Fulfilment by Amazon (FBA) is a service offered by the tech giant Amazon that allows businesses to outsource their warehousing and shipping processes to Amazon. This service is designed to help sellers scale their operations and reach a broader customer base without the need to directly manage the logistics of storage, packaging, and shipping of their products.
How It Works
When a business chooses to use FBA, they send their merchandise to Amazon’s fulfilment centres, which are large warehouses managed by Amazon. Once the goods are received, Amazon takes responsibility for the storage, maintenance, and inventory management of these products. When a customer places an order for an FBA product, Amazon handles the picking of the item from the warehouse, packing it, and then shipping it to the customer. Amazon also provides customer service for these orders and manages returns and exchanges.