Amazon Logistics

& Fulfilment

Amazon logistics & Fulfillment have evolved exponentially and so do the customers' needs and requirements. With the onslaught of new and rapid delivery demands of the customers, Amazon introduced a model of fulfillment that not only benefits the customers in providing them fast deliveries on their orders but also managed to get hold of the mass interest of the sellers whereby giving their items a higher chance of visibility, conversion and ultimately big sales number. 

Inventory Management has become the center of attention and a backbone for an eCommerce business nowadays. This is the management of processes from procurement to all the way down to the end delivery to the customer. It can help the businesses to either thrive or succumb based on how it’s actually managed. It has a lot of moving parts that need to be precisely collaborated and managed in a way that’s beneficial for the business in the long run. The main factors involved would be the type of industry you operate in, type of products, size of the business and channels used to distribute or market the items, etc. The information retrieved could range from knowing the shelf life all the way up to the correct storage location of individual products. Something so detailed could do wonders for any business. 

Amazon algorithm is constantly gauging the inventory performance index to predict whether a business is progressing or regressing and de-ranks the hardly earned ranking that the seller has done everything in their power to achieve. The inventory planning involves a tightly done forecasting of various inventory-related metrics, all measured precisely to keep the business up to date with the inventory statistics and thus allowing any business to efficiently utilize its resources.  
Some of the information that proper inventory planning could provide is knowing the accurate stock level, optimal stock level based on the demand and purchase history of an item, and what to reorder and what not. Similarly, what to get rid of before it starts eating up the margins in terms of spoilage or storage & holding costs and many other useful insights that can save any business a fortune, over time. 

Today’s eCommerce businesses main competing points are the quality of the products and the delivery time. The latter can have a much bigger impact on the customer's perception of your brand. 

If you are an Amazon Seller, now is the time to start utilizing what Amazon has to offer i.e. Fulfillment by Amazon or most commonly known as FBA service. It embodies within it the most sophisticated logistic service there is to ensure timely delivery of the items and a well-sorted mechanism of managing the inventory of thousands of sellers in the designated Amazon warehouses & fulfillment centers. 

If you are not living in the US, you can still use Amazon's FBA model to sell & distribute your items worldwide. Amazon has made it possible for every small & big seller to manage their Amazon inventory through a system that’s perfectly capable of handling a large volume of orders for them. All you need is to source your items and ship them to Amazon's warehouse. The rest of the process will be taken care of by Amazon. Utilizing Amazon’s FBA’s model has its perks, of which the most obvious ones are the high coverage given by Amazon itself, winning the Buy Box more often, increased trust of the customers due to less shipping time and ultimately high conversion. This can be a huge step towards better inventory management planning for a seller.  

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