Amazon FBA Explained in 6 Minutes! (FBA For Beginners)


Hey there, it’s Mike Swigunski here and today I’m going to be talking about everything amazon FBA I’m going to be giving a really macro overview about what exactly amazon FBA is, what it means, and how you can kind of learn more in this video, and maybe, later on, take actions to start making money by having your own Amazon FBA business and you’re going to want to stick around to the end.


I’m going to share a few secrets and the next actionable steps to get started with starting your own Amazon FBA business. 


So let’s go ahead and dig in right now.

Probably the first thing you’re wondering is what is Amazon FBA. Essentially if you’ve bought just about any product on Amazon there are about 50 products actually coming from a third-party supplier. Third-party suppliers are Americans or Chinese-owned businesses

usually a combination of solopreneurs or small entrepreneurs who are two or three people. Essentially what they’re doing is they’re sourcing their products often from Asia sending it to amazon and then once it’s in amazon’s hands they’re fulfilling those products so that, if you go onto 

there are going to be products that are owned and operated fully by amazon.



A but a big majority of these products are going to be these third-party sellers and you can kind of see the difference. 

I’ll go ahead and show a little bit different comparison of this product from a third party seller: the product is being sold by Amazon and I’m sure you’re familiar with amazon basics, those are all obviously going to be sold by amazon.


What’s the differentiator between amazon FBA and Shopify? 

With an e-commerce business, you’re having to generate all the traffic you’re having to essentially do most of the fulfillment.   You’re having to manage all

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the orders and customer service so you’re getting a lot more of that benefit.


The power of Amazon is they’re handling all the fulfillment they’re shipping the items to customers they’re handling returns.

They’re handling any customer issues you basically just have to worry about making a good product and making it look pretty on the page,

Get some sort of advertisement through amazon to get more traffic to your page.


But the great thing is there’s a lot of organic traffic already happening.

So that’s one of the big benefits why people are able to get on Amazon and start making money a lot quicker than if you were going to start with an e-commerce business and you didn’t have some sort of the previous methodology to drive traffic to your store on Shopify.



Amazon FBA is a multi-billion dollar industry and it’s definitely something that is going to take a long time to figure out now. If you’re thinking this

is going to be a get rich quick scheme this is not for you that’s not going to be happening with this if you’re looking to build a steady profitable online



You’re going to need capital to essentially figure out what type of products you want to order. Ordering shipment of products and then

launching them on amazon means that there are going to be other fees associated with getting the products over amazon charges.



If you were going to essentially survey 100 people off the street in New York City, I would say a lot of people probably would say their

credit cards are stored in an amazon whereas Walmart or even any other platform.


Amazon is a great option but there is a lot of competition on Amazon, so unless you’re creating your products that aren’t necessary you can essentially find a water bottle and slap your label on it but that’s also going to be a little bit more competitive.

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Let’s say you go the water bottle route and you find an amazing water bottle there’s only one on the market but people keep saying this water bottle

is leaking and it’s extremely frustrating. Maybe you go and find this the same sort of manufacturer but you solve this leakage issue and you make a

leak-proof water bottle that’s just a quick example of what you could do.


There are millions of products being sold on Amazon so you can really figure out

what it’s like.


If you want to learn more about Amazon FBA I’ll do a whole one-hour walkthrough with some other

industry experts on how you can get started in a step-by-step tutorial about

how to start making money on amazon.


If you want to learn more about making money online, make sure to hit the subscribe button

because I’m going to be making exclusive content just about how you can make

online businesses and get started as an entrepreneur.



I appreciate you staying this far if you haven’t subscribed yet make sure to click here to subscribe and also consider liking this video.

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More About The Subject:

Amazon FBA, or Fulfilled by Amazon, is a fulfillment service offered by Amazon that allows sellers to store their products in Amazon’s warehouses and have them shipped and delivered to customers. Amazon FBA has been around for over a decade now. It provides sellers with a way to scale their business without having to invest in warehouses of their own. It also offers sellers the opportunity to reach more customers, as they can sell on other sites using the same listing they have on Amazon. What are the benefits of using Amazon FBA? 

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There are many benefits! For starters, it saves sellers time and money because they don’t need to spend time packing and shipping orders themselves. It also gives them the opportunity to offer Prime shipping for an additional fee, which is something that not many other sellers can offer. In order to sell on Amazon FBA, sellers must have their products manufactured by a third-party or fulfill their inventory themselves. If the products are manufactured by a third party, they will contact the seller with an FBA label. 

The seller then ships the product to Amazon’s fulfillment center and assigns it an ASIN (Amazon Standard Identification Number). Amazon then sends the product to a customer. The product is then sold and shipped by Amazon.The first step in a typical process of an order being fulfilled would be for the fulfillment center to receive the item from the seller, plug it into their inventory system, and determine that it does not already have an ASIN assigned. If no ASIN has been assigned, then the fulfillment center will assign one. If an ASIN has already been assigned, then the fulfillment center would retrieve that ASIN and return it to the seller.The second step in a typical process of an order being fulfilled would be for a fulfillment coordinator on staff to upload the product into their inventory system.