Amazon recently announced that it’s shutting down Amazon Today, a service that provides same-day delivery from physical stores, by December 2. This means no more speedy delivery from brick-and-mortar stores from retailers who enrolled in the program.
But, that’s not the only thing that’s changing in the holiday logistics space…
- Challenges and solutions to holiday logistics woes 💡
- Your holiday support system
- Amazon Wholesale FBA 🥧
BIG IDEA
Total Retail has both good and bad news for you this holiday season:
🔴 The bad news: This year’s holiday season is expected to bring its own unique set of challenges.
- Shorter shopping window and tighter timelines. Thanksgiving lands late this year, which means fewer days to meet the holiday rush. With Amazon setting October deadlines for Black Friday inventory, time is ticking to get your products on their way.
- Rising freight costs and shipping hurdles. Freight costs have crept up again, impacted by geopolitical issues. 🚨
- Consumers are careful but still shopping. Inflation has eased, but customers remain cautious. A modest retail growth is expected this season, with only a 2% bump in holiday sales.
🟢 The good news: You still have time to make those last-minute tweaks, particularly to your logistics strategy, to keep everything running like clockwork!
So, how should you polish your logistics strategy?
- Sharpen your inventory management game. Get your products where they need to be—and fast. Work with third-party logistics (3PL) partners who can adapt to changing demands and ensure stock lands exactly where it’s needed. 🚚
- Cut down on shipping costs by partnering with logistics experts who can shop for real-time rates. And don’t be afraid to diversify your carriers and negotiate better deals.
- Sync ads and supply chain. Avoid pushing out-of-stock items by connecting your advertising efforts directly with your supply chain. The right partner can streamline this connection, helping avoid stockouts and surprise costs during high-traffic periods.
🥂 Proactiveness = Profitability
This peak season, every move counts. A few strategic moves now can mean the difference between glowing reviews and disappointed customers.
To avoid being caught off guard, stay proactive, adapt quickly, and claim this as your best season yet!
TOGETHER WITH SELLER ALLIANCE
The only support system you need this holiday
Selling on Amazon isn’t easy. Whether you’re just starting out or have years of experience, the challenges are real and it’s easy to feel stuck.
But you don’t have to go it alone. You’ve got the drive—now it’s time to join a community that will fuel your success!
This is where Seller Alliance steps in. This community, powered by industry experts who've built 8-figure brands, is designed to help you grow and succeed.
👫 What’s in it for you?
- Access FREE, valuable resources, tools, and templates from Seller Interactive.
- Receive expert advice and personalized coaching from seasoned professionals.
- Take advantage of courses and modules to learn skills that boost sales.
- Get announcements, information, and insights to stay ahead of market trends.
🫂 Selling on Amazon is challenging, but it could be an enjoyable, profitable journey. The key is to surround yourself with a community of sellers who’ve been where you are and who are ready to help you thrive.
BITES OF THE WEEK
- Timely Notice: You can now receive email notifications for your Partnered Carrier Program shipments.
- Powered by AI: Here’s how leading retailers leverage AI to improve their supply chain's efficiency and performance.
- Additional Expansion: Did you know you can sell to more international customers with the expanded FBA Export program?
- Free Support: You still have time to join a FREE and EXCLUSIVE Amazon Seller community!
SELLER REFRESHER
How to determine potential profit margins in Amazon Wholesale FBA
Over 60% of sales on Amazon come from independent sellers. Now, if you're not getting a slice of that pie, you might be missing out on a golden opportunity.
So, Forbes dived into Amazon Wholesale FBA and shared how you can tap into it.
🚚 What's Amazon Wholesale FBA?
Amazon Wholesale FBA is when you purchase products in bulk from manufacturers at wholesale prices and then resell them on the platform. When a customer clicks that “Buy now” button, Amazon ships out their orders and you pocket the profit.
Now, let’s talk about the dollars and cents. Here’s how you can break down potential profit margins:
- Buying in bulk: When you buy in larger quantities, you score better prices per unit. You can save 10%–20% on costs, and those savings add up!
- Distribution costs matter: You can’t just throw products in a box and call it a day. You'll need to hire a 3PL partner to prepare your products for you. 📦
- Know your FBA fees: Amazon isn’t delivering for free. Those 1–2 day shipping options come at a cost, and it’s your responsibility as sellers to cover those fees. But, this speedy delivery is what draws customers in, so think of it as a worthwhile investment.
- Price it right: Your selling price will ultimately determine your profit margins. If you’ve optimized your buying and preparation processes, you’ll be able to set competitive prices while still making a healthy profit.
The best part about Amazon Wholesale FBA?
With the right approach, most sellers see margins land in the 10%–20% range. Plus, you won’t need to pour tons of money into advertising because you’ll be selling products that are already in demand. 💰
What do you think? Is it worth trying? Let us know your thoughts by replying to this email!
