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What is Amazon Multi Channel fulfillment? Amazon Multi-Channel Fulfillment expands your choices for where a purchase could take place while being fully fulfilled by Amazon. Think of it as opening a door for your customers, but one that only requires them to step through a portal to get inside. Instead of having to rent warehouse space and hire employees to handle the storage, packing and shipping of each order, your customers are given access to an ‘online shop’ where they can browse and order from just one location. In many ways, this is much more convenient than having to keep inventory at a store and deal with customer service issues.

The concept of multi-channel fulfillment is not a new one, but recently it has gained more prominence with the rise of ecommerce. Ecommerce businesses have exploded on the web in recent years, and ecommerce sellers have been utilizing multi-channel fulfillment to increase their sales opportunities and customer convenience. Many ecommerce entrepreneurs have e-branded websites that promote their products, and sell through multi-channel fulfillment. Multi-channel fulfillment allows sellers to offer everything from the same store, to different parts of that store, to their email list.

Why should you consider multi-channel fulfillment ? The reasons to use multi-channel fulfillment are many, but they all come back to efficiency and cost reduction. With this type of inventory management, you no longer have to physically manage all of your inventory. Instead, you only have to maintain a single point of contact – the online shop. This means reduced staffing requirements, and higher profit margins because you can offer your customers the convenience of buying from you, and still get everything else that you need done in the quickest amount of time.

With multi-channel fulfillment, you pay one flat fee for everything that you purchase from your online store, including everything that you sell from your site. There are no warehouse fees, minimum order requirements, or other such fees that often appear with traditional inventory management. Instead, your online shop is charged only for the items that it sells. Because the company handles the order forwarding and fulfillment, it passes those savings along to you.

Using a multi-channel fulfillment service also reduces inventory turnover. When you manage your orders the way that traditional warehouses do, you have a large number of orders that go back and forth between your warehouse and your retail location. This causes inventory to build up more slowly than desired – causing it to hold space while you run out of items to replace it with. With a multi-channel fulfillment service, you only have one location that holds inventory – instead of multiple locations, each holding inventory in turn.

And since the multi-channel fulfillment company handles all the back-room operations, you don’t need to worry about storage fees either. If you use a local storage facility, you’re paying for lots of storage space that you could be using for other customers or products. You can get rid of that storage fee and in turn free up some of your money to increase your sales.

Even when you’re not shipping items, if you’ve chosen a business model like most multi-channel fulfillment companies offer, you can benefit from their inventory management services. Fulfillment companies have access to real time information about where your customers are located, what they want, and when they want it. They can plan ahead for international shipping, reduce drop-shipping costs, and even offer two-day shipping on certain items. You can take advantage of these and other tools available through these types of businesses, and you can do so by using their on-demand inventory services.

In today’s world, no matter how large or small your business is, it can benefit from the help multi-channel fulfillment offers. warehouses and product fulfillment centers can help streamline your operations, cut unnecessary expenses, and improve your customer retention rates. Best of all, you don’t need to be located near the largest city to take advantage of these tools and services. You can fulfill your international orders right from anywhere in the world and even ship to Canada with just a few clicks of your mouse.