Post Brexit Pan-European FBA: The Next Steps

From the 1st of January, 2021, the UK is formally due to leave the EU’s Single Market and Customs Union. This means that there will be a customs border, calling to end the Pan-European FBA inventory transfers between the UK and the EU.

WHAT DOES THIS MEAN?

Pan-European FBA allows for faster delivery and inventory is visible to millions of customers across Europe. Bringing this to an end can cause sales opportunities to go from 446 million to 66 million Brits only. The UK centres will no longer be used in order to fulfil orders in Europe.

The Solution: Inventory Split

If you wish to operate in the UK and the EU marketplaces, Amazon suggests an Inventory Split. This tactic will ensure you have sufficient stock on either side of the new customs borders. With Pan-European FBA however, Amazon will continue to proactively transfer inventory across the EU, supporting your sales on our Germany, France, Italy and Spain marketplaces.

To help you manage this challenge, Amazon will be providing you with a suggested replenishment split for your products. The recommendation are based on estimated future demand for your FBA products in the UK and EU. The split is provided for your convenience and general reference purposes only. The exact amount of stock being sent is in your control.

RT7Digital has done extensive due diligence with regard to BREXIT and how this may affect current and new sellers on the Amazon marketplace. Should you wish to penetrate the EU market via Amazon, do not hesitate to contact us to discuss this business venture further. Email us on contact@rt7digital.com