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Amazon and 3PL: How to Avoid Amazon’s Fulfillment Fees and Boost Efficiency

 

Amazon’s Fulfillment by Amazon (FBA) can be an attractive option for e-commerce businesses, but its associated fees—ranging from fulfillment and storage to referral fees—can quickly eat into profits. Partnering with a third-party logistics (3PL) provider like Carter Distribution offers an alternative that helps businesses avoid these costly fees while maintaining high levels of efficiency.

Amazon’s storage fees, especially during peak seasons, can be particularly high, increasing up to $2.40 per cubic foot. By contrast, Carter Distribution provides stable and scalable warehousing solutions, helping businesses save up to 30-40% on storage costs. Additionally, Carter Distribution’s flexible fulfillment fees offer more predictable pricing compared to Amazon’s per-unit fulfillment structure.

The speed of fulfillment is crucial, especially during peak times. Amazon’s lead time for receiving inventory can be as long as 7 days during peak seasons, while Carter Distribution offers faster processing and shipping options. This can significantly improve customer satisfaction and reduce lost sales due to slow shipping times.

Moreover, businesses that sell on multiple platforms such as Shopify, Walmart, or eBay benefit from Carter Distribution’s ability to centralize and streamline inventory management across channels. With seamless integration across platforms, businesses can reduce overselling and stockouts, further boosting operational efficiency.

Partnering with a 3PL like Carter Distribution, businesses can avoid the rising costs of Amazon FBA while enjoying faster, more reliable fulfillment, leading to improved profit margins and customer satisfaction.