Is it necessary to rent a warehouse for FBA? How to choose a warehouse?

We have opened a store on Amazon, and there are many things we need to do in the future, such as listing products, setting information, and shipping orders. So does FBA require renting a warehouse? The following content will introduce it to you.

Does FBA need to rent a warehouse?

Yes.

How to choose warehouse for Amazon FBA?

1. Set the shipping address

Generally, Amazon will allocate the goods according to your shipping address, so you can find the FBA warehouse address you want, and then set your shipping address to an address near this warehouse, then it is possible that the Amazon system will allocate your goods to the warehouse you want.

If the warehouse assigned is not the one you want, you can try to delete the shipment and re-create it. The system will reallocate it, so you can try to see if it can be allocated. However, it is not recommended to do this, because deleting shipments multiple times will affect your warehouse performance.

2. Product Type and Buyer Intentions

Amazon will allocate your FBA warehouse based on your product type, the different purchasing intentions of buyers in each region, and the facility conditions, temperature, humidity and other factors of each FBA warehouse.

Different types of products are divided into the most suitable FBA warehouses to achieve reasonable use of storage and prevent the polarization of warehouses being full or empty. At the same time, it can help sellers expand sales and also bring better benefits to buyers.

For example, if a certain area is relatively dry in the summer and has more rain in other months, and you sell umbrellas, Amazon will also combine the local people's demand for umbrellas and then divide the warehouses; the specific inventory in the warehouses will vary from region to region.

In general, everyone must operate according to their own needs, especially during the peak season when warehouses are prone to bursting, which will affect the sales of your products, so you must optimize all aspects and strive to obtain a suitable warehouse.

What are the advantages of FBA warehouses compared to overseas warehouses?

1. Selection range

FBA warehouses have certain restrictions on product selection; the selection range of overseas warehouses is wider than that of FBA warehouses.

2. First-leg service

FBA warehouses will not provide sellers with first-leg customs clearance services; some overseas warehouse service providers will provide sellers with first-leg customs clearance services.

3. Requirements for products before warehousing

The entry regulations for FBA warehouses are relatively strict, and the entry regulations for overseas warehouses are not as high as those for Amazon FBA warehouses.

4. Storage costs

Due to the large volume of goods, the cost of FBA warehouses is higher than that of overseas warehouses.

5. Applicable to product promotion

FBA increases the exposure of sellers’ products.

6. Dealing with negative reviews of products after delivery

Any negative reviews caused by FBA can be deleted by Amazon, and sellers don’t need to worry about it.

In short, Amazon logistics does not necessarily require the use of FBA warehouses. In fact, Amazon's logistics method is optional, but you can get the shopping cart faster by sending FBA. If you ship by yourself, it will basically take 90 days to get a shopping cart.

Recommended reading:

Is it profitable to open a cross-border e-commerce store on Amazon? How can individuals do well on Amazon?

What products are suitable for Amazon? What products are easy to sell?

Where can I view my Amazon bill? Where can I view my income?