Pan-European FBA to help sellers boost sales during the Christmas period
The Christmas period is around the corner and Amazon are reminding merchants that they can help them boost sales to customers in UK and across Europe with Fulfilment by Amazon (FBA).
On average, 7 of the top 10 most successful UK Amazon sellers in any given product category are currently using FBA, and it’s clear why: FBA not only reduces the load on their warehouse operations, but it also makes it more likely they’ll win the Amazon Buy Box and get their products in front of buyers. In addition, FBA products are Prime eligible, so they reach millions of Amazon’s most loyal customers.
This year, the new Pan-European FBA programme promises to deliver an even better Christmas to sellers and to customers in Amazon’s European marketplaces. This new service helps sellers of any size export to millions of Amazon customers across the EU more efficiently than ever before.
Pan-European FBA enables sellers to deliver their inventory to a local fulfilment centre for Amazon to take care of the logistics; automatically shipping sellers’ products across its European Fulfilment Network according to the anticipated local customer demand. Amazon will then pick, pack and ship orders to customers from the closest fulfilment centre where the product is available, as well as handling all customer service inquiries for the seller.
Not as easy as ABC…
This program opens a HUGE can of VAT worms.
Agreed Stu, it requires VAT registrations in 7 EU countries which is a commitment for the Amazon seller.
Isn’t it strange how Amazon fail to mention this on their blurb !
There is a distinct lack of care by them towards their sellers.
Just finished applications to all.countries and is a right pain…Savings will be significant for my business so worrh the pain.
Amazon have set up some great offers with Vat firms to reduce costs
So what happens if amazon sends loads of your inventory to EU countries which doesn’t sell and you’ve lost out on additional UK sales because of it?
Amazon ships it regardless where it is stored for the FBA FEE you would normally pay in the sold marketplace.
For example: You have stock in Germany, but FBA sale is generated in UK. Amazon ships from Germany and you pay UK FBA Fee.
Really no losses. We have been using it since the beginning. My savings on shipping costs are huge.
Also tactically repricing products for higher prices in different marketplaces. Price optmization is better because minimizing losses as some products sell for higher prices on different territories which were previously just sellable in one territory without occuring extra EFN fee’s.
The only downside is it takes 1 week? more for the FBA department to process incoming shipments. Maybe its FBA in general as Amazon service is a bit slow noawadays.
thanks Jack, so when you sell an item that’s in Germany to a UK seller how much cheaper is it than just having the item in your normal UK fba centre ?