Amazon Prime has revolutionized online shopping by setting high expectations for delivery speed, affordability, and customer service. With over 100 million Prime subscribers globally, it’s essential for sellers to meet these expectations to stay competitive. In the past, achieving Prime status was possible only through Fulfillment by Amazon (FBA). However, the Seller Fulfilled Prime (SFP) program now allows sellers to ship Prime orders directly from their own warehouses.

1. What is Seller Fulfilled Prime?

Seller Fulfilled Prime (SFP) is a program that lets third-party sellers ship products directly to customers while still displaying the Prime badge, which can increase sales by making listings more attractive to Prime members. Sellers must meet Amazon’s rigorous shipping requirements to maintain the Prime badge, which promises delivery within two days.

2. How to Enroll in Seller Fulfilled Prime

To qualify for Amazon Seller Fulfilled Prime, businesses must register and complete a trial period. Eligibility requires having an Amazon Professional Seller account and a warehouse to manage inventory and shipping.

Sellers must demonstrate their ability to meet the stringent requirements set by Amazon to successfully complete the trial period. Achieving these standards allows the Prime badge to be displayed on their listings, thereby enhancing product visibility to Amazon shoppers.

3. Seller Fulfilled Prime Enrollment Process Steps

a) Register

Begin by registering for the SFP program on the Seller Fulfilled Prime website. If registrations are closed, you can join the waitlist.

b) Enable Prime shipping

Enable Prime shipping in the Prime shipping template found in Configure Shipping Settings in Seller Central. Select specific regions for Prime delivery.

c) Enroll Items

Assign SKUs to the Prime shipping template. Orders with these SKUs will count towards your performance during the trial period.

d) Fulfill Prime Trial Orders

Identify Prime trial orders by the Prime badge in Seller Central. Follow these steps to fulfill them:

• Organize and create the shipment.
• Print and attach shipping labels.
• Send products out for delivery.

4. How to Qualify for SFP

During the Amazon Seller Fulfilled Prime trial period, sellers must meet the following Prime performance requirements.

a) Offer Premium Shipping options

SFP sellers must use Amazon’s Premium Shipping to provide fast, guaranteed shipping options and order tracking.

b) Ship Over 99% of Orders on Time

Maintain an on-time shipment rate of at least 99% for Prime trial orders, ensuring they are shipped the same day the order is received.

c) Maintain Low Cancellation Rate

Keep the cancellation rate for Prime trial orders under 0.5%.

d) Use Amazon Buy Shipping Services

Utilize Amazon’s Buy Shipping for at least 98.5% of orders to ensure reliable delivery through trusted shipping partners.

e) Deliver with Amazon’s Supported Carriers

Work with Amazon’s predetermined carriers, which vary by country.

f) Follow Amazon Returns Policy

Match or exceed Amazon’s return policies to ensure a consistent customer experience.

g) Handle Customer Service Through Amazon

Allow Amazon to handle all customer service inquiries.

5. Seller Fulfilled Prime Shipping Rates

Participating in SFP can incur high shipping fees based on order volume, package sizes, and customer location. Sellers must offer free standard shipping on all Prime orders. Although SFP can be more cost-effective than FBA, both require paying a referral fee, typically averaging 15% of the product’s selling price.

6. Conclusion

Amazon has set high standards for the e-commerce industry, making it challenging to stand out. SFP offers a valuable opportunity for sellers to display the Prime badge and meet these standards. While it has its advantages and disadvantages, the decision to join SFP depends on your products and how you want to manage your operations.

7. Outsourcing E-Commerce Fulfillment

Running an online business is demanding, and outsourcing fulfillment can ensure your customers receive top-notch service. ShipSage is a third-party logistics (3PL) company that stores inventory, packs boxes, and ships orders. By partnering with ShipSage, sellers can benefit from two-day shipping by distributing inventory across various regions in the U.S. for faster, cost-effective deliveries.

ShipSage integrates with leading e-commerce platforms like Amazon, eBay, Shopify, and WooCommerce. Orders are automatically sent to ShipSage, where staff at the nearest fulfillment center pick, pack, and ship them to the final destination. Book a call with ShipSage today to learn how we can help streamline your fulfillment operations and boost your business growth.