8 FBA Prep Hacks Every Seller Should Know

Did you know that in 2023, U.S.-based sellers sold over 4.5 billion items on Amazon? Their sales grew 22% more than the previous year! That emphasizes just how crucial it is for sellers in the FBA program to follow Amazon’s policies closely so they can maximize their sales potential.

Compliance keeps your online store in good standing, but it also supports efficiency and monetary savings: FBA costs up to 70% less per unit compared to other premium U.S. fulfillment services, making it a highly competitive option for scaling your business while keeping expenses down.

In this blog, we’ll share our top hacks for making the most of Amazon FBA so you can save time, cut costs, and maximize efficiency. 

The basics of FBA prep

FBA is a service that lets sellers take advantage of Amazon’s extensive logistical network to handle key aspects of order fulfillment. It can also boost sales since FBA products qualify for Prime two-day shipping. Essentially, Amazon acts as the middleman that connects businesses with customers and manages much of the operational heavy lifting.

Sellers send their inventory to FBA fulfillment centers, and Amazon then manages:

• Storage: Safeguarding and organizing inventory
• Packing: Carefully packaging products for shipment
• Shipping: Delivering orders to customers efficiently
• Customer Service: Handling inquiries and issues on behalf of sellers
• Returns: Managing product returns and refunds

The program aims to simplify logistics for sellers so they can focus on scaling their business while benefiting from Amazon’s trusted infrastructure. However, sellers still have an important role to play: preparing their items in compliance with FBA’s prep policies.

Amazon has specific requirements for product prep that cover labeling, packaging, and safety standards. Failure to meet these guidelines can lead to rejected shipments, added fees, and delays. These consequences can then hurt your bottom line, customer satisfaction, and overall business reputation. 

By following Amazon’s policies, sellers avoid inconveniences and ensure a seamless experience for their buyers while maintaining safety and compliance standards.

8 Important areas to cover for your FBA prep 

FBA prep is a crucial element of your Amazon selling strategy, not just a series of boxes to check off on a to-do list. To ensure your eCommerce operations run smoothly, you need an efficient system that follows Amazon's guidelines and adapts to their constantly changing policies. 

Follow the below steps to stay on top of these updates, avoid costly errors, and ensure your products reach customers quickly and efficiently. 

1. Learn and follow Amazon’s rules

Signing up for FBA is quick and easy, but the real work begins after and entails more than simply selecting FBA as your fulfillment method.

Amazon has guidelines for labeling, packaging, and prep, and each rule exists to keep the marketplace’s massive system running smoothly. Some products have specific requirements, but the general rules for shipping your items to Amazon fulfillment centers include:

• Any fulfillment network stock keeping unit (FNSKU) you use must be unique and correspond to one product.
• Each unit must have an accessible exterior scannable barcode or label.
• Remove, cover, or render unscannable any existing barcodes on the outside of shipping boxes.

A single oversight can result in penalties, delays, or even rejection of your shipment. So, take the time to review and understand the specific requirements for your product categories.

2. Avoid inbound placement fees to save money

On March 1, 2024, Amazon introduced the FBA inbound placement service fee. Standard products average $0.27 per unit, while large, bulky items incur around $1.58 per unit. Fees may also vary depending on the item and if shipments are split across multiple regions.

However, sellers can circumvent these huge inbound placement fees by shipping in larger batches. Amazon also launched their Ships in Product Packaging (SIPP) program, which reduces your costs and environmental impact by minimizing the usage of packaging materials. 

3. Send inventory ahead of deadlines

Timing is everything, especially when it comes to big sales events like Prime Day, Black Friday, Cyber Monday, and the holiday rush. Sending your inventory into FBA early gives you peace of mind, knowing Amazon will handle the back-end processes. 

But if you wait too long, you risk incurring fees for having less than 28 days of stock, which costs you up to $0.89 per unit during peak season and $0.09 per cubic foot in non-peak periods.

So, keep ahead of the curve to avoid stockouts and delays. That, in turn, translates to more sales, better seller performance, and a solid buffer in case anything unexpected arises. 

4. Ensure accurate product labeling and barcoding

Incorrect labeling is one of the most common FBA prep mistakes. Luckily, it’s also one of the easiest to avoid.

You’ll need three types of barcodes for your products:

• Manufacturer barcodes: These track eligible inventory throughout the fulfillment process.
• Amazon barcodes: These are used for products that aren’t tracked with a manufacturer's barcode.
• Transparency authenticity code: This protects both IP owners and customers from counterfeit products.

Amazon’s scanners need clear, distinct, and uncovered barcodes to process items. If the labels are smudged, improperly placed, or missing entirely, your shipment could be delayed or rejected, causing unnecessary stress and lost sales.

To prevent this, use high-quality printing equipment, double-check label placements, and confirm that all labels meet Amazon’s clarity and placement standards. This attention to detail can save you from major headaches down the line.

5. Monitor updates on FBA requirements

Regularly checking for guideline changes will mitigate any inconvenient surprises. Amazon frequently updates their policies, which can directly affect your prep process. So, it's crucial to keep abreast of these alterations to avoid penalties or fines for non-compliance. 

Whether it's changes to packaging, labeling, barcodes, or some other requirement, following the guidelines strictly is key. Be proactive and adhere to Amazon's policies to keep your business running smoothly without unexpected setbacks. 

6. Invest in quality packaging

Items go through multiple handoffs before they reach their final destination. That’s why Amazon has particular packaging requirements depending on the items you sell. They provide guidelines for various types of products, including:

• Loose items
• Products sold as sets
• Boxed units
• Poly-bagged units
• Bubble-wrapped products

Additionally, Amazon has rules for overboxing, hanger removal, tape, mattress packaging, case-packed products, and more. These ensure your items are protected and maintain their quality during the journey to your customers. 

7. Evaluate your inventory and prep process

It's smart to conduct regular audits to uncover inefficiencies or areas for improvement in your process. These can also help identify non-compliance before you face penalties or, even worse, safety concerns.

By evaluating your prep process, you can make adjustments that ensure compliance and yield cost savings, greater efficiency, and a smoother fulfillment process overall.

8. Team up with FBA prep experts

If you want to focus on growing your business instead of getting bogged down in back-end elements, partnering with a logistics service could be just what you need. They not only bring a wealth of experience to the table but can also help you:

• Stay on top of updates
• Sort out any issues
• Streamline your entire FBA prep process

They can also cut down on costs using measures like batch shipments with other sellers. These experts take care of everything, including compliance, packaging, and shipping, so you can focus on what matters most: scaling your business. 

Although it’s an extra expense at first, the time and money you save by avoiding costly mistakes make up the cost and add value in the long run.

Wrapping up — Work smart, not hard, to navigate FBA prep like a pro 

Streamlining your FBA prep can slash costs, maintain your compliance with Amazon’s regulations, and ensure your products arrive in perfect condition. With the hacks discussed above, you’ll be able to create a more efficient process that simplifies your business operations.

At MyFBAPrep, we have the experience and know-how to refine and manage your FBA processes so you can focus on growing your business. From packaging and compliance to shipping, our experts help save time, avoid inefficiencies, and keep your Amazon operations running smoothly.

Want to learn more about our services? Book a call and chat with our team today!