He was selling a book listed as "good condition with writing and underlining" for $15, while the market was pretty much priced at $2.20 and the cheapest "New" book was selling for $2.99. Amazon did not stock the book so it was only available in the Marketplace.
The reason he got the sale was because the buyer wanted next day shipping, which he could offer because he was using the FBA program. The best any other merchant could offer was Express shipping which still might take 5 - 7 days to arrive.
Now, many of these other merchants may have been able to offer Next Day service from their location but that offering is currently only available with FBA. It cost him the same money to ship the item Next Day as it does to ship standard; $1.39
Let's recap some of the competitive advantages of using FBA on the Amazon Marketplace:
- Priority placement in search (Price only sort rather than Price + Shipping like the rest of the marketplace merchants).
- Eligible for Prime Customers (Regular merchants listings are not eligible for Prime customer)
- Eligible for Super-saver shippers (Regular merchants listings are not eligible for Prime customer)
- It has been my experience that I still get 25% of my orders from regular Amazon customers who pay the Amazon S&H fee in addition to my higher item price. (I add the S&H fee to product price)
- Eligible for Next-Day and Second Day shipping (comes in handy during the 4th quarter).
- Eligible for Gift Wrapping services (I know I never offered Gift Wrapping when I was shipping myself)
- Same cost (for merchant) to ship an International, Next-Day or standard order.
- Fantastic in-bound UPS rates.
- Expand your business Internationally by using FBA in the country you sell in. No more delays from International shipments.
- Competitive advantage over other Amazon merchants. I've been very successful competing with 1 cent sellers by selling my items for $2.97 (CDs and DVDs) I will always be at the top of search and consumers are leery of 1 cent items.
Another reason to try out FBA right now is so you can work through the process before the 4th Quarter. The advantages of FBA during the busiest quarter of the year are unbelievable.
Just my 12%