The Fulfillment by Amazon (FBA) program can be a great option for anyone looking to sell on the marketplace without worrying about the logistic hassles involved with storing, packaging, and shipping products to customers. It’s basically order fulfillment on auto with no strings attached.
But what if you have small or inexpensive items to sell? Surely, paying the multiple fees associated with Amazon FBA could leave you with little to no profits?
Well, that’s where the Amazon FBA Small and Light (SNL) program comes into play!
Amazon's Small and Lightweight FBA is a cost-cutting fulfillment program aimed at sellers that sell small and light products, priced under $10. It helps you minimize storage and shipping overheads for your small and lightweight inventory while providing almost all the perks of the standard FBA program.
With SNL, you can run a profitable store on Amazon without losing the competitive edge against regular FBA sellers.
The program also helps Amazon optimize its operations where it can utilize its resources in a better way to handle the products that may be too small or lightweight for regular FBA services.
Any product that measures 18 x 14 x 8 inches or less and weighs 3 lb. or less is considered small by Amazon and qualifies for the FBA small and light fulfillment in 2022. That said, the company often revises these requirements from time to time, so it’s recommended to consult the official Amazon SNL help page for future purposes.
Are FBA Small and Light listings and Amazon add-on items the one and the same thing?
Products included in the Amazon Add-on program cannot be shipped as single units and customers can only purchase them with FBA orders valued at $25 or more. Furthermore, the program is fully automated, and sellers have no control over what gets added or dropped from the add-on listings.
In contrast, Small and Light products don’t have to be a part of a larger order and can be shipped as single units. Sellers also get to decide what items to enroll in the program.
While the idea behind regular FBA and Amazon SNL is the same, the two programs have some important differences, especially when it comes to fulfillment fees and delivery times.
The delayed shipment is what actually makes FBA Small and Light a low-cost fulfillment program. Unlike standard FBA products, Amazon doesn’t have to worry about delivering small and light items the next day of receiving an order, charging a lesser fee to sellers.
Here's the Small and Light FBA fee structure as laid out by Amazon on April 28, 2022:
Yes, SNL products qualify for the Prime badge, just like regular FBA items. Having the Prime badge makes your listing visible to more than 170 million active Prime users worldwide. It’s a great way to boost your sales.
This brings us to our next question…
FBA Small and Light provides an excellent opportunity for sellers to maximize their profit margins while offering reliable order fulfillment services to customers. Here are the main benefits of the program:
It’s not all sunshine and rainbows, though. Here are some of the disadvantages of Amazon SNL:
Amazon SNL is available in seven countries, including the United States, France, Germany, Italy, Japan, Spain, and the United Kingdom. Every marketplace has a separate fee structure, meaning the FBA Small and Light Germany program fees will differ from the Small and Light UK program.
Unfortunately, FBA sellers in Canada don’t have access to the Amazon Small and Light program yet. However, this may change in the future.
To get started with Amazon Small and Light FBA, you first need to determine if your product is even eligible to qualify for the program.
We have already discussed some of the requirements for FBA Small and Light earlier. For example, your product must not measure more than 18 x 14 x 8 inches. Also, it must weigh 3lb or less. Additionally, it must be in new condition and priced at $10 or less.
Other SNL Amazon requirements are very much similar to regular FBA, where you must not sell:
Media products are eligible for Amazon Small and Light FBA as long as they meet the eligibility criteria and don't fall under the restricted category.
Next, let’s discuss how to enroll your products in the Amazon Small and Light program.
Amazon's small and light product enrollment is pretty straightforward.
Once registered, you can ship your product(s) to your designated Amazon fulfillment center to get your listing live.
Is there anything you should keep in mind when sending my SNL inventory to Amazon?
In addition to standard FBA packaging and prep requirements, you must comply with Amazon's small and light prep and packaging guidelines when shipping products to Amazon. Here are the most important ones:
Like anything else, finding success with the Amazon Small and Light program requires careful planning and thorough execution. Here are some tips to follow:
Make sure you are proactively managing your inventory. SNL items can often move fast, and the last thing you'd want is to go out of stock when customers are in the queue ready to place their order. You will not only lose potential sales but it will also affect your account health and seller ranking. You can set up inventory replenishment alerts inside your Seller Central to monitor inventory levels. Alternatively, you can use third-party tools like ZonGuru’s My Products.
Higher profit margins can be enticing, but you must price your products competitively to get the most from the FBA Small and Light program. Keep a close tab on your competitors and evaluate their listings daily to stay alert on any sudden price changes.
A well-optimized listing can go a long way in boosting conversions. Write SEO and buyer-friendly product title, bullet points, and description, add high-quality images, and work on A+ Content to make your product more sellable.
The registration for Amazon SNL program is absolutely free. However, just like the standard FBA program, you must pay an FBA fee, referral fee, order removal fee, returns processing fee, and labelling fee (optional) to use the service.
Yes, you can have both standard FBA and Small and Light FBA for your product. You must create a new SNL offer for the latter, though.
Enrolling in the Amazon SNL program will not change your existing standard FBA offers. However, Amazon will convert listings not meeting the eligibility criteria for FBA Small and Light to regular FBA and charge the standard applicable fees.
Amazon Seller Central has a tool called FBA Opportunities that helps sellers analyze their catalog, recommending ASINs for various programs, including FBA Small and Light. You can use the machine-learning system to your advantage and identify offers that would qualify and benefit from the SNL program.
The next-day delivery is not available for Small and Light FBA orders. The products are eligible for free 3 to 5 days shipping for Prime members and 6 to 8 days shipping for non-Prime members.
Yes, it can. Sales rank on Amazon is calculated based on historical sales data. Higher sales volume contributes to an increase in the sales rank of an ASIN. The sales volume for products listed under the Amazon SNL program tends to be higher since these products are priced on a lower end and have no minimum order requirements.
Yes, Amazon SNL is available to B2B sellers. If you meet the product criteria, you are eligible for the program, whether you're a B2B or B2C company.
Enrolling in Amazon SNL program will allow you to make more profits than you'd make using the standard FBA or FBM fulfillment options. While the program comes with some additional preparation requirements, considering the benefits it brings to the table, it's worth the extra effort.
It's also worth noting opting for FBA small and light means Amazon will do all the heavy lifting for you, so you can focus more on growing your business.
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