Amazon

Amazon FBA Returns

What is Amazon FBA Returns?

Amazon FBA Returns involve the process of customers returning items purchased through the Fulfillment by Amazon (FBA) service. When customers initiate returns, the items are sent back to Amazon fulfillment centers for inspection. Depending on their condition, returned items may be classified as sellable, damaged, defective, expired, or customer-damaged. Sellers using FBA are responsible for managing returns according to Amazon's policies, which may involve processing refunds for customers, managing inventory, and requesting reimbursement for eligible issues or errors.

Exploring Amazon FBA Return Reasons

Product-related Reasons for Returns

Product Mismatch

Discrepancies between listings and received items.

Incorrect Sizing

Returns due to clothing and shoe size discrepancies.

Product Quality

Unsatisfactory performance, especially in electronics and beauty products.

Damaged or Defective Items

Returns due to mishandling or manufacturing defects, including issues with color or appearance.

Customer-related Reasons for Returns

Late Delivery

Returns due to delays in delivery, especially for time-sensitive items.

Missing Parts or Accessories

Incomplete orders leading to usability issues.

Packaging Damage

Returns due to damage to packaging, regardless of product condition.

Change of Mind

Returns due to personal preference changes or finding lower prices elsewhere.

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How Does the Amazon FBA Returns Process Work?

When a customer initiates a return, Amazon assesses the condition of the returned item to determine its sellability. Items may be classified as sellable, damaged, defective, expired, or customer-damaged. Sellers may receive Amazon Reimbursement for unsellable items if Amazon is responsible for the damage or if the customer fails to return the item within 45 days.

Amazon Reimbursements for FBA Returns

Non-Returned Refunds

If a customer receives a refund for an item but fails to return it to an Amazon fulfilment centre within 45 days, the customer will be charged, and you, as the seller, can expect Amazon reimbursement.

Amazon Responsibility

Should an item become unsellable due to reasons beyond your control, such as damage during handling and delivery for which Amazon is responsible, you will receive reimbursement. This excludes the addition of the item back to your inventory.

Calculating Amazon Reimbursement Value

Amazon employs various price indicators to calculate the Amazon Reimbursement value, ensuring fairness and accuracy

 
  • Historical Pricing The item's sales price serves as the initial benchmark.
  • Market Comparisons Amazon considers the median price of the item over the past 18 months, current list prices, and the median price from other sellers.
  • Expert Estimation In cases where insufficient data exists, Amazon may request assistance in estimating a reasonable reimbursement value based on comparable products.

How Amazon Classifies FBA Returns?

Sellable

Items still in good condition are returned to active inventory for resale, pending seller inspection to ensure quality.

Damaged

Products unfit for resale due to damage. Sellers may receive reimbursement if Amazon is responsible for the damage.

Customer Damaged

Amazon FBA return customer damaged are those with opened packaging or items in a condition less than new. These items are deemed unsellable, resulting in a refund for the customer, while sellers have the option to request their return.

Carrier Damaged

Responsibility lies with Amazon for loss or damage during transit. Reimbursement or replacement provided if specific conditions are met.

Defective

Units marked unsellable and defective. Sellers can inspect and potentially return items to inventory if found to be in good condition.

Expired

Items reaching expiry date, unfit for sale. Can be marked as unsellable and disposed of by Amazon or returned to seller upon request.

Amazon FBA Returns Fees

Amazon FBA Return Processing Fees

  • Sellers pay the FBA return processing fee for each item returned by customers, equal to half the fulfillment fees for each item.
  • The fee varies based on the size of the product and is charged to the seller.