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How Do 3PLs Take Orders for Amazon FBA from Clients?

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How Do 3Pls Take Orders For Amazon Fba From Client

Third-Party Logistics (3PL) providers play a critical role in the success of many Amazon FBA (Fulfillment by Amazon) sellers. By managing the complicated logistics of order fulfillment, they help sellers focus on other essential aspects of their business, such as marketing and product development.

This article dives deep into the fulfillment process managed by 3PLs, the possibility of shipping directly from suppliers to Amazon FBA, and the intricacies involved, including costs and third-party shipping mechanisms. Moreover, we'll explore the best 3PLs for Amazon sellers and touch upon various related topics such as pricing, services, and warehouse options.

What is the Fulfillment Process of 3PL?

  1. Receiving Inventory: The process begins with the 3PL receiving inventory either from a supplier or directly from the client. The 3PL inspects and sorts the products to ensure they meet the required quality standards.
  2. Storing Inventory: After inspection, the products are stored in the 3PL's warehouse. The storage solution is optimized to ensure quick and efficient retrieval when needed.
  3. Order Processing: When an order is placed on Amazon, the 3PL quickly processes it. This involves picking the right items from the warehouse, packing them securely, and preparing the shipment labels.
  4. Shipping: The packaged products are shipped directly to the customer, depending on the chosen fulfillment method. Or to Amazon FBA warehouses in bulk for Prime fulfillment.
  5. Returns Management: The 3PL also handles returns, ensuring that returned items are inspected, restocked, or disposed of properly.

Can I Ship Directly from Supplier to Amazon FBA?

Yes, shipping directly from your supplier to Amazon FBA is not only possible but also a common practice. Here’s how it typically works:

  1. Coordinate with Your Supplier: Instruct your supplier to send the products directly to the Amazon FBA warehouse. However, you must ensure that the supplier follows Amazon's stringent packaging and labeling requirements.
  2. Create an FBA Shipment Plan: Log into your Amazon Seller Central account and create an FBA shipment plan to notify Amazon about the incoming inventory.
  3. Choose a Reliable 3PL: You can engage a 3PL to manage the quality control, labeling, and shipping process if your supplier cannot meet Amazon’s requirements.

Who Pays for Shipping to Warehouse Amazon FBA?

The cost of shipping products to Amazon’s FBA warehouse is borne by the seller. While some sellers might pass these costs onto the supplier in the form of a built-in product cost, generally, the seller incurs these charges directly. However, collaborating with a 3PL can help negotiate better shipping rates due to their established relationships with logistics providers.

How Does 3rd Party Shipping Work?

  1. Inventory Management: The 3PL manages your inventory by maintaining accurate stock levels and timely restocking.
  2. Shipment Planning: The 3PL creates shipment plans in Amazon Seller Central, ensuring that your products are dispatched efficiently.
  3. Labeling and Packaging: The 3PL handles Amazon’s specific labeling and packaging requirements, ensuring compliance to avoid any delays.
  4. Shipping Coordination: The 3PL schedules pick-ups with carriers and ensures that your products reach the Amazon FBA warehouse timely and intact.

Best 3PL for Amazon Sellers

  1. ShipBob: Offers transparent pricing and robust technology tailored for eCommerce businesses.
  2. Rakuten Super Logistics: Provides fast shipping times and integrated software solutions.
  3. Red Stag Fulfillment: Specializes in handling heavy and bulky items.
  4. Deliverr: Ensures 2-day shipping services that integrate seamlessly with Amazon’s requirements.

3PL Amazon FBA

Leveraging 3PL for Amazon FBA provides multiple advantages, such as reducing operational complexities, ensuring compliance with Amazon guidelines, and improving overall efficiency. A specialized 3PL possesses deep knowledge of Amazon’s requirements and processes, guaranteeing that your products are always in the right place, at the right time.

Amazon 3PL Partners

Amazon has collaborated with several prominent 3PL providers to integrate their services seamlessly with the FBA program:

  1. Flexe: Provides on-demand warehousing solutions.
  2. UPS Supply Chain Solutions: Offers a range of logistics services including transportation, warehousing, and freight.
  3. DHL Supply Chain: Known for robust international shipping and logistics services.
  4. Penske Logistics: Specializes in supply chain management and transportation solutions.

3PL Services in USA for Amazon

  1. Inventory Storage: Secure warehousing with climate control and security measures.
  2. Order Fulfillment: Pick, pack, and ship services for seamlessly fulfilling Amazon orders.
  3. Kitting and Assembly: Custom kitting and bundling solutions per order requests.
  4. Quality Control: Inspection services to maintain product quality standards.
  5. Returns Management: Efficient returns processing to handle customer refunds and restocking.

Amazon 3PL Pricing

The pricing structure for 3PL services for Amazon FBA can vary widely based on several factors, including:

  1. Storage Fees: Typically charged per cubic foot of stored items per month.
  2. Pick and Pack Fees: Charged per unit picked, packed, and prepared for shipment.
  3. Shipping Fees: Variable fees based on shipping service level and destination.
  4. Special Services Fees: Additional charges for labeling, kitting, inspections, or special projects.

Always request a detailed quote from potential 3PL providers to fully understand the pricing dynamics.

Amazon 3PL Services

  1. Custom Packaging: Bespoke packaging solutions to match product needs and branding guidelines.
  2. Label Compliance: Ensuring all items meet Amazon’s labeling requirements.
  3. Real-time Inventory Tracking: Technology solutions to monitor inventory levels in real-time.
  4. Rush Orders: Prioritized processing for urgent orders.
  5. FBA Preparation: Specific services to prepare products for Amazon FBA receiving.

Amazon 3PL Warehouse

Choosing the right 3PL warehouse is crucial as it affects your fulfillment speed and overall logistics efficiency. Look for the following features:

  1. Location: Proximity to major logistics hubs and Amazon FBA centers.
  2. Capacity: Adequate space to accommodate your inventory levels and future growth.
  3. Technology: Advanced systems for inventory tracking, order management, and reporting.
  4. Scalability: Ability to scale services based on seasonal demand and sales growth.

Is Amazon a 3PL or 4PL?

Amazon operates as a 3PL through its FBA service by handling the storage, packing, and shipping of products for sellers. However, due to its extensive involvement in the supply chain and integration with various logistics providers, some might argue Amazon also exhibits characteristics of a 4PL. Essentially, Amazon controls the logistics solution and acts as a middleman between the seller and the final delivery services.

How can Ordoro help with Amazon FBA order fulfillment and inventory management?

Ordoro stands out as a great inventory management software that integrates seamlessly with Amazon marketplace and Amazon FBA. Hundreds of Amazon merchants use Ordoro to route mutli-channel orders into FBA, and to keep track of stock levels in FBA and other warehouses on a single dashboard. Ordoro also integrates multiple sales channels, including Shopify and WooCommerce. For more information visit Ordoro’s website.