Overview

Amazon merchants can list items they store and ship themselves by using the Fulfilled by Merchant (FBM) model. The workflow requires creating a product record, setting up shipping rules, and manually confirming each order, which gives sellers tighter control over inventory costs and delivery experience. Mastering each step is essential for maintaining healthy performance metrics and protecting profit margins.

Key Points

• No Amazon storage or fulfillment fees — Sellers are charged only the referral fee, which can translate into a savings of roughly 15 % compared to the typical FBA storage charge for a 12‑inch widget.
• Rapid listing activation — The “Add a Product” wizard can publish a new FBM SKU in as little as ten minutes when every mandatory field is completed.
• Tailored shipping rates — A flat‑rate charge of $4.99 for domestic parcels weighing under 2 lb can be configured, allowing merchants to match or undercut Amazon’s default pricing.
• Immediate order visibility — FBM purchases appear in the Seller Central “Orders” tab within minutes, giving high‑volume sellers the ability to begin processing the same day.
• Performance sensitivity — Late‑shipment percentages that climb above 5 % trigger account alerts; maintaining a 98 % on‑time dispatch score is therefore critical for continued eligibility.
• Bulk inventory management — Using CSV uploads, sellers can adjust stock levels for hundreds of SKUs in a single operation, reducing the risk of overselling.

How FBM Offers Work

1. Create the product record — In Seller Central, navigate to Inventory → Add a Product, choose “I’m adding a product not sold on Amazon,” and fill in the title, brand, UPC, and other required attributes. For instance, a vendor adding a 32‑oz stainless‑steel water bottle would enter its exact dimensions and weight (0.75 lb) so that Amazon can calculate accurate shipping costs.
2. Choose FBM as the fulfillment method — On the “Offer” tab, select “I will ship this item myself” and indicate the condition (new, used, refurbished, etc.). This selection informs Amazon that the merchant, not the marketplace, will handle packing and delivery.