The prime day of the year has ended and the second half of the year has arrived. This is great news for friends in cross-border e-commerce. The reason is that the second half of the year is the peak season for cross-border e-commerce. It is a great opportunity to increase sales, build product brands, and improve product awareness. How to prepare goods for their Amazon warehouses has become a headache for many sellers.
There is less inventory, and the products are out of stock. They cannot be sold even if you want to. The listing will just remain empty, and the ranking will not only not go up but will drop, and there will be fewer and fewer orders. If you have too much inventory, product sales are not good, and there is an inventory backlog, Amazon’s storage fees will be enough to make sellers pay a lot of money.
Seeing this, some friends will ask, why don’t I just ship the goods myself, then I don’t need to worry about the stocking issue. Of course, you can also ship the goods yourself, but why do so many people choose FBA? How do they prepare the goods? Let’s find out.
1. Reasons for choosing FBA
We know that FBA (fulfillment by Amazon) means that Amazon sellers send goods to FBA warehouses. Amazon provides a series of shipping services such as warehousing, delivery, collection, and return processing. Sellers only need to focus on how to promote and sell their products. They do not need to spend too much energy to pay attention to how customers place orders and how the products are delivered to customers, which saves them a lot of manpower.
(1) Improve the ranking of your listing. Sellers who choose FBA can improve the ranking of product listings, increase the chances of grabbing shopping carts, and bring more traffic and exposure to products, making products more competitive and more likely to gain the trust and attention of buyers.
(2)Short delivery time. Friends who ship their own goods usually choose postal parcels because they are cheap, but the transportation time is long. The delivery time of FBA is very fast. Amazon provides Prime buyer members with 2-day delivery service and free shipping service if conditions are met. This not only improves customer satisfaction, but may also lead to second or even multiple repurchases.
(3) No need to worry about negative reviews due to logistics issues. Amazon provides FBA sellers with a service to delete negative reviews given by buyers due to logistics reasons.
(4)24-hour customer service. All-day customer service to solve problems for sellers at any time.
(5) We have many warehouses and rich warehousing experience. FBA has many warehouses and provides one-stop delivery services, so sellers don’t have to worry too much. Intelligent management system, rich warehousing and logistics experience, and better and richer logistics services for customers.
2. FBA stocking
(1) Prepare stock in advance. Anyone who needs to use a warehouse to store and sell their products needs to be prepared to stock up in advance. This is an eternal truth. Don't wait until the inventory is insufficient or out of stock before stocking up. During the peak season, logistics will also be affected, and problems such as delayed pickup and warehousing will occur. The logistics speed at this time will be relatively slower. Normally, we prepare the goods one week in advance, but at this time it is best to prepare the goods two weeks in advance.
(2)Stock preparation period. The stocking cycle is affected by factors such as product sales volume, procurement time, and transportation logistics time efficiency. Understand your actual inventory and calculate the average daily sales of your products (generally it is calculated for one week, sellers can calculate for one week, half a month, or one month based on the specific circumstances of their products). Based on the product’s past sales and average daily sales, set an approximate number of days to start preparing stock. If your product is popular, you must ensure that there is enough inventory in the FBA warehouse for sales, such as one month or half a month's inventory sales. At the same time, we also need to consider transportation time, procurement time, product warehousing and shelving time, etc. Comprehensive consideration: inventory saleable volume + logistics transportation time + procurement time + warehousing and shelving time. The formula is fixed. Sellers must optimize the calculations based on their actual situation. Each time they prepare, replenish, and ship goods, they can record the statistics and use it as a reference to save their time.
(3) Use multiple delivery modes simultaneously. When the inventory of products is almost sold out, it is recommended that sellers use international express to replenish the stock. International express usually takes 4-7 days to sign for. Although the freight is a bit more expensive, it can ensure that your listing ranking will not drop and the inventory will not be out of stock. When the product inventory is sufficient, you can choose dedicated line or air transportation to replenish the stock. The price of dedicated line is relatively cheap, and the volume of goods that can be transported by air transportation is large and the price is also cheaper than international express. If the stock has just been prepared and the inventory can be guaranteed, you can choose sea transportation to prepare for the next product warehousing. Sea transportation usually takes about 1 month to sign for, the quantity is large and the price is cheap.
