Amazon Seller Fulfilled Prime (SFP) is a fulfillment system that allows Amazon sellers (those with professional seller accounts) to display the Amazon Prime logo on orders placed through their fulfillment centers or supplying other weapons suppliers. In this article, we will tell you everything you need to know about Fulfilled Prime and the benefits of this system that Amazon offers to sellers who offer their products in this market.
What is Amazon Seller Fulfilled Prime (SFP)?
This is a program that allows qualified retailers to use the Prime badge on their products and deliver orders directly to Prime subscribers using their fulfillment. Sellers must strive to deliver orders within two days at no additional cost to customers, meet Amazon Prime’s high service expectations, and use Amazon-approved carriers.
If you can prove to Amazon that you can do it, you may qualify to be part of Seller Fulfilled Prime. This allows you to add the Prime badge to the product, instilling an important element of trust and confidence for customers, improving visibility in search, and increasing your chances of winning the Buy Box.
Amazon’s selling points are fulfilled
To be considered and remain eligible for Amazon Seller Fulfilled Prime, the supplier must be eligible for the Premium Shipping Program. Certain eligibility criteria are required to be accepted into this program:
- The on-time delivery capability of at least 92% for premium shipping orders.
- The tracking ID model is valid for at least 94% of premium shipping orders.
- Less than 1.5% cancellation rate for premium shipping orders.
- Past performance percentage must be maintained.
- Continue to offer premium shipping options.
- Have a 99% on-time shipping rate.
- Have a cancellation rate of less than 0.5%.
- Use Amazon Buy Shipping for at least 98.5% of orders.
- Ship orders using Amazon’s approved carriers.
- Accept and abide by Amazon’s return policy.
- Allow Amazon to process all customer service requests
How does Amazon SFP work?
As many as 70% of Amazon sellers have said that Prime branding has increased their sales by more than 20%. SFP is the perfect tool to offer potential customers a wide range of products.
In addition, it is a perfect way to sell high-quality or difficult products. Some examples are sofas, pots, jewelry or rugs. To apply for SFP, a seller must visit the Seller Fulfilled Prime section of Seller Central. Here, you need to create a Prime shipping template where you need to define specific features like whether your shipping will be local or domestic.
To get into Prime, you must pass a Prime test completed by a salesperson to prove you’re up to the task. If a seller meets all the conditions, Amazon will notify them two days before becoming part of the SFP.
How to work Amazon Seller Fulfilled Prime?
Step 1 – First, you need to sign up for a Professional Selling Account and activate Premium Shipping.
Step 2 – Next, you need to complete 30 premium orders in a month. This is a great trick to qualify for Amazon Seller Fulfilled Prime. Within 30 days prior to requesting SFP, you must complete 30 premium shipping orders.
Step 3 – Sign up for a full seller trial. The next step is to complete a Prime application that the seller completes and agrees to offer overnight or two-day shipping on the Prime application. You must agree to Amazon’s return policy and customer requirements.
Step 4 – Complete 200 trial orders within 90 days. Within 90 days of starting your SPP trial, you must place 200 qualifying orders. Take a look at your performance stats tab to see your current status.
Step 5 – Stay healthy to continue using the program.
The seller’s shipping costs are met
The Prime shipping rate an Amazon seller fulfills is determined by order volume, package size, and customer location. Free standard shipping will be offered on all Prime orders, which may increase shipping costs.
SFP is usually more profitable than the FBA program, but in both programs sellers must pay Amazon’s commission fee, which is between 5% and 45% of the product’s selling price (average of 15%).
The seller is full of premium
The truth is that there are many reasons why sellers switch to ASIN to be fulfilled through Seller-Fulfilled Prime, and they do it for:
- Get Prime customers.
- Be able to have full control over their inventory which will eliminate the need to ship products to Amazon.
- Enjoy the same opportunity to buy boxes as Fulfillment by Amazon (FBA) sellers.
- Eliminate FBA shipping fees.
- Don’t pay for long term security if they don’t want it.
- Increase profit from large and heavy goods under high FBA fees.
- sell certain products that are not eligible for FBA.
- Create a more transparent return process.
- With SFP, retailers can directly manage returns for Prime purchases, helping them track and identify returns for their products.
On the other hand, Amazon Seller Fulfilled Prime program is very expensive. For example, in order to meet the free shipping requirement, we will need to add the shipping fee to the product price.
Due to additional fees, this program may not be suitable for all sellers. It will be more useful, especially for manufacturers and brand owners, who are marketers who work at a high level.
If you are a reseller selling other products or a multi-brand store, this program may not suit your needs, or at least, it may not suit all of your products.
SFP vs. FBA; What is the best?
- Logistics: Under FBA, the platform manages the entire logistics process, while the SFP system requires the seller to manage the warehouse or logistics and cover the shipping costs.
- Inventory Management: With FBA, product inventory will be delivered to Amazon, and inventory costs will increase over time. The problem is not with SFP, but the seller must respect the delivery time set by Amazon.
- Return Management: If products are returned under the FBA program, Amazon will handle the entire process. However, retailers should have customer service and carefully review returns on SFP. In both cases, the seller will cover his costs.
- Eligibility: As mentioned in this article, Amazon Seller Fulfilled Prime has strict eligibility criteria. You can also wait as places like Amazon don’t always take new SFP suppliers. However, FBA programs are easy to sign up for.
Whether you choose the FBA program or the SFP program, certain methods can help you increase your sales and have a more profitable business. One of these ways is to buy an online brokerage, which can help you find the right product without having to search for articles or find a supplier yourself. Click for more information about online arbitration.
Amazon Fulfillment Prime Seller is an Amazon Prime fulfillment program that allows you to ship to local Prime customers directly from your warehouse. After you complete your Prime Fulfilled Prime trial, your product will be featured with the Prime badge, increasing your visibility to millions of Amazon customers.