What are the advantages and disadvantages of FBA transit temporary storage?

FBA (Fulfillment by Amazon) is a global logistics solution provided by Amazon, which aims to help sellers send goods to customers more conveniently.

Among them, FBA transit temporary storage is a part of FBA service, which refers to storing the goods purchased from suppliers in the transit warehouse first, waiting for unified packaging and sending to various countries to realize global distribution.

Compared with other logistics modes, what are the advantages and disadvantages of FBA transit temporary storage?

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Comparison between FBA transit temporary storage and direct delivery

After purchasing the goods, the seller can choose to ship directly or store the goods in the FBA transit warehouse.Dropshipping is when the item is sent directly from the supplier to the customer after the order is confirmed.The advantage of this method is that there is no need for a transit warehouse, which saves storage and operation costs.The disadvantage is that it is not conducive to unified delivery and inventory coordination, especially when there are many orders and wide inventory distribution, it is difficult to achieve effective logistics management.

The FBA transit temporary storage can solve these problems well.Since purchased goods are stored in a unified transit warehouse, sellers can more accurately count inventory and plan shipments, reduce inventory backlogs, avoid shortages, and improve the accuracy and speed of shipments.

Comparison between FBA transit temporary storage and self-owned warehouse

For some larger sellers, they may choose to build their own warehouses to store goods.Compared with FBA transit temporary storage, the advantage of self-owned warehouse is that it can better control the management of inventory and logistics, and can flexibly adjust delivery time, control delivery speed, and improve logistics efficiency.At the same time, self-owned warehouses are also more convenient for sellers to carry out brand promotion and achieve brand building.

However, self-built warehouses also have some problems.First of all, self-owned warehouses need to bear a series of expenses such as leasing, decoration, and personnel management.Secondly, self-built warehouses require sellers to be responsible for logistics management, which requires more time and effort.FBA temporary storage can avoid these problems. Amazon is responsible for warehouse and logistics management, and sellers only need to be responsible for the purchase and delivery of goods, which greatly reduces operating costs and management difficulties.

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Comparison between FBA transit temporary storage and third-party logistics

Advantages of FBA Transit Temporary Storage

It can save logistics costs. The logistics cost of FBA transit and temporary storage is relatively low, because the logistics company only needs to be responsible for transporting the goods from China to the warehouse of the destination country, and does not need to carry out the last mile delivery, so it is relatively cheap.

Improve logistics speed FBA transit temporary storage can effectively improve logistics speed, because it uses the resources of Amazon's overseas warehouses to achieve fast storage and fast delivery.At the same time, Amazon's logistics system is also very complete, which can ensure the safety and on-time delivery of goods.

Can provide better after-sales service Since FBA transit temporary storage is Amazon's self-operated logistics, it can provide better after-sales service, such as returns and exchanges, and Amazon's customer service team is very professional and can provide customers with timely and effective after-sales support .

Advantages of third-party logistics

Logistics services can be customized flexibly.Third-party logistics can provide customized logistics services according to the specific needs of customers, including warehousing, packaging, distribution and other links.Customers can choose the appropriate logistics service according to their actual situation and needs, so as to improve operational efficiency and reduce costs.

A wider logistics network can be provided.Third-party logistics usually have a wider logistics network that can cover more countries and regions, thereby expanding sales channels.At the same time, third-party logistics can also provide more logistics options, such as air, sea, land, etc., to meet the different needs of different customers.

Can provide better price competitiveness.Since third-party logistics companies usually have more customers, they can obtain better logistics prices and thus provide more competitive logistics services.At the same time, since third-party logistics companies usually have richer logistics experience and technology, they can provide better logistics services.

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Summarize

On the whole, FBA transit temporary storage and third-party logistics have their own advantages and disadvantages. Which logistics mode to choose specifically needs to be comprehensively compared according to your actual situation and needs.


Release time: 2023-05-29

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