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Glossary · Amazon

What is FBM (Fulfilled by Merchant)?

FBM is the model in which Amazon orders are shipped from the seller's own warehouse under the seller's own carrier agreement. No storage or fulfillment fee is paid to Amazon, but delivery time, shipment tracking and customer communication are entirely the seller's responsibility.

Detail

FBM is more economical than FBA for bulky and heavy products, low-turnover SKUs and seasonal stock, because no long-term storage fee accrues. The price is starting at a disadvantage in ranking and in the Buy Box race without the Prime badge. Sellers shipping FBM directly from Turkey to the US carry long delivery commitments; that is why a hybrid setup is common, with fast-turning products held in FBA and the long tail in FBM.

Example

A bulky product selling 3 units a month accrues monthly storage fees in FBA, while in FBM it only creates a shipping cost at the moment of sale.
FAQ

Common questions on this topic.

How is FBM (Fulfilled by Merchant) calculated?

FBM is more economical than FBA for bulky and heavy products, low-turnover SKUs and seasonal stock, because no long-term storage fee accrues. The price is starting at a disadvantage in ranking and in the Buy Box race without the Prime badge. Sellers shipping FBM directly from Turkey to the US carry long delivery commitments; that is why a hybrid setup is common, with fast-turning products held in FBA and the long tail in FBM.

Why does FBM (Fulfilled by Merchant) matter?

FBM is more economical than FBA for bulky and heavy products, low-turnover SKUs and seasonal stock, because no long-term storage fee accrues. The price is starting at a disadvantage in ranking and in the Buy Box race without the Prime badge. Sellers shipping FBM directly from Turkey to the US carry long delivery commit…

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