Amazon Multi-Channel Fulfillment (MCF): Pros, Cons vs FBA
Quick answer: Amazon Multi-Channel Fulfillment (MCF) lets you use the inventory you store in Amazon’s fulfillment centers to ship orders from your other sales channels — your Shopify or WooCommerce store, website or other marketplaces. Amazon picks, packs and ships each order for a per-order fee. FBA fulfills orders placed on Amazon; MCF fulfills orders placed off Amazon. Independent multi-channel fulfillment services do the same job with unbranded or custom packaging.
In this article, we will introduce in detail what Amazon multi-channel fulfillment is, the pros and cons of multi-channel fulfillment, and the difference between multi-channel fulfillment and FBA to help the development of your business.
What is Amazon Multi-Channel Fulfillment?
Amazon Multi-Channel Fulfillment (MCF) is a service that uses Amazon’s warehouses to store products and fulfill orders from Amazon and from other brand sites.
Pros Of MCF
Improving Inventory Efficiency
Amazon’s multi-channel delivery is useful for improving inventory efficiency, allowing sellers to keep all of their inventory on Amazon and complete Amazon and non-Amazon orders through a dashboard on the platform.
With Easy-to-Understand Pricing
MCF features easy-to-understand pricing in addition to integrated tracking services. Simply calculate the warehousing and fulfillment fees from their tables to estimate your costs.
Boost Your Business’ Competitive Edge
By allowing Amazon to help you with complete order fulfillment, your business can be more tuned and less stressed, giving you more time to customize other valuable growth and marketing strategies.
Cons Of MCF
Individual Platform Limitations
Not all marketplaces support Amazon Multichannel FBA, for example, Walmart does not allow orders to arrive in Amazon-branded packaging.
Strict Product Restrictions
MCF imposes strict product restrictions, and sellers need to strictly check their products.
Slow Delivery Time
Shipping time with MCF is slower than FBA, and MCF is not integrated into any other marketplace’s fast shipping labels.
Multi-Channel Fulfillment Services Beyond Amazon
Amazon MCF is not the only way to fulfill orders from several channels. Independent multi-channel fulfillment services (3PLs and fulfillment agents) keep one pool of inventory and connect to all your stores, so orders from Shopify, WooCommerce, marketplaces or CSV uploads are shipped from the same stock. The main differences from MCF are unbranded or custom packaging, no Amazon restrictions on which marketplaces you can serve, and pricing that does not depend on Amazon’s fee tables. For sellers sourcing from China, an agent that also stores and ships the goods can combine sourcing, inventory and multi-channel fulfillment in one place.
What is Amazon FBA?
FBA is a service provided by Amazon, including warehouse management, packaging, and shipping to after-sales service, allowing sellers to focus only on selling! Once the merchandise arrives in the U.S. by sea, air, etc., and enters Amazon’s designated warehouse, Amazon FBA will handle all of the packaging, warehouse management, shipping, and returns for you in that country.
Pros Of FBA
Selling Easier
With FBA, selling on Amazon becomes easier and your business can flourish with AMZ’s solid reputation. The platform already enjoys so much customer loyalty thanks to its top-notch service. By letting them handle fulfillment for you, people are more likely to buy your products.
Efficient Order Fulfillment
AMZ is an e-commerce giant with more money, resources, and employees than you. They can handle payment processing and fulfillment logistics more efficiently than you can. With FBA, your customers will receive fast and efficient shipping and customer service.
Using Amazon Logistics makes your products eligible for free Prime shipping. Customers are more likely to buy your products because everyone likes fast, free shipping. This gives you an advantage over sellers who don’t use FBA.
Using FBA is Cost-Effective
Since you don’t have to worry about renting or buying a warehouse, hiring employees, or handling shipping logistics, you incur fewer costs. If you’re an FBA seller, your chances of winning a Buy Box increase. By using Amazon to pack and ship your orders on your behalf, you’ll have more time. You can focus on expanding your online business.
Cons Of FBA
Higher Payment Fees
As an FBA seller, you must pay AMZ for its services. These fees include fulfillment and warehousing fees. In addition, if your item does not sell quickly and stays in Amazon’s warehouse for more than 365 days, you will incur long-term storage costs.
Preparing and packaging your products as required can be very labor-intensive. If you don’t do a good job, AMZ will handle it for you, but you will be charged a fee.
Difficult To Build Your Brand
Products using this model carry the Amazon logo, which makes it difficult for brand owners to build brand awareness and improve their reputation.
What is the Difference Between FBA and MCF?
There is one major difference between Amazon’s FBA and MCF programs. FBA focuses on sales made through Amazon, while MCF focuses on sales made through the seller’s other channels.
1
Channels are Different
FBA: On Amazon
MCF: The sellers’ website or other marketplace websites
2
Shipping Options are Different
FBA: next-day shipping and 2-day shipping
MCF: next-day, 2-day, and standard (3-5 business days)
3
Fees Are Different
FBA: Amazon FBA fees include:
A flat fee per unit, based on the size and weight of the product
A referral fee on each sale (around 15% in many categories)
Storage fees
4
Shipping And Handling Fees
MCF: Amazon charges FBA fees for Amazon Prime orders, and has separate MCF fees for orders placed on sites outside of Amazon that are based on order weight and size.
Conclusion
Honest FulPhilment is an omnichannel fulfillment expert, and we have helped many clients develop and implement omnichannel fulfillment strategies. We take care and attention to every order, and we are always looking for ways to create a better out-of-the-box experience for our customers’ customers. We think it’s our job to make your brand look good, so Contact Us Today!
FAQ
What is Amazon Multi-Channel Fulfillment?
Amazon Multi-Channel Fulfillment (MCF) is a service that uses inventory stored in Amazon's fulfillment centers to ship orders placed on other sales channels, such as your Shopify store, website or another marketplace. Amazon picks, packs and ships the order and provides tracking.
What are multi-channel fulfillment services?
Multi-channel fulfillment services store one pool of inventory and ship orders from all your sales channels (your own store, Amazon, eBay, TikTok Shop and others) from that single stock. Amazon MCF is one option; independent 3PLs and fulfillment agents offer the same service with unbranded packaging.
What is the difference between FBA and MCF?
FBA fulfills orders placed on Amazon and makes products eligible for Prime. MCF uses the same inventory to fulfill orders from channels outside Amazon, with separate fees based on order size, weight and shipping speed.
Can I use Amazon MCF for Walmart orders?
Walmart does not allow orders to be delivered in Amazon-branded packaging, so sellers who use MCF for Walmart must request unbranded packaging or use a different fulfillment provider. Always check each marketplace's rules before using MCF.
Is multichannel fulfillment good for small businesses?
Yes. Keeping one inventory pool for all channels avoids overselling and duplicate stock. Small sellers who already use FBA can start with MCF; sellers who want branded packaging or lower costs often use an independent fulfillment provider instead.