Amazon launches fulfilment centre programme for sellers in small town India

The Multi-Seller Flex programme would enable Amazon to offer customers a wider Prime selection and faster deliveries and create thousands of indirect jobs in tier 2 and below geographies.

Ahead of its flagship sale event Prime Day, Amazon India has launched ‘Multi-Seller Flex’ (MSF) to enable sellers from tier-2 and smaller towns to earn a Prime badge for their listings. Sellers using MSF will benefit from this launch with access to millions of Prime members.

Multi-Seller Flex sites are fulfilment centres operated by authorised third-party service providers (Local Entrepreneurs). As part of the programme, Amazon.in partners with local entrepreneurs to provide sellers with storage for their inventory and processing of customer orders while Amazon will provide shipping and logistics support for seller shipments.

Srikant Sreeram, director, Seller Flex at Amazon India, said with a higher number of sellers joining e-commerce from tier-2 and smaller cities, the company is partnering with third-party service providers who can benefit from the revenues they earn for owning and operating Multi-Seller Flex sites. This would enable sellers from tier-2 and smaller to access Amazon Prime benefits to sell to customers across the country. He said the launch of MSF will also reduce the time to launch sellers’ products on the marketplace significantly and will also help in eliminating significant operational costs. These benefits can help support and drive the digitization of SMBs that seek to access and service a wide customer base through the online marketplace.

“This launch will enable Amazon to offer customers a wider Prime selection and faster deliveries for Prime members, enabling entrepreneurship and creation of thousands of indirect jobs in tier 2 and below geographies,” said Sreeram.

With this launch, sellers can engage with local entrepreneurs to send their products to the nearest MSF site and make them available to customers across the country. Using the nearest MSF will enable sellers to save on transportation costs associated with sending products to the Amazon Fulfilment Centres (FCs) outside their city. Small sellers who require support in storing their inventory and processing customer orders will benefit from this programme. Thousands of sellers from about 100 tier-2 and smaller towns such as Kottayam, Panipat, Nellore, Valsad, Hisar among many more are already using MSF. They will be participating during the upcoming Prime Day on July 26 and 27, 2021.

“The Multi-Seller Flex programme has allowed us to secure a Prime badge for our products. This programme has resulted in faster deliveries to customers, which in turn has increased the number of orders we receive,” said Shruti K Prince, proprietor, Raintech Online Store. “Having an MSF site in Kottayam has limited operational costs associated with transporting and warehousing, enabling us to earn higher profits. In addition, having Amazon’s world-class logistics and support network to manage deliveries has allowed us to focus on product innovation, while our other business processes run seamlessly.”

The local entrepreneurs also benefit from this programme as they can generate additional revenue streams while playing an integral role in creating greater awareness and understanding of e-commerce. The local entrepreneurs will also have the option to expand their business by joining other Amazon programmes like Amazon Easy to provide assisted shopping experience to customers or set up Amazon Digital Kendra, a brick-and-mortar resource centre. The facility provides micro small and medium enterprises with the opportunity to learn about the benefits of e-commerce. They can avail a range of third party services such as shipping and logistics support, cataloguing assistance, digital marketing services, GST and taxation support.

“Partnering with Amazon India to set up a Multi-Seller Flex site has allowed me to earn an additional source of income and support a team of 10 individuals,” said Chandru, managing partner, Sri Abirami Logistics. “As an MSF operator, I have been able to support small businesses around Madurai and Tirunelveli to sell their products across the country, creating jobs and supporting the local economy. It is humbling to witness the impact of this program in the lives of other individuals residing in Madurai.”

This Prime Day, over 100 small and medium businesses including startups and brands, women entrepreneurs, artisans and weavers are launching more than 2,400 new products. These are across categories and over 75,000 local neighbourhood offline shops on Amazon that will make their Prime Day debut.