Managing orders from multiple fulfillment services while listing on multiple marketplaces can be challenging. With an efficient technology partner, orders from multiple services and warehouses can be synchronized and automated. Orders to third-party logistics (3PL) like FBA, ShipStation, and others can be properly channeled to sync in shipping tracking.
What is Amazon FBA?
Everyone knows FBA “Fulfillment by Amazon”, where you sell and Amazon ships. A seller would send bulk products and Amazon’s fulfillment center will pick, pack, and ship products for a small fee. The entire order management and shipping process can be boiled down to three steps.
1. Send products to Amazon
2. Amazon picks, packs, and ships products when ordered
3. Returns and refunds managed by Amazon
Amazon has trained consumers to expect their purchase in 1-2 days with free shipping. Because of this, many sellers are unable to keep up with these standards. With FBA, sellers have better control over inventory and can access it anytime. Cost is based on product size, so larger items with small margins may not be a good fit for FBA. Sellers purchasing shipping directly with UPS or FedEx directly adds to significant savings. An increase in volume and discounts received translates directly to profits. Delivery, on the other, hand allows seller to leverage a smart fulfillment network through machine learning, resulting in cost-effective delivery.
Advantages of 3PL
● Frees up seller’s time, allowing time to think about expanding.
● Frees up storage space
● Fulfillment service handles all shipping protocols
● Increase sales volume
Disadvantages of 3PL
● Cost of service cuts into revenue
● Order volumes are hard to manage
● Little control over the order
● Intense competition from other sellers
● Patience is needed as it takes time to see a return on investment
● What to sell is subject to detailed market research.
Achieving Full Sync and Automation
Until now it has been difficult for sellers to make the best of both worlds. ChannelSale offers a tool for multichannel listing and order management. ChannelSale aims at synchronizing and automating listings through one platform. With integrations readily available for orders, shipping tracking, inventory, and listing for most of the major marketplaces in the US, Canada, and Europe, it would be a completely hands-off solution for medium and large sellers.
With full integration for ShipStation & 3PL, sellers can achieve full automation for orders and shipping tracking sync. Orders will be imported from all marketplaces and can be automatically channeled to ShipStation or 3PL. A switch between FBAand FBM (Fulfilled By Merchant) is also available where if FBA is out of stock, orders can be sent to ShipStation.
With clever technology, friendly client support, and smart algorithms ChannelSale allows sellers to leverage the best out of FBA, ShipStation, and 3PL’s to optimize on cost of shipping and increase profits.