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Friday, March 13, 2020

Four rules to support Amazon merchant-fulfilled (MFN) sales in tough times

 

With current Amazon FBA limitations, take shipping into your own hands

Sellers are suddenly embracing Amazon merchant-fulfilled (MFN) orders to keep their businesses afloat. Sellers need to handle the details – the right way.

Thanks to Covid-19, and a massive influx of orders for basic household goods, Amazon has taken two major actions:

  1. Limited inbound FBA shipments of non-essential items through April 5 – It’s possible that date may be extended
  2. De-prioritized fulfillment of orders of non-essential items, with some promise dates for delivery now extending into May

  We suggest that Amazon sellers who are growing their MFN capabilities, or are new to MFN, follow these strategies to best manage their ability to fulfill orders:

  1. Limit purchase quantities. Customers are buying massive quantities of some items.
  2. Extend handling time. Instead of “usually ships now” or “ships in 24 hours,” change your handle time to 2-3 or 3-5 days. 
  3. Cancel orders sooner rather than later, if you must. When stock moves quickly, you may find it necessary to cancel orders. Rather than waiting days or a week to see if you get more stock on hand, we suggest that you cancel the order right away. Buyers may be less angry and less apt to complain or leave negative feedback.
  4. Hit pause, early and often. If you see your metrics are in danger of missing targets, put your store on vacation – immediately. Get your existing orders filled and cleaned up before you change back to an active status. If you ship Seller Fulfilled Prime (SFP), remember you have the ability to set a maximum number of SFP orders per day. Use it.

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