What is Amazon’s fulfillment center? What should I do if my FBA order is split into multiple fulfillment centers?
What is Amazon's fulfillment center and what if my FBA order is split into multiple centers?
It is believed that most sellers have encountered Amazon’s split warehousing situation. Today we will introduce it.
1. What is Amazon split warehousing?
The so-called split warehousing refers to when we ship, Amazon divides the same batch of goods we send into different warehouses. Because logistics delivery is based on the principle that the heavier the weight, the lower the unit price, once it is split, it means that our goods cannot be shipped in the same batch and we need to pay higher logistics costs, which invisibly increases our costs.
First of all, we need to understand that Amazon defaults to split warehousing. Because there is a fee for merging warehouses, before you agree to set up a merged warehouse, Amazon will default to assigning warehouse locations based on the actual situation of the warehouse for each shipment. Amazon divides our products into standard sizes and oversized sizes based on their size. We can see Amazon’s division of these sizes clearly before they are stored. And for products with different size and weight, Amazon has different charging standards.
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Overall, the standard size is the first weight of 1 pound, and the first weight fee is $0.3, and the subsequent weight of 1 pound is charged $0.1. If it is less than one pound, it is charged by one pound. If it is an oversized product, then the first weight is 5 pounds, and the insufficient part is charged by 5 pounds. The first weight is charged $13, and the excess part is charged at $0.2 per pound.
If a standard size product weighs 3 pounds, then the split warehousing fee charged per product is $0.3 + (3-1) x 0.1 = $0.5.
If it is an oversized 10-pound product, the fee charged is $1.3 + (10-5) x 0.2 = $2.3.
From this, it can be seen that just placing a product will cost at least a few yuan. Therefore, the cost is very high.
2. The most cost-effective warehousing method
To solve the warehousing problem, the official solution is to use Amazon’s FBA co-warehousing service. The opening position of this service is located in the upper right corner of the homepage in the background, under “Settings” – “Amazon Logistics” – “People’s Warehouse Settings” – “Inventory Placement Service”. After turning on this service, we can use Amazon’s method to place our products in a warehouse, which can effectively increase the starting weight of the first leg and reduce the shipping cost.
However, the official co-warehousing method is expensive. You can achieve the goal of co-warehousing through some unofficial methods, such as N-fold warehousing, which will be introduced below:
When warehousing, you need to fill in the number of prepared person warehouses. This number is determined by how much cargo you plan to send this time. After we fill in the number (for example, 200 pieces), if we find that Amazon has divided our goods into three warehouses, the most effective way is to use “N-fold warehousing”.
For example: when your 200 pieces of goods are divided into three warehouses, you can choose to fold the warehouse by three times, and Amazon is likely to give you three warehouses. These three warehouses generally fluctuate around 200, so you can choose the most suitable amount for shipment. If you want to ship less cargo, you can choose to ship from a warehouse with less than 200; if you can ship more cargo, choose a warehouse with a slightly larger amount for shipment. In this way, a lot of shipping costs can be saved.
Of course, using this method to warehouse cannot promptly remove the remaining plan, because this will affect your inventory performance. Frequent deletions will be warned by Amazon and even deprived of the right to send FBA. Therefore, the remaining warehouse space can be left until the next shipment. When this batch of goods is sold out and needs to be replenished, you can directly use the warehouse space built last time to replenish it. This approach is fully compliant with Amazon’s rules and it is also easy to control the amount of purchases.
(This article is compiled based on information from the internet. It is intended to convey more information and does not represent the views and positions of Quan Maitong.)
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