eCommerce

|

Amazon FBA Small and Light Program: The Ultimate 2022 Guide

by Stanley Nieh

AMAZON FBA SMALL AND LIGHT PROGRAM THE ULTIMATE GUIDE

If you sell on Amazon, enrolling your products in the FBA Small and Light program will allow you to have lower FBA fees and fulfillment costs. As a result, you’ll be able to offer better prices to your customers and stay competitive. 

However, not every product is suitable for this FBA program. Plus, your orders need to be fulfilled by Amazon to qualify. But, Amazon sellers with products that do qualify to enroll can enjoy a lot of benefits. 

So, if you’re selling small, cheap, and fast-moving products, this FBA Small and Light guide is for you! We’ll help you save costs and become more profitable. 

Let’s dive right in!

Amazon FBA Small and Light Program The Ultimate 2022 Guide

What Is Amazon FBA Small and Light?

FBA Small and Light is an Amazon program that offers reduced fulfillment costs on qualified products and free shipping for Prime customers. It’s suitable for small-sized, light, or cheap products. 

Self-fulfillment or third-party fulfillment is worth it if you’re making solid profits from selling a single unit. But, if you’re selling low-ticket trinkets and large quantities of fast-moving products, the FBA Small and Light program is among the best fulfillment options to remain profitable. 

Why Use FBA Small and Light?

Merchants and eCommerce owners decide to enroll their products in the FBA Small and Light program to save on fulfillment costs. By doing that, you can pass down those savings to your customers and offer more competitive prices. 

All in all, the FBA Small and Light program is a great way to save costs, especially in cases when:

  • You’re selling fast-moving products
  • Your products are small and cheap
  • You need to lower your fulfillment fees
  • You want to be able to offer better prices
  • You want Amazon to take care of fulfillment

The Small and Light program isn’t suitable for everyone. But, if you’re selling small and low-ticket products in large quantities, it could be exactly what you need! 

Why Use FBA Small and Light

Which Products Are Eligible for FBA Small and Light?

Products that are enrolled in the FBA Small and Light program must fulfill these criteria:

  • Measure 18 x 14 x 8 inches or less
  • Weigh 3 lb or less
  • Priced at $10 or less
  • New condition (second-hand items aren’t eligible)
  • If it’s an existing ASIN, it qualifies with at least 25 sales in the past month
  • Prepped and packaged properly for shipping

On top of these conditions, ensure that your Small and Light product doesn’t belong in any of these categories:

  • Restricted products
  • FBA prohibited products
  • Adult products
  • Dangerous goods (hazmat)
  • Temperature-sensitive products (like chocolate)

Pros and Cons of FBA Small and Light for Sellers

Let’s look at the advantages and disadvantages sellers get by being enrolled in the program:

Pros

  • Lower shipping and fulfillment fees
  • More profitability
  • Better prices for your customers
  • Your products will be Prime-eligible
  • No MOQs for customers
  • Free promotions and discounts
  • Free shipping and Prime delivery for Prime members

Cons

  • Specific prepping and packaging requirements
  • Not available yet in some large marketplaces
  • Products are usually shipped in poly or Jiffy bags
  • Not suitable for perishable, crushable, or temperature-sensitive products

Amazon FBA Small and Light Fees

FBA Small and Light can be a great program for wholesalers since the cost structure is set up to be the most efficient for small items sold in large quantities. So, in terms of cost saving, the more items in your customer’s cart in a single order, the more you save. 

According to Amazon themselves, here are all your Small and Light fees:

Amazon FBA Small and Light Fees

Note: Starting from April 28, 2022, Amazon has implemented a 5% fuel and inflation surcharge on FBA fulfillment fees, which might be subject to change depending on market conditions.

In the table above, shipping weight can be either the unit weight or the dimensional weight (whichever one is higher). 

Additionally, some Small and Light products priced at $5 or less that belong to the consumables category (Health & Personal Care, Grocery, Beauty) will qualify for a 5% discount if a customer buys two or more same items. 

Amazon FBA Small and Light Fees

How to Enroll in FBA Small and Light?

To have products enrolled in the FBA Small and Light program, follow these steps:

Step 1: Use Amazon FBA for Order Fulfillment

First, you need to join Amazon as a seller. If you already have an Amazon seller account, all you need to do is choose Fulfilled by Amazon as a shipping method. 

Only Amazon FBA products are eligible for the Small and Light program. That’s why this first step is necessary. 

Step 2: Select the Products You Want to Enroll

Now, you can either create new MSKUs or modify the existing ones that you want to enroll into FBA Small and Light. 

If you plan to use only FBA Small and Light, you can just adjust your current offers. However, if you need multi-channel sales, you’ll need to create brand new offers. 

Step 3: Enroll Your Products

Next, you’ll need to log into Seller Central and go to the enrollment page. Here, you have two options:

  • Quick enroll
  • Download a template

The “Quick enroll” option is suitable when you want to check the eligibility of less than 100 existing MSKUs.

However, if you want to enroll new products in the program or you have more than 100 different SKUs, we recommend downloading the enrollment template. This is an Excel file that will let you enter all your SKUs at once. 

In the file, make sure to input the correct details in each field and remove any unnecessary spaces before and after each MSKU. By doing this, you’ll ensure that the products upload successfully. 

Once you upload the file with MSKUs for the FBA Small and Light program, you should regularly monitor the upload status and ensure there are no errors once the request is processed. 

Check out this Amazon guide for more in-depth information about enrolling products in the FBA Small and Light program. 

Step 4: Prep and Ship Your Products

Your final step is prepping and packaging your products and shipping them to Amazon’s fulfillment center. Here’s a guide to Amazon FBA shipping to help you out. 

Remember that you need to send at least 24 units of each enrolled MSKU. That’s the MOQ for using the FBA Small and Light program. 

Your products must be clearly labeled and have scannable barcodes on each unit. Same-ASIN products all have to be in one see-through plastic bag or package to retain visibility. 

Step 4 Prep and Ship Your Products

Best Practices for FBA Small and Light

We’ve gathered all the expert advice to help you take full advantage of the FBA Small and Light program. Here are some best practices to follow:

1. Conduct Proper Inventory Management

Data-based sales projections will help you ship the right inventory size to Amazon’s fulfillment center. 

Your goal should be to avoid out-of-stock problems and backorders from piling up and also to prevent dead stock

Try to maintain a good inventory turnover ratio. Amazon recommends having inventory for at least a 60-day coverage. 

Another thing we recommend you do is set Replenishment Alerts in your Seller Central to remind you when you’re running low on stock. 

2. Have Impeccable Product Listings

Optimize your Amazon product pages by uploading high-quality product photos.

Pay attention to your product description and product titles. You need to think of SEO and include keywords in a natural way to boost discoverability. 

Next, list out the product benefits and features in a bullet point list to make it skimmable and easily understood. 

And, finally, don’t forget that product reviews and customer testimonials play a big role in the success of your product listing. Social proof is everything nowadays, so don’t forget to send a post-purchase follow-up email asking for a review. 

Your product listing plays a huge part in conversions, and this is the same for FBA Small and Light products. 

3. Set Competitive Product Prices

Perhaps the greatest advantage of the reduced fulfillment costs you get through the Small and Light program is the ability to offer competitive prices. 

You should use this as an edge and constantly observe the pricing on the market. Adjust your pricing regularly and accordingly to gain the upper hand. 

When lowering your price to gain sales traction, always keep your profits in mind. If you go down too much, you might struggle to remain profitable. 

4. Ship Properly Packaged Products

Last but not least, you want to ensure that your products are packaged properly. 

Products with the same ASIN need to be in a separate clear plastic bag or package and each unit in it needs its own barcode. 

Remember that you need a minimum of 24 items per SKU or ASIN. 

You can pack more SKUs together in a single box as long as each SKU contains a minimum of 24 items. 

Finally, don’t forget that the general FBA rule for box sizes and weight also applies to the FBA Small and Light program:

  • Shipping boxes mustn’t exceed 25 inches in length (on any side)
  • Shipping boxes mustn’t exceed 50 pounds in weight
Ship Properly Packaged Products

FAQs about FBA Small and Light

Let’s take a look at some of the most frequently asked questions about FBA Small and Light. 

How to Remove Products from FBA Small and Light?

For less than 500 SKUs, you can use the Quick Disenroll feature. Go to the main Small and Light dis-enrollment page and find the Quick Disenroll button at the top. 

Then, type or copy/paste all SKUs you want to remove (up to 500). Each SKU needs to be in one line. So, that means that you should end up with a maximum of 500 lines. 

When you’re done, click Disenroll products. On the next screen, you’ll see a message asking you to Confirm or Cancel. Click Confirm, and then you should be able to see a list of all your disenrolled products. 

Tip: Ensure you don’t have any more inventory in Small and Light before you disenroll your listings. 

Can You Use FBA Small and Light for Products that You Sell on Channels Other than Amazon?

Yes! Multi-channel fulfillment or MCF is now available for FBA Small and Light products. 

That means that even if you’re selling on Walmart or Shopify, you can still use Amazon as a fulfillment center and have your products enrolled in their FBA Small and Light program. 

However, note that if you plan on selling on multiple channels and enroll products in the FBA Small and Light program, you’ll need to set up new offers and listings instead of just modifying your current ones. 

Can You Use FBA Small and Light for Products that You Sell on Channels Other than Amazon

How to Package Small Items for Amazon FBA?

Your FBA Small and Light products need to follow certain guidelines for prepping and packaging set by Amazon themselves. Here are the basics:

  • Comply with the standard FBA packaging and prep requirements
  • Units can’t be bundled and each unit needs an Amazon barcode
  • Barcodes need to be placed flat on the outside of each unit so that they are scannable and easily accessible
  • Each unit must weigh less than 3 lb and have the maximum dimensions of 18 x 14 x 8 inches
  • If you use the FBA Label Service ($0.10 per unit for Small and Light products), you need one scannable barcode such as UPC or EAN on each unit
  • Glass, ceramic, and other breakable items need to be packaged safely. Check out this guide.
  • Do not send shipments with excess inventory
  • Ship only to the fulfillment center specified on the product’s shipping label

Is Amazon Small and Light Worth It?

If your products qualify, yes, it’s definitely worth it. FBA Small and Light is a great program if you sell cheap products in large quantities since you enjoy a lot of fulfillment discounts. 

At first, saving some cents or a dollar per unit might not seem like a lot. But, for products that sell in large quantities, these savings can quickly add up and boost your profitability. 

All in all, the FBA Small and Light program can be a powerful sales-boosting tool if you know how to use it! 

Can You List Your Current Inventory to FBA Small and Light?

No, unfortunately, your current inventory cannot be changed to the FBA Small and Light program. 

To enroll a product in the Small and Light program, first, you need to change and modify the listing, and then ship your inventory to Amazon’s fulfillment center. Otherwise, you will continue paying standard FBA fees. 

Can You List Your Current Inventory to FBA Small and Light

To Summarize

Although it might seem complex at first, enrolling products in the FBA Small and Light program isn’t much more complicated than the standard FBA. The only difference is that your products need to fit the requirements and criteria to qualify. 

So, if the products you’re selling qualify for the program, we definitely recommend checking it out. If you need help sourcing products for FBA Small and Light, get in touch. You can use our free quote service and see what we can get for you without any risks. 

All in all, if you often sell fast-moving or low-ticket products, the Small and Light program might be just what you need. Hopefully, this FBA Small and Light guide has helped you learn how to take full advantage of the program and feel all its benefits.

Leave a Comment

Now you have a better way of product sourcing

Ready to have the world’s factory at your fingertips? Try us and level up your business now.

Start with a Free Quote