Issue 126: Your FBA guide for 2025
Hello, MyFBAPrep Sellers!
In this newsletter, you’ll learn critical FBA strategies and advice to succeed in 2025. We cover everything from the basics of FBA to returns and reimbursements. Let’s dive in.
How Does Amazon FBA Work and Is It Right for Your Business?
Amazon FBA is an amazing resource and service for brands, but before jumping on the bandwagon, you need to determine if it’s the right choice for your eCommerce business. To help you figure it out, we’ll walk you through how does Amazon FBA work, how it stacks up against other options, and how you can maximize it.
How to Conduct Amazon FBA Product Research
Selling on Amazon FBA can sound too good to be true, but if you sell the same products as everyone else, you could earn zero sales or engage in a race to the bottom on price and profit margins. Or, if you invest in the wrong products, you risk slow-moving sales and high fees from Amazon. Finding the sweet spot requires Amazon FBA product research to select the right items and improve your product line over time.
How to find the best products for profit.
How to Send Products to Amazon FBA
To get items into Amazon FBA, you have to navigate an increasingly complex Seller Central while staying on top of best practices, fees, FBA requirements, and learn how to send products to Amazon FBA. Although you can outsource these tasks to a 3PL — which will prep, box, and label your packages, then ship them directly to FBA — you can send products to Amazon FBA on your own, and this guide will show you how, step by step.
Learn how to send items (compliantly) to Amazon.
The Benefits of Using a 3PL for Amazon FBA
Readying products for Amazon and managing FBA fees, inbound shipments, and sales rates can be a challenge that many sellers don’t have the bandwidth to tackle. As a result, more and more brands are contracting FBA prep services to oversee the final stage of product handling and preparation for all the benefits of 3PL for Amazon FBA has to offer.
When you partner with a 3PL for Amazon FBA, you’re able to discuss your needs for packaging, choose services like whether the provider will replenish FBA stock for you automatically, and collaborate to create an FBA supply chain that runs as smoothly as possible.
Learn why brands are using 3PLs for FBA.
Amazon FBA Returns: How They Work for FBA Sellers
Amazon’s FBA return process is easy and convenient in many ways. When customers want to return items, the platform handles the communication, processing, and even restocking. However, sellers can’t take a wholly hands-off approach to the process, and they must also be aware of a less obvious downside.
Returns cost businesses heavily, with estimates showing around $816 billion in lost sales due to returns alone. Read on to learn more about FBA returns, what they mean for your business, and how you can make the most of your reverse logistics to minimize loss and retain a strong brand reputation.
Everything you need to know about FBA returns.
Everything You Need to Know About FBA Inventory Reimbursement
Previously, sellers had to file a claim manually for inventory lost or damaged in Amazon’s care. In 2024 though, the FBA inventory reimbursement process has become significantly easier, and as of November, much of it will happen automatically. That means less for you to worry about and keep track of. However, it’s still important to understand how FBA inventory reimbursement works, what your role is in the process, and how to monitor missing and lost inventory so you can file manual claims when necessary.
Reimbursement categories, claim windows, and the new automatic Amazon system.
Partner Spotlight: EcomBalance
Understanding the Complexities of B2B Supply Chain Management
Managing a supply chain in the digital era requires a deep understanding of various elements, from sourcing to delivery. Every step, from sourcing materials to delivering the final product, is crucial. It’s a journey that involves numerous stakeholders and processes that must be managed effectively to ensure success.
This guide will explore the intricate world of B2B supply chain management, highlighting the opportunities and complexities that have emerged in this rapidly evolving landscape.
Top Industry News
Amazon FBA to Stop Prepping Sharp Products for Sellers (eCommerce Bytes)
Amazon will stop offering prep services for sharp products through its FBA fulfillment service in April, and it’s updating its packaging requirements for such items. It’s making the move “to ensure the safety of our associates and customers.”
eCommerce Rocks December as Retailers Continue Digital Shift (PYMNTS)
Looking back through the 12 months of a volatile year, eCommerce was a standout — even as shoppers went back into the physical aisles to touch the merchandise and transact. Overall retail sales were up 0.4% in December as measured month over month, and while the “headline” data fell short of consensus estimates, it must be noted that the monthly change comes off an upwardly revised November reading that had seen an 0.8% gain over October’s levels.
Italist Continues To Grow In The Luxury Ecommerce Marketplace (Forbes)
While the overall luxury market may be in decline, Italist, which enables consumers to shop the streets of Italy at local prices – up to 40% less than prices in other countries, including the U.S. – continues to expand. Italist partners with over 2,000 of the world’s top designer brands, offering a curated selection of men’s and women’s apparel, accessories, shoes, home and kids at Italian retail prices.
Walmart Names Supply Chain Executive Dave Guggina as US eCommerce Chief (Reuters)
Walmart’s new Executive Vice President of Supply Chain Dave Guggina will become the retailer’s U.S. chief e-commerce officer, replacing Tom Ward, according to a company memo seen by Reuters on Friday. Ward will take on the role of chief operating officer of Sam’s Club, Walmart’s warehouse chain.
Best Buy to Launch Third-Party Marketplace Powered by Mirakl (PYMTS)
Best Buy is preparing to launch a digital marketplace platform that will allow third-party sellers to integrate their products into the retailer’s website and app. This model offers retailers a broader product assortment, including adjacent categories; provides sellers access to new channels and consumers; and delivers value to consumers by enhancing the shopping experience while maintaining a curated selection that aligns with the retailer’s brand promise, Hase said.
White House Moves to Exclude Chinese eCommerce From Duty-Free Import (FreightWaves)
Following up on earlier action this week aimed at controlling the influx of unidentified e-commerce shipments from China, U.S. Customs and Border Protection on Friday proposed that low-value imports no longer qualify for duty-free entry if the products are subject to tariffs or other national security restrictions. The proposal could result in higher consumer prices for small shipments and dampen demand, but logistics and trade professionals expect Chinese online retailers will be able to quickly adapt.
Amazon Draws a Million New Sellers in 2024 (Marketplace Pulse)
Marketplace Pulse data shows that Amazon added over 900,000 new sellers across its twenty-two marketplaces in 2024 and more than four million over the past five years. Roughly a third of them joined the Amazon.com marketplace in the U.S.
Amazon Third-Party Seller Share 2007-2024 (Statista)
This magic formula has ultimately cashed in for Amazon, which has seen its net revenues multiply in recent years. In 2021, the e-commerce giant generated approximately 103.4 billion dollars in third-party seller services, an increase of about 23 billion dollars from the previous year. While these figures are the product of orders throughout the year, a significant chunk is attributable to special offer and discount days.
Until next time,
Rachel Andrea Go
Marketing Director, MyFBAPrep