FLEXE Launches Program to Help Sellers Boost Profitability on Amazon - Global Trade Magazine
  May 20th, 2018 | Written by

FLEXE Launches Program to Help Sellers Boost Profitability on Amazon

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  • Program reduces costs of FBA distribution.
  • New program helps Amazon sellers reduce storage costs up to 80 percent.
  • Amazon’s tightened regulations and sky-high storage costs are putting the squeeze on sellers.

FLEXE, a leader in on-demand warehousing and fulfillment, has launched its Fulfillment By Amazon (FBA) Distribution Program to help FBA sellers save up to 40 to 80 percent on the cost of storage while reducing the complexity of distributing goods to Amazon fulfillment centers.

Amazon has become a dominant channel for online retailers and according to One Click Retail, Amazon captured 44 percent of all US ecommerce sales in 2017. However, with recent changes to Amazon’s FBA regulations, Amazon sellers are getting squeezed by increased storage costs and tighter inventory regulations, putting significant pressure on their business models.

FLEXE provides access to more than 900 warehouses across North America. FLEXE’s FBA Distribution Program provides real-time inventory visibility across its entire network of distribution centers so as Amazon sellers track Amazon in-stock rates, they can quickly replenish inventory from nearby FLEXE locations.

“We are seeing renewed urgency from sellers looking for ways to protect and increase their margins on Amazon,” said Karl Siebrecht, co-founder and CEO at FLEXE. “Now these sellers can use FLEXE to offset the cost of more frequent FBA replenishment runs by leveraging FLEXE’s network of distribution facilities next-door to Amazon facilities.”

Online retailers can be up and running with FLEXE’s FBA Distribution Program in a matter of days and begin saving on the cost of storing large quantities of inventory to replenish to Amazon fulfillment centers.

“Maintaining 100 percent in-stock levels for fast-track delivery is critical to sellers’ success on Amazon,” said Tod Harrick, Vice President of Product at Marketplace Ignition, a Wunderman Commerce Agency. “However, Amazon tightly manages storage capacity at their fulfillment centers, which can make it costly and difficult to keep product in stock. We believe on-demand capacity from FLEXE gives online retailers valuable options for optimizing their supply chains and ultimately their profit margins on Amazon and other ecommerce channels.”

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