Amazon started as online book store and has grown to be the worlds largest online retailer.
Amazon Seller Fulfilled Prime Incentive – 100% off Referral Fees
There’s a great Seller Fulfilled Prime Incentive for Amazon Sellers this January – enroll for Seller Fulfilled Prime (SFP) for the first time and receive 100% off your referral (selling) fees.
If you want a huge boost to your sales on Amazon, the easiest answer is to use FBA (Fulfillment by Amazon). This entails putting your stock into Amazon’s warehouses where they will pick, pack and ship your orders and handle customer service and returns on your behalf.
Not everyone wants to put their stock under Amazon’s control however. This might be because you also sell on other venues or because your product are large and heavy or require specialist handling and FBA costs would be prohibitive. To address this, Amazon introduced Seller Fulfilled Prime.
Now, to encourage more merchants to sign up, Amazon are running a Seller Fulfilled Prime incentive which offers 100% off referral fees on the first 500 units you sell under the program. This is an ideal opportunity to self fulfil your most expensive products on Amazon whilst still gaining Prime eligible status (after completing the Seller Fulfilled Prime trial period) and thus a great chance of your offer being featured in the Buy Box. As the 100% off referral fees is for your first 500 units sold, don’t waste the incentive on low value items – they might as well be popped into FBA.
The big boost from sales comes from the millions of consumers already registered for Amazon Prime. They get free shipping on millions of items either sold by Amazon or sold by third parties and fulfilled by Amazon. With Seller Fulfilled Prime, your products can also be included in the Prime program and ship for free to Prime subscribers (although of course you’ll still pay FBA fees or shipping through SFP)
To take advantage, you’ll need to register for Seller Fulfilled Prime before the 31st of January 2020. Further details including terms and conditions for the Amazon Seller Fulfilled Prime incentive are available here.
Tried it and can’t say I was impressed. I had to adjust my prices by +£3.50 to take into account the extra cost of RM Tracked postage, Amazon Fees & VAT.
Amazon take control of your customer service which means that customers get away with what they want, meanwhile, as a seller, you get the usual dismissive unhelpful Amazon customer service.
Not for me!
Word of warning, if you want to offer SFP, your postage costs on small parcels will double. For Large Letters, it will quadruple. So remember to increase your prices – not so simple if you have thousands of SKU’s.
If you’re already using DPD because your items are heavy or expensive, then it’s a no brainer to use SFP.
Another word of warning: Avoid RM Tracked 24 and use Amazon Logistics instead. Why? Amazon expect 99% on time delivery, and T24 won’t give you that, Amazon will jump down your neck when it happens. Also don’t bother with SFP SNL (SFP Small & Light), it’s absolutely pointless! FBA SNL is 85p, SFP RMT24 LL is £2.30 – go figure that one out.
@Mr Jones I have been invited to use Amazon Logistics, prices are slightly better than RM, although RM have said they will look at my prices.
Once again the problem is with Amazon Custom,er Support, a salesman will quite happily sign you up but will not provide further information or how the system works regards collection etc.
Printing labels from the Amazon system was problematic for SFP, no help from customer support or the “salesman” that signed me up.
Should I sell my soul to Amazon what happens when things start going wrong? Trying to communicate with Amazon is like banging your head against the wall.
The worst that could happen is you lose SFP eligibility – you’ll still be able to merchant fulfil as you do already.
As for support, where do I even start? They send you around in circles, the only people you’re allowed to speak on the whole with are on the other side of the world – and they only know what’s on their scripts.
Try firstname.lastname@example.org for help understanding how to make labels and collections etc.