Amazon FBA vs FBM: Which Fulfillment Model is Best for Your Business?
When starting or scaling an Amazon business, one of the most important decisions you’ll make is choosing between FBA (Fulfillment by Amazon) and FBM (Fulfillment by Merchant). Each model has its advantages and disadvantages depending on your business size, inventory type, and growth plans.
At Infobeam Solution, we help sellers make smart, profit-focused decisions. Here’s a complete comparison between Amazon FBA and FBM to help you choose the best strategy.
What is Amazon FBA?
Fulfillment by Amazon (FBA) allows sellers to store their products in Amazon’s warehouses. Amazon handles storage, packaging, shipping, customer service, and even returns.
✅ Pros of FBA:
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Prime Eligibility: Your products become eligible for Amazon Prime, increasing visibility and conversions.
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Fast Shipping: Amazon handles speedy and reliable delivery.
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Customer Support & Returns: Amazon takes care of all post-sale services.
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Scalability: Ideal for high-volume sellers looking to automate logistics.
❌ Cons of FBA:
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Storage & Fulfillment Fees: Amazon charges for storing and fulfilling orders.
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Less Control Over Inventory: You rely on Amazon’s policies and operations.
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Long-Term Storage Fees: Storing slow-moving products can lead to high costs.
What is Amazon FBM?
Fulfillment by Merchant (FBM) means you handle the storage, packing, and shipping of your products. It’s ideal for sellers who want more control over their operations.
✅ Pros of FBM:
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Lower Fees: No FBA or storage fees.
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Full Inventory Control: Manage your stock, packaging, and shipping directly.
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Better Margins for Niche Products: Especially if you ship from your own warehouse.
❌ Cons of FBM:
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No Prime Badge: Lower chances of winning the Buy Box.
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Shipping Responsibility: You must ensure timely delivery and customer service.
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Limited Scalability: More manual work as your order volume grows.
Amazon FBA vs FBM: Quick Comparison Table
| Feature | Amazon FBA | Amazon FBM |
|---|---|---|
| Shipping & Handling | Amazon | Seller |
| Storage | Amazon Warehouse | Seller Warehouse |
| Prime Eligibility | Yes | No (unless enrolled in Seller-Fulfilled Prime) |
| Fees | Higher (FBA + storage fees) | Lower (no FBA fees) |
| Scalability | High | Moderate |
| Control Over Branding | Limited | Full Control |
| Customer Service | Handled by Amazon | Handled by Seller |
Which Fulfillment Model is Right for You?
Here’s how to decide:
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Choose FBA if:
You’re scaling fast, want Prime eligibility, or prefer to outsource logistics. -
Choose FBM if:
You have a niche product, lower order volume, or want more control over shipping and branding.
How Infobeam Solution Can Help
At Infobeam Solution, we offer expert Amazon Account Management Services for both FBA and FBM sellers. Our services include:
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Product Listing Optimization
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Inventory Management
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Shipping Coordination (FBM)
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FBA Shipment Planning
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Customer Support Handling
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Advertising & Promotions
Whether you want to scale your FBA business or manage your FBM operations efficiently, we provide customized solutions to grow your Amazon store profitably.
