Amazon Launches Subscribe & Save for Merchant-Fulfilled Orders

Amazon has recently expanded their Subscribe & Save program to Merchant-fulfilled products. This exciting update means that FBM sellers can now tap into the same brand loyalty and repeat customer benefits that were previously exclusive to FBA sellers –providing a fantastic opportunity to enhance customer retention and boost sales!

What is Amazon's Subscribe & Save Program?

Amazon’s Subscribe & Save program lets sellers offer discounts to customers who schedule regular, recurring orders—whether it’s every 2 weeks or every 6 months. By enrolling your items, you make it effortless for customers to keep buying from you, automatically reordering instead of hunting for alternatives. It’s a surefire way to boost sales and build lasting customer loyalty.

To enroll, visit the Subscribe & Save dashboard, and add products to the program. Amazon uses the criteria below to determine eligibility on the SKU-level:

• Trailing 28 days in-stock rate is greater than 90%

• Not in a restricted product category

• Average selling price is less than $200

• Offer is buyable

• Free domestic shipping

• Valid tracking rate greater than 95%

• Order defect rate less than 1%

• Pre-fulfillment cancel rate less than 2.5%

• Delivery estimate accuracy greater than 93.5%

• Late shipment rate less than 4%

• Average delivery promise for domestic shipments fewer than 5 days

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Use the Subscribe & Save dashboard to complete the following:

• Track SKU enrollment status or subscriptions

• Update seller-funded discounts

• Check status for SKUs at risk of missing deliveries due to low stock

Merchant-Fulfilled Amazon Sellers Automatically Enrolled in Subscribe & Save:

As of June 27, 2024 – eligible seller-fulfilled items were automatically enrolled in Amazon’s Subscribe & Save program. Before you panic, automatic enrollment is free of cost, so there isn’t necessarily any reason to opt-out. Customers will enjoy a 5% discount on their eligible subscriptions, funded entirely by Amazon, which translates to more conversions and more money in your pocket!

There are 3 discount options to choose from:

• Seller funded at 0%: Five or more subscriptions on the same delivery date earns a 5% discount (funded by Amazon).

• Seller funded at 5%: Four subscribed products scheduled for the same delivery date earn customers a 5% discount. Five or more subscriptions on the same delivery date earns a 5% discount (funded by you), plus an additional 5% discount (funded by Amazon)—unlocking customer savings of 10%.

• Seller funded at 10%: Four subscribed products scheduled for the same delivery date earns customers a 10% discount. Five or more subscriptions on the same delivery date earns a 10% discount (funded by you), plus an additional 5% discount (funded by Amazon)—unlocking customer savings of 15%.

If you're a client looking for more information, contact your account team! If you’re interested in learning more about how Blue Wheel can aid in your brand efforts in online marketplaces, schedule a consultation with our team, we would love to hear from you.