Among the biggest names in online shopping, Amazon is highly preferred and trusted. Whether it is groceries, household goods, electronics, books, or clothing, Amazon has successfully secured the position of one of the most trusted online shopping websites worldwide. Even from a seller’s point of view, Amazon is a hassle-free platform to get exposure to a large market. Add to that the benefits of secure payments and stress-free shipping.
Selling on Amazon with an inventory is the primary method followed by many merchants. It requires you to first acquaint yourself with the product restrictions and fees. After which, you can proceed to register for a seller account on Amazon. Once the account is registered, you can start listing your products with their details and descriptions. The following important task is to manage the inventory accurately.
However, you don’t have to worry if you do not have the resources to follow this method. Because Amazon lets you sell without an inventory too! Let’s find out how:
Ways To Sell Without Inventory On Amazon
There are a few options to sell without an inventory. They are:
Dropshipping is a fulfillment strategy in which a seller maintains no inventory. When a customer places an order, they notify the supplier, who sends the product directly to the customer. It is a good option because it doesn’t involve a big upfront investment, a business strategy that allows anyone to make a profit while spending less money. Dropshipping can be a terrific way to start gaining some of the capital immediately.
The dropshipping model functions as follows:
- You choose a supplier and a product.
- You create a listing for an item with a margin built in and promote it.
- Your customers receive the item straight from your supplier.
2. Fulfilled by Merchant (FBM) and Fulfilled by Amazon (FBA)
Fulfilled by Merchant (FBM) on Amazon refers to the merchant selling a product and using Amazon to interact with the customer. In a way, this is a business-to-customer (B2C) business model without the middleman. FBM offers advantages like lower prices and better control over shipping.
On the other hand, Amazon also provides Fulfilled by Amazon (FBA) services to businesses. If you use FBA, you can sell on Amazon without having an inventory. Amazon takes care of the shipping, returns, packing, and processing of orders, and provides customer support. In return, Amazon deducts a monthly fee and a percentage of each sale.
It is almost essential to master the tactic of selling on Amazon without inventory if you lack facilities for stocking up goods. Not having an inventory, after all, is not completely a disadvantage. On the contrary, it is a smarter method of doing business on Amazon. It saves you warehouse space and prevents a big financial investment. While selling on Amazon through dropshipping, FBA, or FBM, product photos and videos play a critical role. They can make or break your sales. You can use the Blend App to create high-quality, platform-specific product photos to ensure high conversion, through automatic background removal and hundreds of customizable templates. You can install the app from Google Play Store and Apple’s App Store.