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What is Seller Fulfilled Prime on Amazon and How Does It Operate?

By now, any shop worth their salt would have learned how important it is to sell on Amazon, especially on Amazon Prime. You can access luc...

Seller Fulfilled Prime on Amazon

By now, any shop worth their salt would have learned how important it is to sell on Amazon, especially on Amazon Prime. You can access lucrative Prime shelves through two different programs: Fulfillment by Amazon (FBA) and Seller Fulfilled Prime (SFP).


Even though the goals of both systems are to assist you in selling on Prime, that is the only similarity. Both SFP and FBA are unique, and depending on a company's size, goals, and profitability, some of its advantages will undoubtedly appeal to it.


Reach clients without jeopardizing your reputation, earnings, or business by adhering to Amazon's rapid and stringent shipping criteria while still meeting your continuous sales targets. Herein lies the critical role of SFP.


Let's examine closely it.

Table of content

Seller Fulfilled Prime (SFP): What is it?

SFP Overview: 

Amazon SFP prerequisites

Why Was SFP Launched by Amazon?

Important Distinctions Between SFP & FBA

Cons and Benefits of SFP



Seller Fulfilled Prime (SFP): What is it?

One of Amazon's greatest order fulfillment options, Seller Fulfilled Prime, enables high-volume sellers to sell under their Prime Label and send Prime orders straight to customers in two days.


In 2015, this program was introduced. However, you must meet the SFP requirements in order to enroll. By emphasizing the Prime Badge upon enrollment, it can assist sellers in making their product listings more discoverable.


Sellers that fulfilled product listings that were Prime-eligible for the first time via SFP saw an average sales boost of more than 50%, according to Amazon.


SFP Overview: 

·       A retailer who has been handling their own shipping already stands to gain the most from SFP.

·       SFP was established to relieve the strain caused by Amazon's fully stocked warehouses while maintaining excellent shipping standards.


·       Following the conclusion of their trial period, a seller may be eligible for the SFP program.

·       FBA and SFP are not to be confused. They are two entirely different schemes.

·       Using Amazon's delivery services, following their return guidelines, fulfilling 99% of orders on schedule, and other standards are among the fundamental SFP requirements.

·       A vendor using SFP ought to offer free standard shipping. Still, choosing to enroll in this program shouldn't be solely determined by price.


Amazon SFP prerequisites

SFP isn't available to every merchant. SFP isn't available to all vendors because Amazon wants to protect the prestige of Prime. Rather, they have established Seller Fulfilled Prime stringent eligibility requirements for SFP sales.


As a result, only the best sales are eligible. Even so, they will need to fulfill two requirements:


·       Complete the SFP trial period.

·       Become Eligible for Priority Shipping


It should be noted that products do not display the Prime logo during the trial period, and sellers are expected to ship SFP-enrolled items the same day (subject to cut-off time). A seller can only join Amazon's SFP program after successfully completing their trial term, and only then will the Prime badge appear on their products.


Therefore, confirm that the following Amazon Seller Fulfilled Prime conditions are satisfied before considering enrollment:


·       Possess a 99% timely shipment rate.

·       Possess a 99% valid tracking rate.

·       Provide clients with Premium Shipping

·       Keep your collection rate at 0.5% or below as appropriate.

·       Utilize Amazon's Buy Shipping for a minimum of 98.5% of the orders.

·       Observe Amazon's return guidelines.

·       Use a carrier that has been approved by Amazon to deliver orders.

·       Let Amazon take care of all consumer questions.


Amazon isn't currently taking new SFP applications from Americans. When it becomes accessible, though, the entire registration procedure will resemble this:


1.Premium Shipping

A vendor needs to demonstrate that they can reliably provide Premium Shipping services. The seller cannot, however, do this immediately prior to beginning the SFP trial. Until a seller meets the requirements for Premium Shipping, they will not be able to go live.


2. Sign up for SFP

A seller can sign up for the SFP program through Seller Central, after which they must assign products to the "Prime trial" shipping template. When comparing the performance to the trial's requirements, only goods that are assigned to this template will be included.


3. The trial phase

There is a minimum of 200 orders and a trial term of 5 to 90 days for the SFP. During this time, a vendor should keep the total performance % high.


4. Maintain the SFP status.

After the trial period has over, the supplier must comply with the requirements and offer the clients dependable service.


The Distinction Between SFP and Premium Shipping

The topics of premium shipping and SFP (Seller Fulfilled Prime) are frequently discussed, but for some reason, they are also misinterpreted. Recognize that premium Shipping is a completely other concept that effectively allows sellers to provide clients with expedited shipping choices using their own shipment. A vendor must complete these in their orders over a period of 30 days in order to be eligible:


·       A valid tracking rate of 99%

·       An on-time delivery rate of 97%

·       Seller cancellation rate of 0.5% and less


After being approved, the vendor can begin providing clients with Premium Shipping alternatives, although at an additional cost. These delivery options are available in the US and include:


·       1-day Delivery

·       2-day Shipping


A seller must continue to meet the previously listed standards in order to be eligible. SFP as well as


It is not appropriate to truly compare Premium Shipping to one another. While Seller Fulfilled Prime makes it possible for products without FBA to receive a Prime badge, Premium Shipping enables you to provide faster shipping choices.


Why Was SFP Launched by Amazon?

We all know that Amazon is simply obsessed with their customers. They have enduring relationships with their clients, especially those who are devoted to them as Prime members. So, the main objectives of Amazon's SFP launch are:


·       Assist clients in receiving their goods promptly and dependable

·       Provide as many options for products as you can


·       Not tack on additional shipping costs to customers


Important Distinctions Between SFP & FBA

Shipping is one of the primary distinctions between SFP and FBA. A seller participating in the SFP program fulfills orders and covers shipping costs, even though both can help you earn the privilege of winning the Buy Box and earning Amazon's Prime badge. However, a significant disadvantage of SFP is that it requires a seller to pay for shipping in order for buyers to receive their goods promptly and at no additional expense.


However, for an FBA seller, Amazon handles all aspects of delivery. There is a charge, though. It's possible that the FBA fees will come to virtually equal the cost of shipping the orders yourself.


FBA could be a little pricey for bulky, huge, slowly selling, or oddly sized products. On the other hand, it might be costly to maintain and invest in your personnel, warehouse, systems, and software.


If your seller fulfilled prime is suspended, what should you do?

Your SFP may occasionally have been suspended; in such case, the Amazon team will notify you via the email address you registered with.


Have you ever wondered why it was suspended?


These could be the potential causes:


A decline in your rate of on-time shipments. Your Prime Badge will be disabled and the SFP deactivated if it drops below 99%.


A decrease in your rate of valid tracking. even if it proceeds somewhat less. Consequently, keep your minimum at 94%.

increased rate of cancellations. An additional warning indicator is present if the cancellation rate is higher.

To ensure that neither your SFP nor your Premium Badge are suspended, keep an eye on these numbers.


The most recent premium figures include of:


·       For orders using Premium Shipping, the timely delivery rate is 97.0% or higher.

·       For orders using Premium Shipping, 100% of the tracking rate should be valid.

·       If you select Premium Shipping, you should have cancellation rates of no more than 0.5 percent.


Among the most recent SFP numbers are:


·       It is important to keep the timely shipment rate at 99%.

·       97.0 percent of deliveries should be made on time.

·       98% should be the buy-shipping ratio.

·       The percentage of cancellations should  be 0.5%


Cons and Benefits of SFP

As all things have two sides, it should come as no surprise that SFP has a set of advantages and disadvantages of its own. Let's examine them in greater detail.


Benefits of use SFP


Despite the fact that SFP requires a seller to handle a lot more labor than FBA (a program in which Amazon handles inventory storage and shipment), SFP offers a number of advantages. Among them are:


1. Boosts revenue and sales with the reliable Prime badge

On their product listings, sellers can get Amazon's Prime badge highlighted as soon as they pass their trial term or finish it. This now increases visibility by displaying the products for both normal and Amazon Prime customers. The symbol also indicates a seller's credibility and dependability when it comes to offering high-quality goods.


2. Less costly in comparison to FBA

SFP is able to waive FBA handling, shipping, and storage costs—all of which are usually thought to be superfluous. Previously, businesses had to fulfill orders through FBA in order to receive "Prime status," which resulted in significant economic losses.


Additionally, FBA sellers were required to pay an additional cost for "Inventory Placement Service" each time and divide their shipments among three fulfillment centers. SFP vendors, however, can just distribute the goods from their own stock and take advantage of Amazon Prime without paying additional costs.


3. Make use of Amazon's customer service

Customers of the SFP program and Amazon get round-the-clock access to after-sale customer service. That's one advantage. Therefore, the group of knowledgeable customer service agents at Amazon is available to provide fantastic support on your behalf. Additionally, clients can easily track their item orders, return items, and get refunds.


4. Better control and more options compared to FBA

SFP provides more avenues for brand development. Why? Essentially, because you have the power and not Amazon. This implies that you will have more control over your items, less Amazon trademarks on your product packaging, and direct inventory visibility from your warehouse—all of which you may imagine while still being a Prime member.


Cons of utilizing SFP


There are several drawbacks to taking the SFP path as well, especially when it comes to "scalability." Thus, there are a few things you cannot ignore as a third-party merchant.


1. SFP eligibility and upkeep standards are stringent.

SFP has a highly exclusive membership. Amazon has strict procedures in place to guarantee that their customers are completely happy. Even though they are intriguing, they also hold great promise for a seller to follow because they have gotten harder and harder with time. Amazon will promptly withdraw your Prime Badge if you continually fail to meet its SFP requirements.


2. Expensive shipping costs

Without a doubt, there is a fee to use a fantastic service. Amazon's SFP is therefore not an anomaly. Benefits for customers, such as next-day delivery, are generally more expensive for sellers. Additionally, the price of shipping SFPs may increase. As a result, a seller should control those expenses by limiting and determining how far they can ship with Prime deliveries.


3. There comes a point at which fulfilling more requests can become challenging.

You will undoubtedly have total control over your fulfillment process when you use SFP. Yes, without a doubt, this is a wonderful benefit that should be appreciated. However, issues arise when operations scale and you have to cope with a bigger order volume, particularly if a well-designed procedure isn't put into place.


Investing in your fulfillment infrastructure is necessary to both efficiently execute the orders and keep the SFP eligible. Aside from this, you will need to use appropriate strategies for everything, from product packaging to figuring out when an order must be placed in order to qualify for 2-day shipping.



Without a doubt, Amazon has transformed the e-commerce industry. They genuinely go above and beyond to satisfy the needs of their clients. Meeting consumer expectations can help retailers like you stand out, which is why services like FBA and SFP are available to make things simpler.


Selecting between FBA and SFP might be challenging because each has advantages and disadvantages of its own. Nevertheless, the things you sell and how you want to run your company will ultimately determine which option is best for you.

Read More:

10 Strategies to Lower Your Amazon Pick and Pack Fees

Choosing the Right Marketplace for Wholesale Business on Amazon

How to Obtain Amazon Approval for Topical Products - Seller Guide


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