
You won’t have to handle your customers’ queries one by one because Amazon will offer their customer service readily available for your buyers to contact. They will help you answer any requests for your customers’ returns, complaints, cancellations, and refunds.
It is pretty exhausting to attend to every customer’s queries, especially when facing a tough customer. These Amazon customer service agents are trained to deal with situations like this. To simply put, this is their job, and they are very good at doing it.
7- Freedom of Time
This business style allows you to handle and manage your business in any part of the world. You can go on and travel across the globe and still track the progress of your business. Just bring your laptop and a portable internet provider so that you can connect online.
You don’t even have to be on your laptop the whole day since Amazon practically does all the job for you. Letting you spend your time more on other businesses you have to attend to. You can study more on product research, search for more suppliers, and even plan out doing another business you have in mind.
Plus, you will have more time to develop more strategies on how to increase sales with Amazon. This way, you won’t need to hire people like financial managers, digital marketers, and such since you have all the time to train yourself to become one.
Although, of course, it is also great to see an expert doing the work. You still can hire, but if you are on a low budget, you can be all-in-one in the meantime.