How to Reduce Shipping Costs for Amazon Sellers – Practical Tips That Work

Shipping is one of the biggest expenses for Amazon sellers—and if you’re not careful, it can quietly eat away at your profits. Whether you're importing from overseas or moving products from a prep centre to Amazon’s fulfilment network, it’s crucial to optimise your shipping strategy.

At FA Prep, we work with sellers every day to help them reduce costs, streamline logistics, and avoid unnecessary fees. Here's a breakdown of the most effective ways to cut shipping costs—without compromising quality or speed.

1. Ship to a Prep Center Before Amazon FBA

The mistake:

Many sellers send products directly from their supplier to Amazon. But if those shipments aren’t prepped correctly, Amazon will charge you extra for labelling, packaging, or even refuse the shipment altogether.

The solution:

Use a prep centre like FA Prep to consolidate, inspect, and prepare your inventory before it reaches Amazon. This reduces:

• Amazon’s FBA prep fees

• The risk of rejected or delayed shipments

• Storage costs by sending in stock strategically

💡 Bonus: You avoid restock limit issues by holding inventory at FA Prep and sending it to Amazon in smaller, more controlled batches.

2. Consolidate Shipments

The mistake:

Shipping multiple small packages costs more per unit than sending one larger shipment.

The solution:

Work with your supplier and FA Prep to combine smaller shipments into one larger one. Whether you're importing from China or shipping domestically, consolidation can significantly reduce:

• Per-unit shipping costs

• Handling fees

• Customs charges

💡 Tip: If you're ordering from multiple suppliers, have them ship to FA Prep, where everything can be consolidated into one FBA-compliant shipment.

3. Use Sea Freight Over Air Freight (When Possible)

Sea Freight

The mistake:

Many new sellers default to air freight because it’s faster—but it’s also much more expensive.

The solution:

Use sea freight for larger or less time-sensitive shipments. It may take longer, but the cost per unit is significantly lower. Then, let FA Prep store the inventory and forward it to Amazon when needed.

💡 Tip: Use air freight only for fast-moving SKUs or product launches—and sea freight for replenishment.

4. Choose DDP Shipping to Avoid Surprise Fees

The mistake:

If your shipping terms are DAP (Delivered at Place), you may end up covering unexpected customs duties, taxes, and clearance fees.

The solution:

Use DDP (Delivered Duty Paid) shipping whenever possible. Your freight forwarder handles customs, duties, and VAT, and you avoid unexpected costs when the goods arrive in the UK.

💡 Tip: A freight forwarder experienced with Amazon shipments to prep centres will usually offer DDP as an option—ask for it.

5. Optimise Packaging Dimensions & Weight

The mistake:

Oversized or poorly packed boxes lead to higher shipping fees—especially with Amazon’s strict dimensional weight pricing.

The solution:

• Work with your supplier and FA Prep to ensure:

• Cartons are right-sized to reduce dimensional weight.

• Products are packed efficiently to maximise space.

• Unnecessary void fill or bulky packaging is avoided.

💡 Tip: FA Prep can repackage or resize shipments that arrive inefficiently packed, saving you money in the long run.

6. Use the Amazon Partnered Carrier Program (UK/US)

The mistake:

Some sellers pay too much by booking courier services manually without realising Amazon has discounted rates.

The solution:

Use the Amazon Partnered Carrier Programme (PCP) when sending inventory from FA Prep to Amazon. These rates are often cheaper than third-party couriers.

💡 Tip: FA Prep can manage this entire process for you—printing box labels and booking collection with a partnered carrier at the best rate.

7. Batch Shipments Strategically

The mistake:

Sending shipments to Amazon every few days or week-by-week can rack up courier and labour costs.

The solution:

Plan ahead and batch your shipments. Let FA Prep store your stock, and send to Amazon in larger, less frequent deliveries. This reduces:

• Per-shipment handling fees

• Outbound courier costs

• Your overall labour time

💡 Tip: Use sales data to forecast when you’ll need restocks, so you can plan batches more efficiently.

8. Build Relationships with Freight Forwarders & Carriers

The mistake:

Shopping for quotes every time can work early on, but long-term sellers benefit from relationship-based pricing.

The solution:

Build a relationship with a reliable freight forwarder and work with a trusted prep centre like FA Prep, who can coordinate your logistics and even help negotiate better rates on your behalf.

💡 Tip: Ask FA Prep for referrals to freight forwarders they trust—you’ll get better rates and smoother service.

Final Thoughts – Smarter Shipping = Higher Profits

Shipping doesn’t have to drain your margins. By following these strategies—consolidating shipments, using a prep centre, optimising packaging, and planning ahead—you’ll cut unnecessary costs and increase your profitability.

At FA Prep, we work closely with sellers to reduce shipping costs, streamline operations, and help businesses scale without waste.

🚀 Need help reducing your shipping costs? Contact FA Prep today for affordable, reliable FBA prep and storage services.