There is every rationale to sell across many channels in the e-commerce market to attract the largest potential customer base. This necessitates having an online storefront and an active presence on marketplaces such as Amazon, eBay, and Walmart.
A streamlined order fulfillment procedure is essential when more sales channels are added. A less well-known service offered by the e-commerce behemoth is Multi-Channel Fulfillment, which has the potential to bring order to the mayhem of selling on several sales channels. You’ve probably heard of Fulfillment by Amazon (FBA), but this one may not get nearly as much attention.
Multi-Channel Fulfillment vs. Fulfillment by Amazon
What is Amazon MCF?
MCF offers order fulfillment services for e-commerce platforms other than Amazon.com, such as your website. You may tap into Amazon’s first-rate fulfillment network with MCF. Orders placed through sales channels other than Amazon are picked, packed, and shipped directly to customers by MCF once your inventory is in an Amazon fulfillment center. You will always have access to up-to-the-minute tracking information for your orders, no matter which carrier you use. Another option is to have the returned items delivered to an Amazon fulfilment centre to be restocked. With MCF, you can automate your order fulfilment process by connecting to your existing e-commerce systems, such as Shopify or BigCommerce, or by creating your connection using developer-friendly APIs.
What is Amazon FBA?
FBA fulfils orders placed on Amazon.com. FBA handles everything from order receipt and packaging to shipment and customer service and returns. The Amazon marketplace is the only one where FBA can be used, unlike MCF. This can be the perfect solution for your Amazon store. Selling on Amazon becomes a piece of cake when you use FBA. When a consumer buys something on Amazon.com, you ship it to one of their fulfilment centres, and then Amazon takes care of everything else, including packaging, shipping, customer service, and returns.
How Amazon Multi-Channel Fulfillment Benefits Amazon Sellers?
Before making the wrong choice for your company, you should determine whether Amazon MCF is a good fit.
Fast shipping: Amazon’s delivery speeds are the benchmark. MCF allows you to provide your customers with order fulfillment at the same rate as Amazon every day of the week. Amazon dispatches e-commerce orders within one business day (Priority), two business days (Expedited), or three to five business days (Standard), depending on the method selected.
Competitive pricing: Amazon MCF maintains straightforward and transparent pricing. Only fulfilment and storage are billed for. One fee applies for picking, packing, and shipping. Additionally, multi-unit transactions are eligible for discounts of up to 60% at MCF.
Amazon MCF boasts the most extensive fulfilment network globally, comprising 175 and 150 centres in the United States. Additionally, you can utilize the MCF app for BigCommerce stores, which streamlines the process of fulfilling orders from your BigCommerce store via MCF. This is true irrespective of your Amazon presence.
How Much Is Amazon Multi Channel Fulfillment Fees?
Let’s look at some instances to see how Amazon’s rates differ based on weight, size, and location. (Please note that the prices listed are for one unit order. Refer to the Amazon MCF amazon multi channel fulfillment fees for larger quantities.)
From $5.85 to $5.95 (size and weight dependent) for standard shipping (3-5 days). There is a $0.39 per pound surcharge for quantities over 2 pounds. Additionally, orders of more than one device qualify for additional discounts.
Quick shipment (two days): $7.90 to $8.35 (plus $0.39 per pound for quantities over 2 pounds).
Next-day priority shipping: $12.80 to $13.85 (plus $0.39 per pound for weights over 2 pounds).
The costs listed above refer to domestic shipping; the shipping costs vary by area. For orders totalling $13.55, the pick-and-pack service is always $0.60. However, the weight handling of Amazon Multi Channel Fulfillment fees per pound may differ in different regions.
How Does Amazon MCF Work?
MCF and FBA work in the same way. The main distinction is that MCF handles order fulfilment instead of you on Amazon.com. In the simplest terms imaginable, the following diagram shows how MCF operates.
It is easy to see how MCF differs from Amazon FBA from the above diagram; the main difference is that MCF handles order fulfilment for channels other than Amazon.
How do you create a fulfilment order with Amazon MCF?
The seller must notify Amazon using a web form once an order is placed through the other sales channel.
- Log in to access the Seller Account page’s “All Inventory” option.
- Go ahead and click on the “Create Fulfillment Order” button.
- Please upload all the necessary transaction details for Amazon to process your order. The address, method, option for shipment, and any other relevant facts must be included. Additionally, this data needs to be supplied by the vendor for them to use the beta customisable packing slip. (Discussed below)
- In addition to uploading flat files, this is also the place where sellers may submit bulk orders, which include multiple products per order.
How do you handle returns from Amazon Multi-Channel Fulfillment?
Although Amazon handles packages and shipping for a Multi-Channel Fulfillment order, the seller is responsible for handling returns. The seller must process these claims appropriately, and it is their choice to recognise returns, provided that all terms and conditions have been followed and fulfilled per Amazon standards and agreement.
How do you cancel Amazon Multi-Channel Fulfillment orders?
Cancellation of a Multi-Channel Fulfillment order is only possible within the first fifteen minutes following the order’s placement, when the order is still in the planning stages. After this point, Amazon can refuse to cancel the order.
Quick step-by-step guide on cancelling an MCF order:
1. Log into the Seller Account and go to the “Manage Orders” section. This is where the relevant order is located for the seller’s reference.
2. A link to the Multi-Channel Fulfillment Order details can be accessed by clicking on the Order ID from that page.
3. You can cancel your order by clicking the “Cancel This Order” button.
A different procedure applies when an item is out of stock, and an order needs to be cancelled. The status will be marked as Unfulfillable if the item is out of stock and cannot be fulfilled. Until the item is restocked, the order will remain unchanged. Then, a new order can be placed and fulfilled as needed.
How do you track Amazon MCF orders via Seller Central?
Your Seller Central account makes it easy to track your MCF orders. Select “Manage Orders” from the “Order” menu on the main page. Next, press the Enter key after entering the order ID you wish to monitor. The page below will be opened. All of the order’s shipping details will be shown.
You will receive a tracking number once your order is sent. In essence, Swiship owns this tracking number. The order’s last-mile route can now be monitored using Swiship.
Customers may easily track their orders using this link. When you create an MCF order and include the customers’ email addresses, Amazon will email them confirming the shipment and provide them with the shipment ID and a link to the tracking website.
Why Is MCF Better For Managing Sales Across Channels?
The following are many reasons why any online business with significant aspirations should seriously consider Amazon’s multi-channel fulfilment.
Unlimited Growth Opportunities:
Amazon’s logistic and distribution infrastructure stays unmatched compared to other third-party retail supply chains. No one can even come close to matching Amazon regarding last-mile order fulfilment. No limits exist to how much you may expand your business with Amazon MCF.
Better Inventory Management:
With Amazon MCF, managing your inventory is a breeze, regardless of how many sales channels or locations you need to support. Your inventory, whether on eBay or in your Shopify store, will be organised, packed, and sent to clients throughout the United States (and the other nine countries where Amazon MCF is accessible) in due course.
Zero Tolerance for Unfair Business Practices:
It would have been reasonable for Amazon, as an e-commerce platform, to restrict MCF services for its direct competitors. On the other hand, Amazon has been rather astute in not blocking any marketplace that offers its MCF services. Amazon’s multi-channel fulfilment feature allows you to sell on whatever marketplace you choose, whether it’s Shopify, eBay, or Walmart.
Competitively Priced than Other 3PL Options:
Many additional 3PLs provide services to companies that are similar to MCFs. Regarding pricing and the size of the fulfilment network, they usually need help to hold their own against Amazon. You can locate a reliable 3PL for a specific area or state. However, finding a third-party logistics provider (TPL) that offers Amazon-level pricing across the United States is an uphill battle.
Final Thoughts:
To win the Amazon Buy Box, it is crucial to improve shipping times continuously. This will lead to more incredible feedback from customers.
You can take advantage of happy customers by utilizing feedback tools to seek positive remarks. You may boost your seller KPIs, reputation, and sales with the help of Prime Retail Solution’s experts dedicated to your brand’s growth on all e-commerce platforms.
To discuss your concerns about your e-commerce logistics and distribution set-up, contact us today or book a FREE consultation with one of our professionals.
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