Ready to tap into a whole new customer base by expanding across international borders but feel held back by the complexities that international selling brings?
The Amazon North America Remote Fulfillment (NARF) program, also known as Remote Fulfillment with FBA, is designed to take all the hassle out of international selling. Amazon FBA sellers can list their products on Amazon Mexico, Canada, and Brazil – without storing inventory in those locations.
In this article, we’ll cover:
- What the North America Remote Fulfillment Program is
- How NARF works
- How to enroll
- What to tell your insurer
- Benefits and drawbacks you need to know
- Optimizing your international sales with ads and promotions
What is the Amazon NARF Program?
How does it work? It’s simple. The program allows sellers to offer products on Amazon in Canada, Mexico, and Brazil, fulfilled entirely from their US-based inventory. It’s connected to the Fulfillment by Amazon (FBA) network, so your products stocked in Amazon’s US fulfillment centers are shared across the four Amazon marketplaces.
Here’s the best part – you get a single “Global SKU” for each product. That’s right, no need for separate listings for each marketplace.
Not forgetting to mention the Prime shipping bonus. With NARF, Prime shipping takes 5 to 9 days in Mexico and 7 to 12 days in Canada, and the customer covers the import duties and taxes.
Who is Eligible for the Amazon NARF Program?
So, the idea of expanding into global markets has piqued your interest. But, are you eligible to participate?
Let’s break it down. You must:
- Have a professional Amazon seller account
- Upgrade to a North America and Brazil Unified Account with FBA Export enabled (This can be done by going to ‘upgrade to a unified account’ in Seller Central)
- Use FBA in the US
- Meet trade compliance and regulations in the country of sale
This excludes restricted, prohibited, and dangerous goods.
How Does Remote Fulfillment on Amazon Actually Work?
Expanding your business to international markets can be a daunting task, but the Amazon NARF program streamlines the whole process. Here’s how:
- Complete your enrolment in the Remote Fulfillment with FBA program and select which marketplaces you want to expand into
- The ‘Build International Listings’ tool will duplicate and translate your listings into the local language
- Amazon will auto-adjust your prices based on the import duties and difference in fees for the target country’s marketplace
- Customers will shop for your FBA products on their local marketplaces (Amazon Mexico, Amazon Canada, and Amazon Brazil)
- Amazon will ship your orders from US fulfillment centers to customers abroad
- Amazon will provide customer support and take care of all import duties and taxes
It’s as simple as that!
Hold On. What’s the difference between FBA Export and Remote Fulfillment with FBA?
Through FBA Export, your products are available for purchase to customers worldwide on Amazon.com and are shipped from the US.
North America Remote Fulfillment with FBA is part of Amazon Global Selling, which means your products are available directly on the Canadian, Mexican, and Brazilian marketplaces. So, customers shop for your products via their local marketplace, and your orders will appear in your Canada, Mexico, or Brazil seller account. Remember, these are all under one unified account though, so you can easily switch between them in Seller Central.
Want to know more about Amazon Global Selling? Check out:
How to Enroll in the Amazon NARF Program
- Head over to the Remote Fulfillment with FBA page in Seller Central. This platform is your gateway to NARF Program enrollment.
- Once there, your next step is selecting the marketplaces you want to expand into. You have Canada, Mexico, and Brazil as options and you can choose either one or all during enrollment.
- At this point, Amazon lays out all the fees clearly, with relatable examples to ensure you fully understand the cost – so take some time to review them.
- Finally, if any of your eligible SKUs are both FBA and FBM, you must remove the seller-fulfilled offers during enrollment. This is simply because a SKU can’t be tagged with both NARF and FBM. But don’t worry. You can create a new SKU for your FBM offers.
NARF Fees
Here are the fees for North America remote fulfillment, which cover the cost of cross-border shipping into the country of sale.
Amazon’s 2024 Fee Structure for Canada Remote Fulfillment
Size tier | Shipping weight | Fulfillment fee per unit (CAD, Canadian Dollars) |
---|---|---|
Small standard | 2 oz or less | $8.21 |
2+ to 4 oz | $8.38 | |
4+ to 6 oz | $8.55 | |
6+ to 8 oz | $8.69 | |
8+ to 10 oz | $8.83 | |
10+ to 12 oz | $8.97 | |
12+ to 14 oz | $9.11 | |
14+ to 16 oz | $9.29 | |
Large standard | 4 oz or less | $9.46 |
4+ to 8 oz | $9.82 | |
8+ to 12 oz | $10.26 | |
12+ to 16 oz | $10.63 | |
1+ to 1.25 lb | $12.05 | |
1.25+ to 1.5 lb | $12.75 | |
1.5+ to 1.75 lb | $12.98 | |
1.75+ to 2 lb | $13.63 | |
2+ to 2.25 lb | $13.84 | |
2.25+ to 2.5 lb | $14.29 | |
2.5+ to 2.75 lb | $14.44 | |
2.75+ to 3 lb | $15.08 | |
3+ lbs to 20 lbs | $15.61 | |
per 4-oz over 3lbs | $0.11 | |
Large bulky | 0+ to 50 lbs | $20.08 + $0.80 per lb above first lb |
Extra-large 0 to 50 lb | 0+ to 50 lbs | $37.43 + $0.80 per lb above first lb |
Extra-large 50+ to 70 lb | 50+ to 70 lbs | $71.76 + $0.80 per lb above first 51 lb |
Extra-large 70+ to 150 lb2 | 70+ to 150 lbs | $78.64 + $1.17 per lb above first 71 lb |
Amazon’s 2024 Fee Structure for Mexico Remote Fulfillment
Size tier | Shipping weight | Fulfillment fee per unit (MXN, Mexican Pesos) |
---|---|---|
Small standard | 2 oz or less | $132.66 |
2+ to 4 oz | $134.64 | |
4+ to 6 oz | $136.62 | |
6+ to 8 oz | $138.74 | |
8+ to 10 oz | $140.86 | |
10+ to 12 oz | $144.69 | |
12+ to 14 oz | $148.51 | |
14+ to 16 oz | $149.34 | |
Large standard | 4 oz or less | $150.17 |
4+ to 8 oz | $153.74 | |
8+ to 12 oz | $160.86 | |
12+ to 16 oz | $167.75 | |
1+ to 1.25 lb | $183.11 | |
1.25+ to 1.5 lb | $188.89 | |
1.5+ to 1.75 lb | $190.82 | |
1.75+ to 2 lb | $196.48 | |
2+ to 2.25 lb | $198.36 | |
2.25+ to 2.5 lb | $200.97 | |
2.5+ to 2.75 lb | $201.84 | |
2.75+ to 3 lb | $210.07 | |
3+ lbs to 20 lbs | $217.29 | |
per 4-oz over 3lbs | $1.01 | |
Large bulky | 0+ to 50 lbs | $320.74 + $6.90 per lb above first lb |
Extra-large 0 to 50 lb | 0+ to 50 lbs | $810.01 + $6.90 per lb above first lb |
Extra-large 50+ to 70 lb | 50+ to 70 lbs | $850.51 + $6.90 per lb above 51 lb |
Extra-large 70+ to 150 lb2 | 70+ to 150 lbs | $1,244.24 + $9.57 per lb above 71 lb |
Amazon’s 2024 Fee Structure for Brazil Remote Fulfillment
Size tier | Shipping weight | Fulfillment fee per unit (BRL, Brazilian real) |
---|---|---|
Small standard1 | 2 oz or less | R$59.64 |
2+ to 4 oz | R$59.64 | |
4+ to 6 oz | R$67.91 | |
6+ to 8 oz | R$67.91 | |
8+ to 10 oz | R$69.50 | |
10+ to 12 oz | R$69.50 | |
12+ to 14 oz | R$77.77 | |
14+ to 16 oz | R$77.77 | |
Large standard | 4 oz or less | R$68.97 |
4+ to 8 oz | R$82.60 | |
8+ to 12 oz | R$84.80 | |
12+ to 16 oz | R$89.11 | |
1+ to 1.25 lb | R$95.54 | |
1.25+ to 1.5 lb | R$95.54 | |
1.5+ to 1.75 lb | R$96.85 | |
1.75+ to 2 lb | R$96.85 | |
2+ to 2.25 lb | R$121.40 | |
2.25+ to 2.5 lb | R$121.40 | |
2.5+ to 2.75 lb | R$122.37 | |
2.75+ to 3 lb | R$122.37 | |
3+ lbs to 20 lbs | R$177.88 | |
per 4-oz over 3lbs | N/A | |
Large bulky | 0+ to 50 lbs | R$301.65 |
Extra-large 0 to 50 lb | 0+ to 50 lbs | R$301.65 |
Extra-large 50+ to 70 lb | 50+ to 70 lbs | R$1,317.53 |
Extra-large 70+ to 150 lb2 | 70+ to 150 lbs | R$1,317.53 |
Note: Be sure to check Seller Central for the latest fee updates from Amazon.
How Do I Know What Size Tier My Product Is?
Amazon Determines size tiers based on weight and size. Simply find the row in the below table with the measurements that do not exceed the weight and size of your product:
Product size tier | Greater of unit weight or dimensional weight | Longest side | Median side | Shortest side | Length + girth |
---|---|---|---|---|---|
Small standard-size | Up to 16 oz | Up to 15 inches | Up to 12 inches | Up to 0.75 inch | Not applicable |
Large standard-size | Up to 20 lb | Up to 18 inches | Up to 14 inches | Up to 8 inches | Not applicable |
Large bulky | Up to 50 lb | Up to 59 inches | Up to 33 inches | Up to 33 inches | Up to 130 inches |
Extra-large 0 to 50 lb | Up to 50 lb | Extra-large exceeds 59 inches for the longest side, 33 inches for the median side, 33 inches for the shortest side, or 130 inches for length + girth, or the product’s greater of unit weight or dimensional weight exceeds 50 lb. | |||
Extra-large 50+ to 70 lb | 50+ to 70 lb | ||||
Extra-large 70+ to 150 lb | 70+ to 150 lb |
Do I Need to Let My Insurer Know I’m Selling in Another Country?
Great question! When you’re expanding your business internationally, it’s crucial to keep your Amazon insurance provider in the loop to ensure your policy covers the new risks and challenges – and increase in sales – associated with selling internationally on Amazon.
Depending on your insurance provider, you may need to notify them, and your premium may be updated to reflect the change.
With Assureful, you don’t need to worry about this step. Our integrated solution picks up any changes within your North America and Brazil unified selling account, so you don’t need to notify us. We’ve got you covered!
Get insured for your international sales with Assureful
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Benefits and Drawbacks of Remote Fulfillment: Essential Seller Knowledge
Like any business decision, enrolling in the Amazon NARF program comes with its own set of pros and cons, so ensure you’ve considered both sides of the coin before signing up.
How Does the Amazon NARF Program Benefit Sellers?
- Test Out New Markets: The program enables quick, risk-free market testing in Canada, Mexico, and Brazil – without the need for local inventory. This means you can test the waters without a hefty upfront investment to purchase and store inventory in each country.
- Simplified Logistics: All orders shipped from the US, with Amazon handling fulfillment. What’s not to love?
- Free Shipping for Prime Customers: Prime customers can take advantage of faster shipping than those without Prime memberships, a huge benefit versus selling via FBA Export.
- No Need to File and Pay Taxes in Mexica, Canada, or Brazil: The customer is the importer of record, not the seller, so all tax-related matters are taken care of at checkout, saving you the headache and cost of dealing with international tax laws and import duties.
- Amazon Handles the Import Duties and Taxes: Amazon handles the import duties by automatically estimating the amount that will be due and adding it to the amount the customer pays at checkout, with no extra cost or hassle for you.
- One Unified Account: The North America and Brazil Unified Account means you can sell on all four marketplaces, without creating entirely new accounts and listings. The Build International Listings tool duplicates existing listing information and calculates your international prices based on your US price and fee variations between each marketplace.
Drawbacks of NARF for Amazon US Sellers
- Increased customer costs: Customers may face higher costs due to their responsibility for paying import duties and taxes. The cheaper alternative from the customer’s perspective is storing your stock in local Amazon fulfillment centers within each country – but of course, that comes at a huge upfront cost to you. Remote fulfillment could potentially affect your price competitiveness and sales volume in foreign markets.
- Longer Shipping Times: Even though Prime customers still get priority shipping, shipping times are longer compared to domestic orders, which could impact customer satisfaction and ratings.
- Currency Exchange Rates: While Amazon does adjust your price automatically according to the exchange rate, you should still actively monitor and adjust for currency exchange rates to ensure your prices remain competitive and profitable.
- Varied Fulfillment Fees: Fulfillment fees for orders fulfilled through NARF are higher than standard domestic FBA fees since the orders are being shipped internationally. If not managed correctly in line with your pricing and fluctuating exchange rates, it could impact your overall profits.
- Amazon’s Infrastructure: In particular, Amazon Brazil. Brazil is a newer marketplace for Amazon and they’re a latecomer to the Brazilian market. This means that there are arguments for using more established, third-party logistics alternatives. However, this comes with the added costs of storing inventory locally in Brazil to take advantage of these local partners.
Our Verdict
Overall, the Amazon NARF program is an excellent opportunity for US sellers to test new markets and see how their products are received overseas.
As for a permanent solution to maximize your competitiveness in these marketplaces and scale your Amazon business overseas, sellers should consider the value of investing in transitioning to local fulfillment to offer customers the best pricing, shipping time, and overall experience.
Advertising and Promotions: How to Optimize Remote Fulfillment Sales
As a seasoned seller, you’re likely already well-versed in promotions, deals, and advertising on the Amazon marketplace. The strategies you already use on Amazon.com can be adapted for your new markets. Here are the top things to note when it comes to advertising and deals with remote fulfillment on Amazon:
Accessing your Amazon advertising in Seller Central is a breeze. You can easily switch between advertising accounts for the US, Canada, Mexico, and Brazil. This allows you to copy advertising strategies in the US over to other markets and experiment with strategies to see what works.
You can even track performance across your marketplaces and campaigns with a single view of your global Amazon Ads activity.
And here’s a bonus: generally, bids and CPC prices tend to be cheaper in the other North American and Brazilian markets due to lower competition. This means you can potentially get more bang for your buck with your advertising spend.
What about deals and promotions?
They work similarly across every Amazon marketplace, but there are a few key differences when it comes to running promotions in Mexico and Brazil:
- Deals and free to create
- Coupons have zero redemption fees
- There is no Amazon Vine program yet
Remember, the key to success with the Amazon NARF program is to stay flexible, adaptable, and vigilant. Monitor your performance, learn from your successes and failures, and don’t be afraid to try new things.
Don’t let international growth be your ultimate downfall.
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Want to read more about going global in our Amazon Scaling Series? Check these out:
- How to make an Amazon storefront and boost your sales
- Looking legit – Amazon Brand Registry
- Discover Amazon’s top-selling countries so you know where to sell next
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