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Amazon FBA (Fulfilled By Amazon) is a business model that utilizes Amazon’s resources. Your research and find profitable products with high demand & low competition and create your own brand on them. This is just like printing your own brand or logo on a T-Shirt. This is called private labeling. Then you outsource them from manufacturers/suppliers on Alibaba.com. From there, you purchase inventory and work with your supplier to ship the inventory to an Amazon Warehouse.Then once you list your product on the amazon market, every time you make a sale, Amazon does all the shipping, packing, and returns for you! Completely hands off! You sit back and manage the sales on your computer. Because you leverage Amazon’s thousands of employees and huge warehouses, it makes the business pretty much passive income

What Amazon Does.

1. You send your products to one of Amazon’s warehouses – don’t worry, they will tell you which warehouse to send your products to.

2. Amazon stores your products safely in their warehouse.

3. Customers purchase your products and Amazon deals with the whole transaction from payment to updating your inventory.

4. Amazon packs and ships your product to your customer.

5. Amazon handles the majority of your customer service tasks including dealing with any returns or refunds.

6. Every two weeks, Amazon deposits your sales profit directly to your bank account.

So, Amazon FBA is like having your own warehouse, pickers and packers!

Amazon’s team will dispatch all your orders, handle all your customer emails including letting your customer know their item has been dispatched, they will deal with shipping and payments; you simply provide them with the stock and earn the cash.

As you might expect, Amazon does charge a fee for their FBA service, but the costs are competitive, and the postage savings are good too.

Remember, you’ll be utilising the power of Amazon when it comes to making sales, it’s convenient and you won’t have to contend with any Post Office queues or fights with bubble wrap and sellotape!

So, that’s Amazon’s part, but there are still things that are your responsibility.