Selling on Amazon is a good way to get a lot of traffic. But before the start, the Amazon seller needs to make a crucial decision: in what way to fulfill orders? Amazon provides two fulfillment options for sellers: Fulfillment by Amazon(FBA) and Merchant Fulfilled Network(MFN). The first of the two is relatively well known, FBA is the first thing people may think of when it comes to Amazon order fulfillment. However, FBA is not the best choice for all Amazon sellers. In this case, some of the Amazon sellers choose to use MFN. Merchant Fulfillment allows the seller to deal with the Amazon fulfillment( including product storage, packing, labeling and shipping) by themselves, or by hiring a third-party company. As a dedicated fulfillment company in China, ChinaDivision provides one-stop order fulfillment service, which is a good supplement to Amazon MFN. Choosing the solution of ChinaDivision+MFN, Amazon sellers can enjoy more cost-effective and suitable fulfillment with less hassles.
Merchant Fulfillment Pros & Cons.
Compared with FBA, which helps Amazon sellers to take care of everything, Merchant Fulfillment can be time and energy consuming, especially when the seller uses it independently. When an order is placed for a FBA product, Amazon will automatically start to pick, pack and ship the product to the buyer, but if the seller uses MFN, after receiving orders, he or she has to export the orders, process them (in-house or outsourced) and ship the packages out.
MFN is more starter friendly. Just like I mentioned above, FBA requires the seller to buy some of the products and send them to Amazon warehouses in advance, which means using FBA can be expensive and risky for e-commerce starters. Imagine an e-commerce seller has spent quite a significant number on the inventory and the shipping, then he found it hard to sell them out, or his account got banned for some reason, he has to pay more for FBA warehousing. It’s definitely not a good business strategy for e-commerce starters, especially for those who sell electronic products with high values. Merchant Fulfillment is more suitable for this kind of Amazon sellers, with this starter friendly fulfillment option, they can hold a small amount of inventory and spend the rest of money on getting more flexible fulfillment solutions.
MFN is more controllable. Because Amazon pays more attention to the shopping experience, FBA is very buyer-oriented. In order to ensure that consumers can receive products as soon as possible, FBA ships products from the nearest warehouse. As long as the product ID is marked to be the same, Amazon won’t differentiate different sellers’ products. It means the FBA users are not able to know where their products are located or whose products their consumers will get, Amazon controls everything, consumers may give you negative feedback for other sellers’ bad products they received, some sellers even get their account closed because of this. Merchant Fulfillment allows the Amazon sellers to take control of their own products, the seller can inspect the products by themselves or entrust a third party order fulfillment company to do the quality control.
Merchant Fulfillment + ChinaDivision Order Fulfillment Service.
ChinaDivision order fulfillment service can remedy the limitation of Merchant Fulfillment, with the help of it, Amazon sellers can embrace MFN and its benefits without suffering from all the hassles.
One-stop service like FBA. Just like FBA, ChinaDivision provides one-stop service includes products receiving, inspection, labeling, custom packing, inventory management and global shipping. More than that, ChinaDivision fulfillment is automatic as well, with multi-platform fulfillment integration, customers don’t need to manually transfer the orders, tracking numbers, and update the inventory, the fulfillment software can one-click sync all the data.
Less upfront capital. ChinaDivision warehouse is in Shenzhen, China. Located in a manufacturing intensive area, ChinaDivision can provide a near-source fulfillment center for customers. Being ChinaDivision customers, Amazon sellers don’t need to risk buying a lot of inventory at once, they can hold a small amount and replenish any time they need. As a result, the upfront money used for inventory purchasing will become very little. Not only that, ChinaDivision requires neither minimum order quantity nor advance payment, which makes MFN+ChinaDivision fulfillment more starter friendly.
Low warehousing fee. Compared with FBA, ChinaDivision warehousing fee is lower. ChinaDivision also provides 90 days free warehousing service.
Fast global shipping. ChinaDivision provides DHL shipping for customers who need fast global shipping. This shipping method is particular suitable for high-value light products, such as electronic products. As long as the price is not as high as $800, the product can reach to the USA within 2-5 working days, tax free.