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Amazon FBM vs FBA: What's the Best Strategy for the American Market?

Discover the differences between Amazon FBA and FBM, their benefits, challenges, and which model is most suitable for the American market.
Published by
AdvizeOne
Published in
August 13, 2025

Selling on Amazon is, for many international entrepreneurs, the gateway to the competitive and lucrative United States market. But when starting your operation, one of the most important decisions is to choose between FBA (Fulfillment by Amazon) and FBM (Fulfillment by Merchant). Each model brings advantages and challenges, and the right choice depends on the brand's positioning, the cost strategy, and the available logistics structure.

What is Amazon FBA

No Fulfillment by Amazon, the entrepreneur sends his inventory to Amazon's distribution centers. From there, the company is in charge of the entire process: storage, separation, packaging, shipping, and even customer service. This model is highly valued in the American market, as it guarantees fast delivery (Prime) and improves the ranking of products on the platform.

Advantages:

  • Access to the Prime seal, increasing sales conversion.
  • Fully automated logistics management.
  • Increased visibility and competitiveness in Amazon rankings.

Challenges:

  • Storage costs and fulfillment fees can be high.
  • Less flexibility over personalized packaging or unboxing experience.

Ideal for entrepreneurs who want Fast scale, sell high-turnover products and want to take advantage of Prime's strength in the American market.

What is Amazon FBM

No Fulfillment by Merchant, the seller himself is responsible for the entire logistics process: storage, packaging, shipping and after-sales service. This can be done internally or with the support of specialized fulfillment companies.

Advantages:

  • Greater control over packaging, branding, and customer experience.
  • Flexibility to work with smaller inventories or customized products.
  • More predictable costs, with no extended storage fees from Amazon.

Challenges:

  • Delivery time must meet Amazon's standard, at risk of penalties.
  • Lower visibility compared to products with a Prime seal.

It is more suitable for companies that have own logistics structure in the USA or who wish to offer a differentiated brand experience.

How to Choose: Analyzing the American Market

In the context of the United States, where delivery speed and customer experience are decisive factors, FBA tends to offer an early competitive advantage, especially for brands that are still building reputations. Already the FBM is advantageous for established brands, niche products or operations that want to maintain full control over the delivery and personalization process.

How AdvizeOne Can Support Your Amazon Strategy

Na AdvizeOne, we help entrepreneurs structure their operation in the USA to sell on Amazon in a competitive and sustainable way. since Opening of the company, tax planning, warehousing and fulfillment through Akin Logistics, until the complete management of paid listings and campaigns, we offer integrated solutions for you to choose and implement the ideal model — FBA, FBM, or even a strategic combination of both.

Schedule a strategic meeting and discover how to boost your sales on Amazon in the American market.

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