Features and innovations
According to a study by the IFH retail research institute, 94% of German online shoppers purchase their goods via Amazon - around 17 million are Amazon Prime customers. In other words, for many customers Amazon is the first port of call when it comes to purchasing products quickly and easily. Many companies are also opting to use the online mail order company and sell their goods directly via Amazon as part of a multi-channel strategy. But what to do if you have a modern logistics center and can deliver directly to your customers?
In order to offer customers the coveted Prime service, sellers generally have two options. Either the goods must be stored directly on site at Amazon, which is called "Fulfillment by Amazon," or the seller registers for the "Seller Fulfilled Prime" program. This allows the seller to ship the desired goods directly from their own warehouse to the customer.
With the "Fulfillment by Amazon" service, the goods are delivered by the individual sellers to an Amazon warehouse. This has one advantage: the logistics services are completely eliminated for the seller. On the other hand, however, there are also financial disadvantages. For example, there are shipping and transport costs for all outbound and return shipments, storage fees, storage costs by cubic meter stored, and not to forget sales commissions that squeeze the margin.
In the Seller Fulfilled Prime program, on the other hand, all logistics services are managed within the seller's own distribution center - from storage to shipping. But there are some requirements that have to be met:
With the "Seller Fulfilled Prime API" fully integrated in the warehouse management system SuPCIS-L8, users can quickly and easily acquire the required shipping labels directly from Amazon. This can even be done automatically and without employees having to take care of it in the logistics process. In addition to financial incentives, the benefit is that the time required for transportation from the manufacturer or seller to Amazon's warehouse location is completely eliminated. In addition, there is no need for separate inventory management for goods stored at Amazon. Risks of non-availability and high storage costs are thus enormously reduced. In addition, the "Seller Fulfilled Prime API" in the warehouse management system makes a significant contribution to the environmental sustainability of the entire supply chain. This is because existing stocks of goods remain in the vendor's warehouse and are shipped directly to end customers after the purchase has been completed. The decision as to which goods are to be offered with the Amazon Prime service and at what point in time is also the responsibility of the provider.
By fully integrating the Seller Fulfilled Prime API with our warehouse management, the seller is able to comply with regulatory guidelines. In addition, the user benefits from maximum flexibility as well as maximum profitability and speed.
You want to switch and ship the goods yourself for Amazon Prime customers? Please feel free to contact us.