How to Qualify for Seller Fulfilled Prime (SFP) with Discounted Rates

Seller Fulfilled Prime: The Best of Both Worlds?

Seller Fulfilled Prime (SFP) lets you display the Prime badge while handling fulfillment yourself. It's the holy grail for FBM sellers—if you can qualify.

What is Seller Fulfilled Prime?

SFP = FBM + Prime Badge

You fulfill orders from your warehouse, but customers see the Prime badge and get Prime benefits (free 2-day shipping).

Benefits:

Prime visibility and conversion boost
Avoid FBA fees
Control over inventory and branding
Multi-channel flexibility

Challenges:

Strict performance requirements
Fast shipping demands
No room for error

SFP Requirements (2026)

Performance Metrics:

Metric	Requirement
On-time delivery	95%+
Valid tracking rate	99%+
Cancellation rate	<0.5%
Late shipment rate	<4%

Operational Requirements:

Ship Monday-Saturday
Same-day dispatch for orders by cutoff
Nationwide coverage
Use approved carriers
Support all Prime delivery speeds

The SFP Trial Program

How to Get Started:

Apply in Seller Central

Settings → Fulfillment by Merchant → Seller Fulfilled Prime

Complete the Trial

200+ orders over 90 days
Meet all performance metrics
Use Premium Shipping templates

Get Approved

Amazon reviews your performance
Approval or feedback provided
Can retry if not approved

Setting Up for SFP Success

#### Shipping Configuration

Prime Delivery Promises:

Region	Standard	Expedited
Local (Zone 1-2)	2-day	1-day
Regional (Zone 3-5)	2-day	2-day
National (Zone 6-8)	3-day	2-day

Carrier Requirements:

Must use Amazon-approved carriers
Tracking must update within 24 hours
Saturday delivery required

#### Order Cutoff Times

To ship same-day:

Set realistic cutoff times
Typically 2 PM local time
Communicate clearly to customers

Making SFP Profitable

The Challenge: 2-day shipping is expensive.

The Solution: Discounted rates through aggregators like Atoship.

Cost Comparison:

Route	UPS 2-Day Retail	UPS 2-Day Atoship	Savings
Zone 2	$14.50	$9.75	33%
Zone 4	$18.95	$12.85	32%
Zone 6	$24.80	$16.40	34%
Zone 8	$32.15	$21.50	33%

Alternative: Use USPS Priority when it qualifies for 2-day

Route	USPS Priority Retail	USPS Priority Atoship
Zone 1-4	$9.35	$7.15
Zone 5-6	$9.85	$7.55
Zone 7-8	$13.95	$10.65

USPS Priority is 1-3 days—works for many SFP zones.

Zone Strategy for SFP

Key Insight: You don't need to offer Prime everywhere equally.

Strategy 1: Regional Focus

Enable SFP for zones 1-5
Use standard Prime (2-3 day) for zones 6-8
Significantly reduces shipping costs

Strategy 2: Multi-Warehouse

Distribute inventory across US
Each warehouse covers local zones
Reduces average shipping distance

Strategy 3: Product Selection

Only enable SFP on profitable products
Large/heavy items may not work
Test before committing

Carrier Selection for SFP

For 2-Day Delivery:

Carrier	Service	Cost	Reliability
UPS	2nd Day Air	$$$	Excellent
FedEx	2Day	$$$	Excellent
USPS	Priority	$$	Good
USPS	Priority Express	$$$	Excellent

Atoship Recommendation:

Use USPS Priority for zones 1-5 (usually 1-2 days)
Use UPS 2nd Day for zones 6-8
Automatically route based on destination

SFP Workflow Optimization

Morning (Before Cutoff):

Review pending orders

Batch print labels

Pick and pack

Carrier pickup by 3 PM

Afternoon (After Cutoff):

Process next-day orders

Prep for morning

Void unused labels

Check metrics

Automation with Atoship:

Auto-assign fastest affordable carrier
Batch processing
Automatic tracking upload
Alert if delivery deadline at risk

Handling SFP Edge Cases

Problem: Rural/Remote Addresses Solution: Extend delivery promise or exclude from SFP

Problem: Weather Delays Solution: Document, communicate, Amazon usually allows exceptions

Problem: Carrier Failures Solution: Have backup carrier ready, file claims

Problem: Inventory Stockouts Solution: Cancel quickly, accept the hit, restock ASAP

Monitoring SFP Performance

Daily Checks:

Orders shipped vs pending
Tracking upload status
Any delivery exceptions

Weekly Review:

On-time delivery rate
Carrier performance by route
Cost per SFP order

Monthly Analysis:

SFP profitability
Worst-performing routes
Optimization opportunities

SFP vs FBA Economics

When SFP wins:

Product: 2 lb item, selling at $35
FBA:
FBA fee: $5.82
Inbound: $0.80
Storage: $0.30
Total: $6.92

SFP (with Atoship):
2-day shipping avg: $8.50
Packaging: $0.50
Labor: $0.90
Total: $9.90

FBA wins by $2.98 per unit
BUT: SFP gives you:
Multi-channel fulfillment
No Amazon dependency
Brand control
No storage fees on slow movers

For some sellers, $3/unit is worth the control.

When SFP clearly wins:

Product: 5 lb oversized item, selling at $65
FBA:
FBA fee: $12.85
Inbound: $2.20
Storage: $1.85
Total: $16.90

SFP (with Atoship):
Ground shipping (3-day SFP eligible): $7.50
Packaging: $1.25
Labor: $1.20
Total: $9.95

SFP saves $6.95 per unit!

SFP Trial Tips

To pass the trial:

Start small - Enable on your most reliable products

Staff appropriately - You need same-day shipping capability

Use reliable carriers - UPS/FedEx for critical zones

Monitor obsessively - Check metrics daily

Don't overcommit - Better to pass slowly than fail fast

Getting Started with SFP

Week 1: Preparation

Sign up for Atoship
Calculate shipping costs by zone
Identify SFP-suitable products

Week 2: Application

Apply for SFP trial
Set up Premium Shipping templates
Configure automation

Week 3+: Trial Period

Ship trial orders
Maintain 95%+ on-time
Adjust and optimize

The Bottom Line

Seller Fulfilled Prime can work—if:

You have efficient operations
You use discounted shipping (Atoship)
You're strategic about zones/products
You can handle Saturday shipping

Ready to try SFP? Start with Atoship to ensure your shipping costs make it profitable. Create your free account today.