Choosing between Shopify’s Amazon FBA (Fulfillment by Amazon) or FBM (Fulfilled by Merchant) can make or break your e-commerce success. In 2025—marked by rising FBA fees and evolving Prime expectations—it’s vital to understand the cost, control, and customer experience implications before deciding. This in-depth analysis helps you pick the best fulfillment model for sustainable growth and profit.
You send inventory to Amazon. Amazon handles storage, packing, shipping, customer service, and returns. Eligible for Prime badge and multi-channel fulfillment.
You or a 3PL store, pack, ship orders, and manage customer service and returns. No Prime badge unless using Seller-Fulfilled Prime (SFP).
2025 updates include new storage fees and low-inventory charges, making FBA less favorable for low-margin or slow-moving products.
Sellers often use FBA for fast-moving SKUs and FBM or 3PL for bulky or custom products.
Seller-Fulfilled Prime offers Prime benefits on FBM, though with strict shipping and performance standards.