3PL Shipping Services

Selling on Amazon
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1

Hello everyone,

This question is mainly for sellers who use a 3PL or courier company to fulfill their FBM orders.

I understand that using a 3PL is not the same thing as dropshipping, but I want to be very careful not to do anything that could trigger a dropshipping policy violation on my account.

The reason we are considering using a 3PL service is that FBA warehouse receiving times have become very slow recently. In the past, our inventory would usually be received and ready to ship within a few days or maybe a week, depending on the shipment volume. These days, it can sometimes take much longer, even months, which affects our ability to keep items available for customers.

In our case, we are not asking a supplier to fulfill orders on our behalf. We already own the inventory, and the items are in stock. We simply want to use a 3PL warehouse to store and ship some of our orders for us, to reduce the fulfillment workload on our end. Meaning we ship to them, they store, and ship to customers

From my understanding, dropshipping becomes an issue when the supplier or another third party appears as the seller of record, or when their branding, invoices, packing slips, or information are included in the package instead of ours. But since this would be our own inventory, stored with a 3PL and shipped on our behalf, I believe this should be different from a dropshipping model.

For sellers who already use 3PL services without issues, what instructions should I clearly give the 3PL company before they start fulfilling orders?

For example, should I specifically tell them not to include their own branded cartons, or any information that makes them appear as the seller? Also, when adding the 3PL as a shipping location in Amazon shipping settings, should the location name show our business name or the 3PL company’s name?

Or is it okay for them to use their own branded cartons since they are just a fulfillment shipping company, or should they strictly use unbranded cartons when shipping our products to customers

I would appreciate advice from sellers who have experience using 3PLs for order fulfillment while staying compliant with Amazon policies.

2

3pl has been around for a while and nothing wrong with it.

Always use unbranded shipping cartons. Do not let them brand in any way.

3

Use your business name and address in every possible opportunity.

  • The return address that the 3PL uses should be yours. Not only does this align with Amazon’s rules, but it lets you know quickly if your 3PL makes a mistake. You don’t want the 3PL making mistakes or getting sloppy, and hiding this fact from you.

  • Have the 3PL ship in boxes with your name on them.

  • Put your name and address on the packing slip.

In short, treat the 3PL as your employee who happens to be working from home. Their existence should be transparent to Amazon and to the customer.

4

Make sure the tracking numbers are accurate and being submitted to Amazon on the day that the item ships and that the shipper is receiving and scanning them on or before the last ship by date on the order.

5

Some companies that claim to be 3PL are masking their dropship operations.

Make certain you choice of 3PL is not one a player known to be dropshipping. It is likely that they will not be a red flag when Amazon becomes aware of them.

Make certain you have planned for how your returns will be handled.