Selling on Amazon and Beyond: Multichannel Commerce in 2024

/ Uncategorized / By

Selling on Amazon and Beyond: Multichannel Commerce in 2024

The ecommerce landscape has shifted dramatically, making a single-channel approach increasingly risky for online sellers. While Amazon remains the dominant marketplace with its massive customer base, limiting your business to this platform alone exposes you to significant vulnerabilities—from unexpected fee increases to algorithm changes that could devastate your visibility overnight.

Multichannel commerce—selling products across multiple platforms including Amazon, your own website, other marketplaces, and social media—has evolved from a growth strategy to a business necessity in 2024.
A
With customer expectations continuously rising and competition intensifying, diversifying your sales channels is no longer optional for sustainable success.

In this guide, you’ll discover how to expand beyond Amazon effectively, compare fulfillment options including Amazon’s own services, implement technology solutions to manage inventory across platforms, and overcome common challenges in multichannel operations. By the end, you’ll have a roadmap for building a resilient ecommerce business that thrives across multiple sales channels while maintaining efficient order fulfillment processes.

The rise of multichannel ecommerce: opportunities & risks

The ecommerce sector continues to evolve rapidly, with third-party sellers now accounting for over 60% of Amazon’s gross merchandise volume. Yet this growth comes with intensifying customer demands—78% of shoppers expect consistent experiences across all platforms they use to interact with a brand, and 70% will abandon purchases if shipping options don’t meet their expectations.

Multichannel selling offers significant growth potential but also introduces complexity. Sellers who expand beyond Amazon typically report 190-220% increases in total revenue, yet many struggle with the operational challenges of managing multiple platforms simultaneously.

While diversification reduces dependency on Amazon’s ecosystem, it introduces new risks: inventory management becomes more complex, customer service must span multiple platforms, and operational efficiency can suffer without proper integration tools.

Multichannel vs. omnichannel: understanding the difference

Though often used interchangeably, these approaches represent different strategic philosophies:

  • Multichannel commerce involves selling through multiple channels that operate independently of each other. Each channel functions as a separate sales avenue with its own inventory, customer data, and operational processes.
  • Omnichannel commerce takes integration further by creating a unified customer experience across all touchpoints. Inventory, customer data, and marketing efforts are fully synchronized, allowing customers to begin their journey on one platform and seamlessly continue on another.

The ultimate goal for many businesses is achieving unified commerce—where backend systems are fully integrated to support a consistent, frictionless customer experience regardless of which channel the customer chooses to engage with. This represents the ideal state where operational complexities become invisible to customers.

Key multichannel sales channels for 2024

Understanding the unique advantages and considerations of each sales channel is crucial for strategic expansion. Each platform offers different customer demographics, fee structures, and operational requirements that affect your overall business strategy.

Amazon marketplace

Amazon remains the undisputed leader in ecommerce with its massive customer base and built-in trust. With Fulfillment by Amazon (FBA) and Multi-Channel Fulfillment (MCF), sellers gain access to Amazon’s logistics network, though at premium pricing compared to some alternatives.

Pros: Unmatched customer reach, built-in fulfillment infrastructure, Prime eligibility

Cons: High competition, limited customer data access, substantial fees, constant policy changes

DTC website (Shopify, WooCommerce, BigCommerce)

Your own website offers complete control over branding, customer experience, and data collection. Modern platforms like Shopify have simplified the process of building and managing an online store while providing robust app ecosystems for additional functionality.

Pros: Full brand control, direct customer relationships, complete data ownership, higher margins

Cons: Requires traffic generation, higher customer acquisition costs, fulfillment responsibility

Third-party marketplaces

Beyond Amazon, platforms like Walmart Marketplace, eBay, and Etsy offer access to established customer bases with different shopping behaviors.

Pros: Additional revenue streams, diverse customer demographics, reduced dependency on Amazon

Cons: Different listing requirements, varying fee structures, platform-specific policies

Social commerce platforms

Instagram Shop, TikTok Shop, and Facebook Marketplace have transformed from marketing channels into direct sales platforms with integrated checkout experiences.

Pros: Access to engaged audiences, discovery-driven shopping, visual merchandising opportunities

Cons: Platform dependency, evolving features, varied fulfillment integration capabilities

Physical retail opportunities

For digital-native brands, pop-up shops, wholesale partnerships, and brick-and-mortar locations offer tangible customer experiences that complement online efforts.

Pros: Tactile product experiences, immediate fulfillment, local market penetration

Cons: Higher overhead costs, inventory management complexity, staffing requirements

Brands like Allbirds have successfully navigated multichannel expansion, starting as a direct-to-consumer website before adding Amazon, specialized marketplaces, social commerce, and eventually physical retail locations—each channel carefully selected to reach specific customer segments while maintaining brand integrity.

How Amazon MCF and FBA stack up for multichannel fulfillment

Amazon offers two primary fulfillment services that intersect with multichannel commerce strategies, each with distinct capabilities and limitations that affect their suitability for different business models.

Understanding the differences: FBA vs. MCF

Fulfillment by Amazon (FBA) and Multi-Channel Fulfillment (MCF) share the same physical infrastructure but serve fundamentally different purposes:
A

  • FBA (Fulfillment by Amazon) handles orders placed exclusively on Amazon.com, with inventory stored in Amazon’s fulfillment centers. Products become Prime-eligible, potentially boosting visibility and conversion rates within Amazon’s ecosystem.
  • MCF (Multi-Channel Fulfillment) allows merchants to use Amazon’s fulfillment network for orders received from external channels—including your own website, eBay, or Walmart. This service uses the same inventory as your FBA stock but processes orders differently.

Pricing structures and cost considerations

MCF typically charges premium rates compared to standard FBA services, with cost structures based on item size, weight, and selected shipping speed. For non-Amazon orders, sellers can expect to pay 15-20% more than equivalent FBA fulfillment costs.

MCF offers three shipping speed tiers: Standard (3-5 business days), Expedited (2 business days), and Priority (1 business day)—each with escalating costs. Notably, peak season surcharges apply during Q4, which can significantly impact profitability during the holiday shopping period.

Unlike some independent 3PLs that offer volume-based discounts, Amazon’s MCF pricing remains relatively fixed regardless of order volume, making it potentially less cost-effective for high-volume sellers.

Channel compatibility and limitations

MCF imposes notable channel restrictions that affect multichannel strategies. As of 2024, Amazon prohibits using MCF for orders on competing marketplaces including Walmart, Target Plus, and eBay. This limitation forces sellers to maintain separate inventory and fulfillment solutions for these platforms.

Other limitations include:

  • MCF inventory shares FBA storage limits and restock restrictions
  • Restricted product categories (hazmat, oversize)
  • Limited customization options for packaging
  • No direct integration with all ecommerce platforms

Setting up MCF requires first establishing an FBA account, then enabling the MCF service through Seller Central. Successful implementation typically involves using third-party integration tools to connect your sales channels with the MCF system, as native integrations are limited.

For merchants focused on brand experience, MCF’s limitations on custom packaging and insert materials may present challenges when trying to create consistent unboxing experiences across all sales channels.

Explore advanced fulfillment tools to save on costs while maintaining the shipping speeds customers expect.

True multichannel operations: tools, software & 3PL alternatives

Beyond Amazon’s ecosystem, a robust infrastructure of technology and service providers enables truly integrated multichannel operations. These solutions address the fundamental challenges of inventory synchronization, order routing, and consistent fulfillment across channels.

Multichannel management platforms

Central to effective multichannel selling are management platforms that synchronize inventory, orders, and product information across multiple sales channels:
A

  • Inventory management systems like Linnworks, SellerActive, and ChannelAdvisor provide real-time stock syncing across platforms to prevent overselling
  • Order management software consolidates orders from all channels into a single dashboard, simplifying operations
  • Product information management (PIM) tools maintain consistent product details across diverse platform requirements

These platforms typically offer customizable rules for inventory allocation, automated order routing based on geographic location, and comprehensive analytics across all sales channels.

3PL alternatives to Amazon MCF

The third-party logistics landscape offers numerous alternatives to Amazon’s fulfillment services, each with different specializations:

  • Technology-forward 3PLs provide sophisticated integrations with ecommerce platforms, marketplaces, and shopping carts
  • Distributed fulfillment networks offer strategically located warehouses to enable 1-2 day delivery without Amazon Prime
  • Shopify Fulfillment Network specifically targets Shopify merchants with integrated fulfillment services
  • Specialized 3PLs focus on specific product categories (apparel, food, CBD) with tailored handling processes

When evaluating 3PL providers, consider their integration capabilities, geographic footprint, value-added services, and scalability alongside basic fulfillment costs. The ideal partner should seamlessly connect with your existing technology stack while supporting your growth trajectory.

Returns management solutions

Returns handling becomes exponentially more complex in multichannel operations. Dedicated returns management platforms offer:

  • Channel-specific return policies while maintaining backend consistency
  • Customer-friendly return portals that reduce support burden
  • Return merchandise authorization (RMA) tracking across platforms
  • Efficient inspection, restocking, and inventory updating processes

Effective multichannel returns management balances customer satisfaction with operational efficiency, recognizing that return experiences significantly impact repeat purchase likelihood.

See how growing brands have optimized operations with fully integrated multichannel logistics to maintain consistent customer experiences while reducing operational overhead by 23%.

Multichannel fulfillment challenges & how to solve them

Expanding to multiple sales channels inevitably creates operational complexities that can undermine efficiency and customer satisfaction when not properly addressed. Understanding these challenges and implementing strategic solutions is essential for sustainable multichannel growth.

Inventory synchronization and overselling

Perhaps the most critical challenge in multichannel operations is maintaining accurate inventory levels across platforms. When the same product sells on different channels simultaneously, outdated inventory systems risk creating overselling situations that lead to canceled orders and disappointed customers.

Solution: Implement real-time inventory synchronization through dedicated multichannel inventory management software. These systems create a single source of truth for inventory levels and automatically update all connected channels when sales occur on any platform. Advanced solutions also offer buffer stock settings that hold back inventory quantities to account for synchronization delays.

Shipping efficiency and delivery promises

Each marketplace and channel may have different shipping time requirements and customer expectations. Amazon shoppers expect Prime-like speeds, while other channels may allow longer delivery windows. Balancing these varied expectations while maintaining cost control presents significant challenges.

Solution: Consider distributed fulfillment networks with strategically placed inventory that can deliver to most customers within 1-2 days. Automated order routing systems can direct orders to the fulfillment location closest to the customer, reducing both shipping costs and delivery times. Clearly communicating delivery timeframes on each platform also helps manage customer expectations.

Maintaining consistent customer experience

When customers interact with your brand across multiple platforms, inconsistent experiences can damage brand perception and trust. Variations in product descriptions, pricing, policies, or packaging between channels create confusion and potential dissatisfaction.

Solution: Develop a centralized content management strategy that establishes consistent brand messaging, photography, and product details that can be adapted to each platform’s requirements while maintaining core consistency. For physical touchpoints like packaging, work with 3PLs that support branded packaging materials and custom inserts regardless of the sales channel.

Complex returns processing

Each marketplace has unique returns policies and processes, creating confusion for both customers and operations teams. Tracking returned items back to inventory and making them available for resale quickly affects both customer satisfaction and working capital efficiency.

Solution: Implement a centralized returns management system that can handle platform-specific requirements while maintaining internal consistency. Create standard operating procedures for inspection, refurbishment, and inventory reintegration of returned items. Consider “return to nearest warehouse” options to reduce reverse logistics costs.

Learn more about modern order fulfillment strategies that address these challenges through integrated technology solutions and process optimization.

Best practices for success in multichannel commerce

Achieving sustainable success across multiple sales channels requires strategic alignment of technology, operations, and marketing efforts. These proven best practices will help you navigate the complexities of multichannel commerce while maintaining operational efficiency.

Consolidate inventory management

Centralized inventory control provides the foundation for effective multichannel operations.
A
Implement a single system of record for all inventory regardless of physical location or sales channel. This approach prevents overselling, simplifies reordering, and provides accurate visibility into product availability. Regular cycle counts and inventory audits should be conducted to maintain data accuracy, with automated alerts for discrepancies between physical and digital counts.

Implement channel-specific optimization

While maintaining brand consistency, recognize that each platform has unique requirements and customer expectations. Tailor your approach to each channel:

  • Optimize Amazon listings for search visibility with strategic keyword placement
  • Customize product photography for social commerce platforms emphasizing lifestyle content
  • Adapt product descriptions to match the tone and format of each marketplace
  • Adjust pricing strategies to account for different fee structures while maintaining consistent perceived value

This balanced approach respects channel differences while maintaining your core brand identity.

Automate wherever possible

Manual processes become unsustainable as multichannel operations grow. Identify and automate repetitive tasks:

  • Order processing and fulfillment requests
  • Inventory updates across platforms
  • Customer notifications and shipping updates
  • Repricing based on competitive intelligence
  • Report generation for performance metrics

Automation reduces errors, improves speed, and allows your team to focus on strategic initiatives rather than routine operational tasks.

Maintain consistent branding

While each platform may have different technical requirements, your brand experience should remain consistent across all touchpoints. Develop standardized assets including logo treatments, product photography style guides, copywriting tone guidelines, and packaging design specifications. These elements create recognition and trust regardless of where customers encounter your products.

Leverage data analytics for continuous improvement

Implement comprehensive analytics that provide visibility across all sales channels. Regular review of unified performance data reveals important patterns:

  • Which products perform best on specific channels
  • How customer acquisition costs compare between platforms
  • When inventory should be reallocated based on demand patterns
  • What fulfillment options deliver the best cost-to-satisfaction ratio

Use these insights to refine your channel strategy, product offerings, and operational processes continually.

Prioritize customer experience over channel

Remember that customers rarely think in terms of “channels”—they simply want consistent, reliable experiences with your brand. Focus on delivering the same level of service excellence regardless of where the purchase originated. This includes maintaining comparable shipping speeds, consistent customer service responses, and unified return policies wherever possible.

Regularly reassess your multichannel technology stack, reviewing how well your systems integrate and identifying gaps that may create friction for customers or operational inefficiencies. Technology evolves rapidly, and yesterday’s best solution may not serve tomorrow’s needs.

Building your multichannel future

The transition from an Amazon-centric business to a true multichannel operation requires deliberate planning and strategic execution. While maintaining Amazon as a significant sales channel, diversification builds resilience against platform-specific risks and opens new growth avenues.

Success in multichannel commerce doesn’t happen by accident. It requires intentional systems integration, operational excellence, and a customer-first mindset that transcends individual platforms. The brands that thrive in 2024 and beyond will be those that master the art of selling everywhere their customers want to shop while maintaining operational simplicity behind the scenes.

The ecommerce landscape will continue evolving, with new channels emerging and customer expectations rising. Businesses that build flexible, scalable multichannel operations today position themselves to adapt quickly to tomorrow’s opportunities. The investments made in multichannel infrastructure—technology, processes, and partnerships—create a foundation for sustainable growth regardless of how consumer behavior shifts.

Take the first step today by auditing your current channels and fulfillment strategy. Identify gaps, redundancies, and opportunities for integration. Then develop a roadmap for systematically addressing these areas to create a truly seamless multichannel commerce operation.

Frequently asked questions

What is multichannel commerce?

Multichannel commerce is the practice of selling products across multiple online and offline channels—such as Amazon, your own website, other marketplaces, social platforms, and physical stores—allowing you to reach customers wherever they prefer to shop.

What is the difference between Amazon MCF and FBA?

FBA is Amazon’s fulfillment service for Amazon.com sales only. Amazon MCF (Multi-Channel Fulfillment) lets sellers use Amazon’s network to fulfill orders from other channels (e.g., Shopify, eBay), with different pricing, eligibility, and support.

Can I manage inventory for all channels in one place?

Yes. Many multichannel tools and 3PLs offer inventory syncing and consolidated dashboards, reducing the risk of overselling and improving operational efficiency.

What are the common pitfalls in multichannel fulfillment?

Challenges include inventory mismatches, inconsistent customer experiences, complex returns, and shipping delays. They can be mitigated with automation, consolidated platforms, and strong 3PL partnerships.

How do I choose the right 3PL or fulfillment provider for my business?

Compare providers on integration options, pricing transparency, shipping speed, inventory locations, customer service ownership, and ability to serve all your channels—both now and as you grow.