Why Hiring a Local 3PL is Better Than Using Amazon FBA for Small Brands
Amazon FBA vs. Local 3PL
For many small brands, Amazon seems like the go-to solution for fulfillment. Amazon FBA (Fulfilled by Amazon) promises Prime shipping, massive reach, and built-in logistics. But while it looks attractive on the surface, FBA often comes with hidden costs, strict rules, and loss of brand control.
That doesn’t mean small businesses should avoid selling on Amazon—it just means there’s a better way. By working with a local Third-Party Logistics provider (3PL) and using Amazon FBM (Fulfilled by Merchant), small brands can keep selling on Amazon while retaining flexibility, brand ownership, and better margins.
1. Keep Selling on Amazon Without Giving Up Control
With FBA, your products are shipped in Amazon-branded packaging, and your customer relationship is filtered through Amazon. With FBM powered by a local 3PL, you still list your products on Amazon, but your 3PL fulfills the orders on your behalf.
That means:
You keep access to Amazon’s massive customer base.
You maintain control over packaging, branding, and inserts.
Customers remember your brand—not just that they “bought it from Amazon.”
2. Lower Fees and More Predictable Costs
Amazon FBA’s fee structure is notoriously complex, with fulfillment fees, storage costs, long-term penalties, and returns processing that eat into profits.
A local 3PL operating through FBM gives you straightforward, transparent pricing. You pay for storage, pick & pack, and shipping—without all the surprise charges. For small brands, this makes it much easier to budget and protect margins.
3. Fulfillment That Works Across Channels
One of the biggest drawbacks of FBA is that inventory is locked inside Amazon’s system. That makes it difficult to also sell through Shopify, wholesale, subscription boxes, or other marketplaces.
With FBM and a local 3PL, you’re free to sell across every channel—your website, retail partners, and Amazon. Your 3PL handles all the orders in one streamlined system, giving you multichannel flexibility and less operational stress.
4. Faster Customer Support and Real Partnerships
When issues come up with FBA (and they do), resolving them through Amazon support can be slow and frustrating. With a local 3PL, you have a direct line to a real team that knows your business. You can visit the warehouse, review inventory, and get proactive support to optimize your fulfillment strategy.
5. Smarter Inventory Management
Amazon enforces strict rules for labeling and shipping, and mistakes often result in penalties or delays. A 3PL helps you track inventory in real time, forecast demand, and prevent stockouts or overstocks. This makes FBM not just more flexible but also more reliable.
6. Better Packaging and Customer Experience
FBA ships in Amazon-branded boxes. FBM through a 3PL allows you to customize packaging with branded boxes, eco-friendly materials, or personalized touches that build loyalty and improve customer experience.
The Bottom Line
Amazon is an essential sales channel for many small brands, but FBA isn’t always the best option. By using FBM with the support of a local 3PL, you get the best of both worlds: access to Amazon’s customers plus full control over your brand, better pricing, and flexibility to sell across multiple channels.
For small businesses ready to grow on their own terms, partnering with a local 3PL for Amazon FBM is a smarter, more sustainable strategy than relying on FBA.