Is remote FBA worth it?
I’m in the process of activating Remote FBA for both Canada and Mexico and wanted to reach out to the community to hear about your experiences.
Has anyone gone through this process? If so, were there any hidden fees, issues, or problems that I should be aware of? From what I’ve read, it seems that there are no additional taxes, duties, or extra charges involved, but it almost feels too good to be true.
I’d really appreciate any insights you can share.
Thank you!
Is remote FBA worth it?
I’m in the process of activating Remote FBA for both Canada and Mexico and wanted to reach out to the community to hear about your experiences.
Has anyone gone through this process? If so, were there any hidden fees, issues, or problems that I should be aware of? From what I’ve read, it seems that there are no additional taxes, duties, or extra charges involved, but it almost feels too good to be true.
I’d really appreciate any insights you can share.
Thank you!
0 replies
Seller_NbYSGJ8Tehgbv
It does not cost you anything extra.
But numerous things will determine if its worth it or not.
Transit times vary. If your inventory is coming from the United States, a Canadian or Mexican customer may receive it in 5-7 business days while customers that order from the .COM website receive it in 2-3 business days.
This, typically, leads to sales that make no sense. So its not worth it to activate ads and invest.
I like to call this "fools gold". You think its good...which motivates you to spend way more and you actually end up spending more money trying to improve your brand.
I know of an Amazon Seller who hit 50K in December but only made 2K in profit. The rest of the year he lost, at least, 1K every single month. He will not stop advertising like crazy because he is chasing that month where he hit 50K. I cannot stop him.
I have seen this multiple times. Amazon can mirror the rush you get from gambling. Believing that Remote Fulfillment with FBA will give you a great advantage with selling poses a significant risk of giving you that "rush" that gambling gives and it might become addictive.
Be advised, the FBA fees in Canada and Mexico will be higher. You should raise your prices to account for this.
That is the only thing. There is virtually no financial risk in trying Remote FBA as long as you do not fall for the adrenaline trap.
Christine_Amazon
Hello @Seller_HiZjs35ZwAz3d
Christine here from Amazon Forums.
Thank You @Seller_NbYSGJ8Tehgbvfor your response.
Indeed, remote FBA is indeed a powerful tool, there are some important points sellers should be aware of:
Key Benefits:
- No additional storage fees
- No cross-border shipping fees
- Uses your existing US inventory
Important Considerations:
Currency Exchange
- You'll be paid in local currency (CAD/MXN)
- Exchange rates fluctuate and may impact profits
Customer Service Requirements
- Must provide customer support in local language
- Returns will be sent to your US facilities
Tips from Experienced Sellers:
- Start with your best-selling items
- Monitor performance metrics closely
- Keep sufficient US inventory
If you need specific details about eligibility or setup, please consult Seller Central or contact Seller Support directly.
Hope this information is helpful.
Have a great day!
Christine