My Year of Amazon FBA: What They Won’t Tell You

May 6, 2024 | Amazon FBA | 2 comments

My Year of Amazon FBA: What They Won’t Tell You




Amazon FBA, or Fulfillment by Amazon, has become a popular way for individuals to start their own e-commerce businesses without the hassle of storing and shipping inventory themselves. With Amazon FBA, sellers send their products to Amazon’s fulfillment centers, where the company handles all storage, packaging, and shipping of orders. Sounds simple enough, right? Well, I decided to give Amazon FBA a try for a year, and let me tell you, there are some things they don’t tell you upfront.

First and foremost, the competition on Amazon is fierce. With millions of sellers on the platform, it can be difficult to stand out amidst the crowd. I quickly realized that just because I had a product listed on Amazon, it didn’t mean customers would automatically find it and purchase it. I had to invest a significant amount of time and money in marketing and advertising to drive traffic to my listings.

Speaking of money, Amazon takes a cut of every sale made through their platform. In addition to the monthly subscription fee, sellers also have to pay referral fees, fulfillment fees, and storage fees. These costs can quickly add up and eat into your profits. Plus, if your products don’t sell within a certain time frame, you risk accumulating storage fees for inventory that isn’t moving.

Another challenge I faced was navigating Amazon’s constantly changing policies and algorithms. One day, my listing would be at the top of search results, and the next, it would be buried on page 10. Keeping up with Amazon’s ever-evolving rules and regulations was a constant struggle, and it often felt like I was fighting an uphill battle to stay ahead of the competition.

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Despite these challenges, there were also some positives to my Amazon FBA experience. For one, the convenience of having Amazon handle fulfillment and customer service was a huge time-saver. I didn’t have to worry about packing orders or answering customer inquiries – Amazon took care of all of that for me. Additionally, I was able to tap into Amazon’s massive customer base and reach a larger audience than I ever could have on my own.

In the end, my year-long experiment with Amazon FBA was a mixed bag. While I appreciated the convenience and potential for growth, the intense competition, fees, and algorithm changes made it a difficult and sometimes frustrating experience. If you’re thinking about trying Amazon FBA, just know that it’s not as easy as it may seem, and be prepared to put in the time and effort required to make it work.


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2 Comments

  1. @CanadianRockerGuy

    So did you go FBM fulltime and drop the FBA altogether? Is it better that way where you handle all the goods and shipments and returns yourself instead of letting Amazon hamdle all your stock and shipments?

    Reply

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