Guide To Packaging For Amazon

Last Updated on July 3, 2025 by Kira Andrus

To get their new businesses off the ground, many retailers use Amazon.com to drive in extra sales revenue. Amazon’s platform entices many entrepreneurs because it already offers a variety of products and services. Amazon Marketplace is a resource for businesses, big and small, to sell their products and reach large audiences. In 2022, Amazon made most of its money – $220 billion – in global net sales, but its second-largest source of revenue – $118 billion – came from third-party sellers who use Amazon’s platform to sell their products. 

Learn the ins and outs of packaging and shipping products for retail through Amazon. Because the packaging process varies based on the shipping program, let’s discuss Amazon’s seller programs.

Fulfilled by Merchant

There are two ways to sell products through Amazon. The first way is through a program called “Fulfilled by Merchant” (FBM). Through this program, sellers can handle their own inventory, packaging, and shipping directly to their customers. FBM is ideal for businesses that prefer control over fulfillment and can manage logistics effectively. 

• Key Features – Businesses are responsible for each part of fulfillment and shipping. Businesses have direct control over inventory management, and the fees paid to Amazon are typically lower since businesses are handling their own logistics. 
• Benefits – The biggest benefit to managing fulfillment and shipping for a business is customization. Businesses can manage custom orders, add a personalized note, and showcase their brand. Additionally, businesses can handle customer issues and inquiries directly, which increases customer satisfaction with personal customer service. 
• Drawbacks – For some businesses, the benefit of handling customer service could potentially be a drawback, especially if human resources are limited. Another downside is that businesses not using Amazon Prime may get less visibility and, in turn, fewer sales. 

Fulfilled by Amazon

Amazon offers storage, shipping, and service through a program it calls “Fulfilled by Amazon” (FBA). Using FBA means shipping inventory to an Amazon facility to be stored and eventually shipped from, offering access to a wide range of resources. Shipping products to Amazon cannot be done until a Selling on Amazon account is made, FBA is added to the account, and inventory has been cataloged. Once these steps have been completed, Amazon is ready to start receiving shipments.

• Key Features – With FBA, businesses send their inventory to Amazon’s fulfillment centers and Amazon takes care of picking, packing, and shipping to customers. Amazon also manages customer service inquiries, refunds, and returns. 
• Benefits – A major benefit of FBA is exposure to Amazon Prime members. Increased visibility and eligibility for fast, free shipping could result in more sales. Amazon’s network could provide an improved buying experience for customers with Amazon handling all customer service issues. Using FBA could also save money as Amazon estimates “shipping with FBA costs 70% less per unit than comparable premium options offered by other major US carriers.” Another benefit is the opportunity to utilize multiple channels or platforms for fulfillment (MCF) to reach a wider audience. 
• Drawbacks – The drawbacks are simple. By giving Amazon the product to ship, businesses have less control over the packaging and shipping methods, and fees for the service can add up. Storage, fulfillment, and fees for items that don’t sell quickly can offset the benefit of outsourcing shipping and customer service. Amazon charges a monthly inventory storage fee, and fulfillment costs start at a flat rate per package but increase depending on the size and weight of a package. 

5 Packaging Considerations for Shipping 

Whether packaging for shipping directly to customers (FBM) or packaging for storage and shipping through Amazon (FBA), here are five points to consider when packaging products:  

1. Shipping Bags – Shipping bags can be a great way to deliver clothing and textile materials. If using the FBA program, keep in mind that Amazon requires many items (e.g. clothing, textiles) to be shipped via a clear poly bag. Clear poly bags are simple to package and label, and should be clearly marked to avoid confusion, especially when shipping duplicate items sold as a set. Amazon requires a poly bag with at least 1.5 mil thickness, a minimum 5” opening, and a suffocation warning (printed on bag or labelled). For those businesses that are shipping their own products (FBM), poly bags and other mailers are easy to customize – drawing attention to the brand right on the packaging. Depending on the product, a smaller bag size may keep costs down and better fit the product being shipped.  
2. Shipping Boxes – Regardless of whether shipping through Amazon or independently, businesses can better protect products and save on shipping costs (or Amazon fees) by using boxes that properly fit the product. Amazon requires double-walled, corrugated boxes that are no more than 25 inches per side (unless containing oversized items). Using a high-quality, sturdy box that is the right size for a product keeps items from bouncing around during transit and elevates the look of the product on unboxing. Likewise, double boxing – using a box within a shipping box – provides protection and adds perceived value to the product. 
3. Fragile Items – The first step in protecting fragile items for shipping is choosing the right box. Having a box that is only slightly larger than the product will keep the item from moving too much in transit. Next, adding protective or cushioning materials like bubble wrap fills any voids and prevents movement. Ensure extra protection for the product as Amazon requires fragile items to pass a 3-foot drop test. Using custom inserts or double-boxing items can add an extra layer of protection. If using FBA, make sure to label fragile items to alert Amazon warehouse staff to take extra precautions with the product. 
4. Clear Labelling – Today’s consumers appreciate clear labelling to let them know more about their purchase. QR codes and sticker labels can tell customers more about the packaging or product such as eco-friendliness, product uses, or to share the backstory of the product or brand. Labelling clearly is also essential when shipping products through Amazon. Each unit sent to Amazon for shipping needs seller information and special labelling. Amazon also requires a FBA label that must be adhered by the supplier or can be placed by Amazon for a per-item fee. In addition to these labels and suffocation warning labels, some items may require special labeling (e.g. FNSKUs, barcodes). Preparing items to be sent to Amazon for order fulfillment requires an organized process and clear labelling. 
5. Amazon Buy Shipping – For the businesses that want control over packaging and shipping to their customers but could use support with shipping carriers, Amazon also offers Amazon Buy Shipping. Through this program, FBM customers can get discounted rates with major shipping companies. This tool allows businesses to buy shipping labels directly from Amazon while providing support with claims. Because businesses control their packaging and shipping methods with FBM, they have the opportunity to highlight their brand and customize their packaging while still enjoying an Amazon-negotiated shipping rate.

Choosing between Fulfilled by Merchant (FBM) and Fulfilled by Amazon (FBA) for packaging and shipping products largely depends on each business’s individual needs and priorities. However, packaging and shipping products can be similar. After determining product type, volume, and budget, businesses can factor in their branding strategy and determine which packaging and shipping method works best for business goals. By determining and balancing all of these factors, businesses can leverage Amazon’s Marketplace to increase their efficiency and customer satisfaction.