FBM (Fulfillment by Merchant) means the seller handles all aspects of order fulfillment — storage, packing, shipping, and customer service — rather than using Amazon's FBA service.
FBM can be more profitable for certain products (large, heavy, or slow-moving items) since it avoids FBA storage and fulfillment fees. However, FBM sellers face disadvantages in Buy Box competition and lose Prime eligibility unless enrolled in Seller Fulfilled Prime.
RIDGE reports compare FBA vs FBM profitability for your specific product dimensions, weight, and expected sales velocity. Our unit economics section models both fulfillment scenarios to identify the optimal strategy.
A large, heavy product selling 10 units/month might cost $12/unit in FBA fees but only $6/unit through self-fulfillment — making FBM the more profitable choice despite lower Buy Box win rates.