E-Commerce & Product Sellingintermediate
Amazon FBA
Fulfilment by Amazon
Definition
A service where Amazon stores your products in their warehouses, and handles picking, packing, shipping, and customer returns on your behalf.
Why it matters
FBA gives your products Prime eligibility and removes the logistics burden, but Amazon charges fees and you have limited control over the customer experience.
Example
A seller ships 500 units of her product to an Amazon warehouse. When orders come in, Amazon ships them. She focuses entirely on sourcing and marketing.
Related terms
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