WHAT IS FBA (Fulfilment by Amazon)?
FBA is an Amazon program that allows a person to store their products in Amazon fulfillment centers; once the product stored in Amazon warehouse, when that person make a sale, amazon take care of the rest (selecting the product from inventory, the shipment, customer service, and returns). It allows people to sell on Amazon without having to handle or store merchandise, or deal with customers.
HOW DOES AMAZON FBA WORK?
You choose the product(s) you want to sell;
You create your products “Private Label” ;
If you can't produce it yourself, you can order it through Alibaba (with products mostly made in China), you transmit your private label and other specificities to the manufacturer to get the product package to your liking;
You register and setup your FBA ;
You create your product listings;
You then send the product you ordered from Alibaba directly to Amazon warehouse of your country or the country of you choice, but you can also sell worldwide;
Once the products are received by Amazon, it will be available to customers;
When a sell is made, Amazon handle the rest of the process including customer service and refunds;
All you have left to do is to make sells and monitor their tracking system and your inventory.
Who can join the FBA ?
FBA is for anybody who want to sell without having to worry about the sale process and the product storage, even an Amazon seller can convert their existing inventory to FBA.
Of course Amazon get a cut for the service they offers but it removes a big burden of you, as all you have to do is to found leads, turn them into customers and make sells.