What’s New on Amazon: Multichannel Fulfilment

6 January, 2019

Marketplaces By Alana Fennessy

Over the last year, Amazon has consistently been rolling out new features to improve the marketplace experience for both retailers and consumers alike. One of the latest developments is Multichannel Fulfilment, or MCF.

We know that brands and retailers are just getting their head around Fulfilment by Amazon, but MCF and FBA are not the same thing. FBA is when Amazon handles sales on the marketplace by taking care of picking, packing, shipping, returns and customer care on behalf of the seller. MCF takes things one step further. This is another feature which expands fulfilment capabilities for sales made on other e-commerce channels, not just Amazon!

Amazon’s Multi-Channel Fulfilment helps you grow your business by giving you access to Amazon’s world-class fulfilment network, operational expertise, and trusted shipping options for all of your orders, from wherever they’re placed. It’s quite incredible when you think about it. It means that wherever your sales are coming from, your own website, a third party website, you can tap into Amazon’s warehousing and logistics services while you focus on other aspects of your business. It’s a brilliant strategy for improving the customer experience and strategically simplifying operations.

If you already use FBA to sell on Amazon, your existing inventory will serve both Amazon customers and customers from your other sales channels. But you do not have to use FBA to be able to use MCF.

What are the Pros?

  • Fast delivery. You can tap into the fulfilment processes that power Amazon Prime and offer fast delivery options.
  • Simplifying operations.
  • Scalability. You can grow your business without increasing your fixed costs

What are the Cons?

Not every solution is right for every business. Think about whether your business model is right for MCF. Products with low volume or low margins, or items which can incur higher storage fees, may not be the right fit for MCF. Additionally, not every item is eligible for MCF (for example restrictions related to dangerous goods or expiration dates).

It’s no secret that Amazon is not simply a marketplace, its power lies in its logistics capabilities. MCF is another was to leverage this.

To find out more and whether MCF is for you, please contact us today.

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