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Mastering Amazon's Seller Fulfilled Prime Program: What You Need to Know

If you're an Amazon seller looking to supercharge your business, there's great news on the horizon. Amazon has announced the reopening of enrollment for their Seller Fulfilled Prime (SFP) program, starting October 1, 2023. This program offers a unique opportunity for sellers to provide Prime-level service without the need to store products in Amazon's fulfillment centers – opening doors to a wider customer base and enhanced business growth. In this post, we'll dive deep into the revamped SFP program, its benefits, eligibility requirements, performance metrics, and essential changes to help you prepare for success.

Benefits of Seller Fulfilled Prime

  • Prime Badge and Shipping Speed: The most significant advantage of the SFP program is the prestigious Prime badge. This badge of the buy box, coupled with the lightning-fast shipping speed that Prime members expect, can significantly boost your sales. Customers are more likely to choose products that are eligible for Prime shipping due to the promise of speedy delivery.

  • No FBA Storage Fees: Unlike the Fulfillment by Amazon (FBA) program, where you store your products in Amazon's warehouses, SFP allows you to fulfill orders from your own facilities. This eliminates the need to pay FBA storage fees, saving you money and giving you more control over your inventory.

Eligibility & Enrollment

To be considered for the SFP program, there are several eligibility requirements you need to meet:

  • Active Professional Selling Plan: You must have an active professional selling plan in good standing.

  • US Shipping Address: Your default shipping address should be located in the United States.

  • Trial Period: If you're interested in enrolling, you'll need to pass a 30-day trial of SFP to qualify. During this trial, your performance will be assessed to determine if you meet the program's standards. You can join the waitlist here

Performance Metrics for Eligibility

To maintain your eligibility for the SFP program, you need to adhere to the following performance metrics:

  • Cancellation Rate: Maintain a cancellation rate of 0.5% or lower. This includes only seller-cancelled orders.

  • On-Time Delivery Rate: Achieve an on-time delivery rate of 93.5% or higher for orders that don't use Amazon Buy Shipping. If a delivery attempt fails due to non-carrier-related issues, it won't affect your rate.

  • Nationwide Delivery Coverage: Provide nationwide delivery coverage for all standard-size products on Prime-enabled shipping templates. This coverage includes the 48 contiguous United States and the District of Columbia within 1-5 days.

  • Weekend Operation: Operate six days a week, including either Saturday or Sunday. If both days are enabled, orders from the respective day's customer page views will be expected to ship on that day.

  • Weekend Delivery: Offer weekend delivery for standard-size Prime products six days a week, including either Saturday or Sunday.

  • Delivery Speed Targets: Meet delivery speed targets for One-Day and Two-Day delivery promises.

  • Valid Tracking Rate: Maintain a valid tracking rate of 99% or higher, with the first scan from an Amazon-integrated carrier.

  • Free Returns: Provide free returns following the FBA free returns policy.

Other Crucial Details

  • Program Fee: For every SFP item, a fee of 2% of the total price applies, with a minimum of $0.25 per item.

  • Daily Prime Order Limit: If you anticipate issues that could impact your metrics, you can set a daily Prime order limit to manage your SFP volume and maintain service quality.

  • Removal of On-Time Shipment and Amazon Buy Shipping: Note that on-time shipment and the use of Amazon Buy Shipping services have been removed from the program's requirements.

Amazon's Seller Fulfilled Prime program offers a fantastic opportunity for sellers to tap into the power of the Prime badge and expedited shipping without the burden of FBA storage fees. With the reopening of enrollment on October 1, 2023, understanding the eligibility criteria and performance metrics is essential for success. By meeting and maintaining these requirements, you can ensure a seamless customer experience and a thriving business on Amazon's platform. So, gear up, prepare your business, and take full advantage of this exciting opportunity when the enrollment reopens!