"FBA (Fulfillment by Amazon) is a globalised logistics solution provided by Amazon, which aims to help sellers send goods to customers more conveniently.
Among them, FBA transit storage is a part of FBA service, which refers to storing goods purchased from suppliers in transit warehouses first, waiting for unified packaging and sending to various countries to achieve global distribution.
FBA transit storage compared with other logistics modes, what are the advantages and disadvantages?
Comparison between FBA transit storage and direct shipment
After purchasing the goods, the seller can choose to ship the goods directly or store them in the FBA transshipment warehouse. Direct shipment means that the goods are sent directly from the supplier to the customer after the order is confirmed. The advantage of this method is that it does not require a transit warehouse, saving the cost of storage, operation and other costs. The disadvantage is that it is not conducive to unified delivery, inventory coordination, especially when more orders, inventory distribution is more extensive, it is difficult to achieve effective logistics management.
The FBA transit temporary storage can be a good solution to these problems. As the purchased goods are stored in a unified transit warehouse, sellers can more accurately count inventory, plan shipments, reduce inventory backlog, avoid shortages, and improve the accuracy and speed of shipments.
Comparison between FBA transit storage and own warehouse
For some larger sellers, they may choose to build their own warehouse to store goods. Compared with FBA transit storage, the advantage of owning a warehouse is that it can better control the management of inventory, logistics and other aspects, and can flexibly adjust the delivery time, control the speed of delivery, and improve the efficiency of logistics. At the same time, the own warehouse is also more convenient for sellers to promote their brands and achieve brand building.
However, there are some problems with self-built warehouses. First of all, own warehouse need to bear a series of expenses such as leasing, decoration, personnel management. Secondly, self-built warehouses need to sellers responsible for their own logistics management, need to invest more time and energy. FBA transit storage can avoid these problems, Amazon is responsible for warehouse and logistics management, the seller only needs to be responsible for the procurement and delivery of goods, which greatly reduces the operating costs and management difficulties.
Comparison between FBA transit storage and third-party logistics
Advantages of FBA transit storage
Can save logistics costs FBA transshipment storage logistics costs are relatively low, because the logistics company is only responsible for transporting goods from China to the warehouse in the destination country, without the need to carry out the last kilometre delivery, so it is relatively cheap.
Improve the speed of logistics FBA transit storage can effectively improve the speed of logistics, because it makes use of the resources of Amazon's overseas warehouses, which can achieve fast warehousing and fast delivery. At the same time, Amazon's logistics system is also very perfect, which can ensure the safety and on-time delivery of goods.
Can provide better after-sales service Because FBA transit staging is Amazon's self-owned logistics, it can provide better after-sales service, such as return and exchange, etc. Moreover, Amazon's customer service team is very professional, which can provide timely and effective after-sales support for customers.
Advantages of third-party logistics
Flexibility to customise logistics services. Third-party logistics can provide customised logistics services according to the specific needs of customers, including warehousing, packaging, distribution and other links. Customers can choose appropriate logistics services according to their actual situation and needs, thus improving operational efficiency and reducing costs.
Can provide a wider logistics network. Third-party logistics usually has a wider logistics network and can cover more countries and regions, thus expanding sales channels. Meanwhile, 3PLs can also provide more logistics options, such as air, sea and land transport, to meet the different needs of different customers.
It can provide better price competitiveness. Since 3PLs usually have more customers, they can obtain better logistics prices and thus provide more competitive logistics services. At the same time, since 3PLs usually have richer logistics experience and technology, they can provide better logistics services.
Summary
In summary, FBA transit storage and third-party logistics have their own advantages and disadvantages, the specific choice of which logistics model, you need to make a comprehensive comparison based on their actual situation and needs.
