Amazon is not an unfamiliar word for the world now. Everyone knows the online market giant, and a significant group of sellers are already the prime sellers in the marketplace.
Furthermore, all sellers are now moving to the online business as the niche is making a whole lot of money. The extreme comfort and luxury offered by the online marketplaces to the customers favor the change
But the survival in amazon is all about competition. We have to fight for our position in the top ranki9ng as well as with the other competitors.
If you have a proven master strategy, then amazon is always a perfect marketplace to make money. Amazon prime selling is prevalent now, and all sellers crave to sell in prime.
Seller fulfilled prime, or SFP and FBA (Fulfillment By Amazon), are two programs from amazon that help you to showcase your products in prime positions.
Even though both plans are introduced for the seller’s comfort, both are entirely distinct.
Seller Fulfilled Prime (SFP)
Launched in the year 2015, SFP is a prime fulfillment plan from Amazon for helping the high volume sellers.
Bounded with strict shipping regulations from the online marketplace, the non-prime sellers have to ensure the shipment of goods to the customers in two days under the Prime label.
In addition to shipment, the seller has to maintain sales and targets without affecting the business status.
On the contrary, the sellers have to meet many criteria to sell in the prime plan. Once you are selected, you can see an increase in your product exposure, and simultaneously, you can hope good sales under the prime badge.
Requirements
To maintain quality services amazon has restricted the seller number by high eligibility criteria. The sellers have to qualify in the trial period as well as the premium shipping services to be a competent seller in the plan.
- Quality shipping
Consistent premium shipping of products ensures a seller’s position in prime status. Also, it also increases the reliability of the customers to repeat their purchases.
- Register for SFP
For registering the SFP plan, you have to enroll with the seller central. After that, you have to assign the products in the shipping template Prime trial for performance check.
- Trial period
The maximum trial period for the plan is three months. To be a good performer, the seller has to maintain 200 orders target in the trial period.
- Preserve SFP status
To maintain the SFP status, the seller has to provide a reliable service to the customers both in the trial period and after that.
SFP advantages and disadvantages
SFP safeguards the sellers who are doing their shipping services solely.
Furthermore, Amazon claims that the prime eligible products through SFP made an uplift of 50% on an average in the market recently
As with any other plan, SFP also has its pros and cons.
Advantages of SFP
- Increase in sales and profit
On successful completion of the trial period, the seller gets the prime badge which can increase the sales and profit for the seller in the future
This badge will be visible on all the products listed by the seller in the prime shelves.
Besides, the badge ensures customers with products shipped from credible and reliable manufacturers or sellers.
- Not pricey compared to FBA
Through FBA, amazon charges high fees for services like storage, handling, and shipping. But on the other hand, in SFP, the seller will be exempted from the additional costs and qualified for prime status.
- Share the Amazon customer care support service
Amazon support can initiate hassle-free selling by the seller by tracking the orders, product returns, and requests for refunds on their behalf.
The skilled personnel from amazon will be available round the clock for the customer service support to increase the reliability of customers on the products.
- Better access and options than FBA
By receiving more access, you can control product packages, straight visibility to the warehouses and don’t have to stick more amazon logos on the product.
Disadvantages of SFP
- Strict eligibility and maintenance
As SFP has many advantages, it has its drawbacks too. Providing customers with quality services and products are a necessity in the market. But maintaining the same consistently will be a hardship for the sellers.
If sellers are not consistent, it will take no time for our prime badge to be removed.
- Costly shipping charges
Getting to a prime service is always a great responsibility. So to be more perfect we have to throw some money.
To deliver the products on time, we have to plan a precise strategy to cut down the cost. Otherwise, we will have to pay a staggering amount for maintaining status.
- Increase in the number of orders can turn messy
Getting full access over the fulfilling process is a great thing. But If the number of requests increases our efficiency in maintaining the status will be questioned.
We will feel messy as all the procedures go through our hands.
Purpose of launching SFP
On launching SFP, amazon expects to free up its inventory or warehouses and safeguard the quality shipping standards. Through this service, amazon expects significant growth in its marketing.
By giving more access to the sellers, they can come up with compelling products and prices that can increase sales and profits.
As sellers concern, the SFP and FBA are always distinct, and it is their concern to select the precise one.
Final Thoughts
Amazon always comes up with grand plans to meet its customer expectations. Even though the requirements and eligibility criteria are a bit tough, the online market giant wants to maintain its prime position in the market.
The two plans FBA and SFP, are both prime plans but a little confusing. To select the right one that suits your efficiency and workspace can make you successful as a seller.
