For years, Amazon sellers have considered FBA vs FBM as the either-or choice. You would decide to send your products to Amazon or handle the fulfillment of the products on your own so that you will not pay the fees. But 2026 will see the end of this process of choosing one of the two options. The brands that will grow better are the ones that will make use of both options.
What Has Changed in the Amazon Landscape
Several shifts over the last couple of years have pushed sellers toward a mixed approach. Fulfillment and storage fees have continued to rise, especially for slow-moving and oversized products. At the same time, Prime delivery expectations are higher than ever, which makes FBA hard to ignore for competitive categories. Add to this the ongoing issues with inbound shipment delays, restock limits, and sudden account or ASIN restrictions, and it becomes clear why putting all inventory in one system feels risky. Sellers now want flexibility, not just convenience.
Where FBA Still Makes the Most Sense
Even so, “FBA is still a highly effective solution for products with stable and predictable demand patterns.” If an item is selling well and the profit margin is sufficient to cover the costs of fulfillment, then “FBA is typically going to drive higher conversion rates due to the Prime shipping and fast shipping advantages.” Furthermore, operationally, “Amazon takes care of the customer service and return issues, as well as the final delivery of the item.” Therefore, for “best-selling items and essential SKUs which generate the majority of the revenue,” using an FBA is the easiest method for scaling without introducing operational complexities.”
When FBM Is the Smarter Choice
FBM becomes valuable when products do not fit neatly into Amazon’s cost structure or inventory rules. Items that are bulky, fragile, or expensive to store can quickly become unprofitable under FBA fees. New product launches also benefit from FBM because sellers can test demand without sending large shipments into Amazon warehouses. Seasonal products are another strong case for FBM, since holding stock in your own warehouse or with a third-party provider avoids long-term storage penalties and gives better control over timing and replenishment.
How the Hybrid Model Actually Works in Practice
In a hybrid setup, sellers do not randomly assign fulfillment methods. Instead, each SKU is evaluated based on sales velocity, margin, size, and risk. High-volume winners are sent to FBA to maximize conversions and Buy Box performance. Slower or experimental products stay on FBM until they prove demand. Some brands even keep both active on the same listing, using FBA as the primary offer and FBM as a backup to protect against stockouts or inbound delays. This approach keeps revenue flowing even when one channel faces issues.
Risk Management Is Now a Growth Strategy
One of the biggest advantages of mixing FBA and FBM is business continuity. When inventory gets stranded, shipments are delayed, or listings face temporary restrictions, FBM can keep orders moving. On the other side, when in-house fulfillment becomes stretched during peak seasons, FBA can absorb the volume. Instead of reacting to problems after sales drop, sellers with a hybrid model build resilience into their operations from the start. In today’s competitive environment, stability is not just about safety, it directly supports long-term scaling.
How Decision Makers Should Think About This in 2026
“The problem for brand owners and operations managers,” states the article, “is no longer whether one fulfillment channel is preferable to another.” Instead, “the problem is how each fits into a larger growth strategy.” In this way, data, and not habit and assumptions, must inform decisions of where to place each item in relation to the unit profitability, inventory turns, and customer experience. Those who assess this and make appropriate changes in fulfillment over time tend to remain more profitable and insulated from a drop in the platform, the article asserts.”
Final Thoughts: Flexibility Is the Real Advantage
The biggest shift in 2026 is not that FBA is losing relevance or that FBM is making a comeback. It is that sellers are becoming more strategic and less dependent on a single system. The hybrid model allows brands to scale winners, test new ideas safely, control costs, and protect revenue streams at the same time. For anyone serious about building a sustainable Amazon business, mixing FBA and FBM is no longer a backup plan, it is becoming the standard operating model.
If you are reviewing your fulfillment setup this year, it might be worth asking whether each product is really in the right place or if your current structure is just what you have always done. Small changes in fulfillment strategy can unlock both profit and stability, which is exactly what most sellers are chasing in today’s market.
