Amazon Warehouse Workers Across 8 Facilities Now On Strike

Labor tensions between Amazon and its workforce have escalated in recent years as allegations of unsafe working conditions have been made public, along with a growing interest among employees to unionize and organize labor under a collective bargaining agreement to improve workplace safety and align compensation with current market rates. After Amazon allegedly failed to respond to a Teamsters request to “come to the table” by Dec 15, 2024. The Teamsters approved a strike and 7 out of 10 unionized facilities took to the picket line representing the “largest strike against Amazon in U.S. history,” targeting major delivery hubs in New York, Georgia, Illinois, and California.

Thirteen (13) months after sending an open letter to Amazon CEO Andy Jassy in June 2023 regarding investigations into the working conditions at the e-commerce giant’s facilities, (and a call for Amazon employees to come forward with stories), the Senate Health, Education, Labor, and Pensions (HELP) Committee led by Chair, Senator Bernie Sanders, of Vermont (I), published a report titled “PEAK SEASONS, PEAK INJURIES: Amazon Warehouses Are Especially Dangerous During Prime Day and the Holiday Season—and the Company Knows It”.

The report describes just how bad the rate of recordable injuries is (10 out of every 100 workers) and goes on to indicate that 10% is more than double the industry average injury rate over the last seven years. If all injuries reported by employees were considered, (not just the ones required to be submitted to OSHA), the injury rate is closer to 50%! It’s no wonder employees in many facilities have been wanting to unionize and negotiate better working conditions, despite Amazon’s well-publicized efforts to thwart unionization attempts.

Workplace Safety Concerns and Senate Allegations

Amazon faces sharp criticism from workers and drivers alike over its workplace safety practices. The HELP Committee’s investigation uncovered alarming data regarding the company’s warehouses. The report alleges that Amazon prioritized productivity over safety, creating a “uniquely dangerous” environment. Internal company studies, such as Project Elderwand and Project Soteria, identified that high rates of repetitive motions led to elevated injury risks. The latter study even showed that injury rates dropped when speed-based disciplinary measures were temporarily suspended during the pandemic (i.e. when allowed to work at a slower pace, risk for injury went down).

Despite these findings, Amazon reportedly rejected safety recommendations that would reduce productivity, alleging that the company manipulates injury data to obscure risks. Additionally, workers reported being discouraged from seeking external medical care, and some were terminated while on approved medical leave.

Amazon has dismissed these findings as outdated and selective examples unrepresentative of the whole. The company cites improvements in workplace safety and claims a 28% reduction in incident rates since 2019. However, these assertions have done little to deter criticism from lawmakers and labor organizers.

Amazon Workers Path to Unionization

Unionization efforts at Amazon gained meaningful momentum in 2022 when workers at the Staten Island, NY warehouse voted in favor of organizing labor. Then in June 2024, the Amazon Labor Union (ALU), which led the Staten Island push, successfully affiliated with the International Brotherhood of Teamsters (IBT), consolidating the movement and enabling more resources to further their goals. The new partnership also enabled the ALU to leverage the Teamsters’ extensive resources to target multiple facilities simultaneously. Today, the Teamsters represent approximately 10,000 Amazon workers and contractors across warehouses, delivery hubs, and air facilities.

Financial Context and Broader Implications

As the second-largest private employer in the United States, Amazon’s practices have far-reaching implications for workplace standards in the online retail and logistics sectors. Internationally, Amazon’s labor policies have also come under scrutiny. For example, German workers represented by the United Services Union announced strikes alongside the American workers to show support and solidarity.

Summary

The strikes last week represent a critical juncture in the ongoing labor struggle between Amazon and its workforce. While the coordinated pickets disrupted some fulfillment and warehousing operations, Amazon asserts that on-time delivery remains unaffected. Participation levels varied, with some sites seeing dozens of picketers while others reported normal activities. The Teamsters claim “thousands” of members are currently on strike and have vowed to expand their efforts, threatening to picket additional facilities if their demands continue to be ignored.

Meanwhile, legislative efforts, including Senator Sanders’ proposed Warehouse Worker Protection Act and Protecting America’s Workers Act, aim to address safety and accountability issues at companies like Amazon. If passed, these proposals would increase transparency around work quotas and impose stricter penalties for safety violations.

Amazon’s resistance to unionization reflects broader tensions in a digital economy where traditional labor protections often clash with new business models. And as organized labor continues to push back against one of the world’s most influential companies, the outcome of these unionization and labor strike efforts could reshape labor relations far beyond the e-commerce and logistics industries, potentially extending to manufacturing and other assembly line-like workflows.

Written By:

Indy Pereira

Indy Pereira helps ecommerce brands optimize their shipping and fulfillment with Cahoot’s technology. With a background in both sales and people operations, she bridges customer needs with strategic solutions that drive growth. Indy works closely with merchants every day and brings real-world insight into what makes logistics efficient and scalable.

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2025 Updates to Amazon Referral and FBA Fees

Amazon’s decision to freeze referral and Fulfillment by Amazon (FBA) fees for 2025 in the US has been met with mixed reactions, and a closer look suggests that this move may be more self-serving than it appears on the surface. A slew of new fees were already introduced in the first and second quarters of 2024, which squeezed Sellers to the max, so one could argue there’s nothing left to get.

New charges in 2024 included inbound placement fees, low inventory fees, and aged inventory fees. Sure, inbound placement fees were waived if Sellers split the inventory into several inbound shipments themselves and shouldered the burden of the added labor and freight costs. But the costs weren’t waived, just shifted. The fees were introduced to enable Amazon’s shift from a single, national fulfillment center to a regionalized network of 8 fulfillment centers intended to position inventory closer to the customer for faster delivery. The new model requires the positioning of more inventory in more locations, hence the latest fees. So, while Amazon now positions itself as easing the burden on Sellers, the freeze comes after Amazon has lowered its cost of doing business at the expense of third-party Sellers.

The freeze’s timing appears less of an act of generosity and more of a calculated pivot necessitated by external pressures. With limited room left to increase fees without alienating its Seller base, Amazon is using the 2025 strategy to fortify its dominance while attempting to stave off competition from emerging rivals like Temu, which is aggressively recruiting US-based Sellers and Temu is challenging Amazon’s dominance in the budget-friendly market segment.

To its credit, Amazon will be reducing inbound placement fees for certain large and bulky items, with the average decrease being $0.58 per unit, starting January 15, 2025. It will also introduce incentives to encourage Sellers to launch new parent ASINs that qualify for the FBA New Selection Program, such as waived inbound placement fees for up to 100 inbounded units per product from now through March 2025.

With discretionary spending under strain, household staples and personal care items are expected to drive sales in 2025. By incentivizing Sellers to stock these categories and products that Amazon identifies as essential or underrepresented in its catalog, Amazon ensures a robust selection for consumers while positioning itself for continued growth. Amazon’s focus on essentials is part of a broader strategy to ensure its platform remains indispensable. While framed as a benefit to Sellers, the program serves Amazon’s interests by enhancing its marketplace’s appeal to price-conscious consumers – a demographic likely to grow significantly amid economic pressures such as inflation and higher tariffs.

However, let’s not forget that third-party Sellers will ultimately gravitate toward platforms that attract consumers, making Amazon’s efforts as much about retaining customer trust as Seller satisfaction.

Reactions from industry observers suggest cautious optimism. Observers like Eva Hart from Jungle Scout have praised Amazon’s decision as a “welcomed pivot toward easing seller costs.” In contrast, others, such as Tyler Wallis of TripleLine, have urged Sellers to seize this opportunity for strategic planning.

Summary

Amazon’s 2025 fee strategy for third-party Sellers reflects a carefully orchestrated effort to ensure continued growth and self-preservation rather than altruism. The freeze and accompanying incentives are less about easing Seller burdens and more about aligning Sellers’ efforts with Amazon’s strategic goals. As rivals like Temu gain traction despite the launch of Amazon Haul, Amazon’s latest move underscores its reliance on a model that shifts the operational and financial pressures onto Sellers while safeguarding its margins and market share. For many Sellers, though, the freeze offers a momentary reprieve that allows them to shift focus from managing costs to seizing opportunities for new growth.

Written By:

Indy Pereira

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Understanding Amazon Product Safety: FBA Rules for Third-Party Sellers

The U.S. Consumer Product Safety Commission (CPSC) has taken decisive action against Amazon regarding hazardous and defective products sold through its platform. In a unanimous decision, the CPSC ruled that Amazon is a “distributor” under the Consumer Product Safety Act (CPSA), thereby making it legally responsible for defective and/or dangerous items sold by third-party Sellers via its Fulfilled by Amazon (FBA) service. Amazon must notify purchasers and the public about the hazards, offer refunds or replacements, and take remedial actions to remove the dangerous products from consumers’ homes (recalls).

This ruling affects over 400,000 potentially dangerous products, including malfunctioning carbon monoxide detectors, unsafe hairdryers, and children’s sleepwear, violating flammability standards.

What it Means for Third-Party (3P) Sellers

Amazon will not want to be held responsible for any damages caused by products fulfilled by FBA nor the subsequent lawsuits and claims filed against them. Amazon has strengthened its stance on product safety and guidelines.

This shift highlights the importance for sellers addressing product safety issues to ensure compliance and protect consumers.

Expect a mass cleansing of the product catalog, which can be deleterious for Sellers of such products. Still, this shift could benefit Sellers who already comply with safety regulations, as non-compliant competitors might face removal, improving the marketplace’s overall safety, trustworthiness, and profitability. However, it also means that getting new products vetted and approved for sale on the marketplace could get more complicated and time-consuming. Carriers such as UPS, FedEx, and USPS have issued new and updated guidelines on hazmat shipping.

Product Safety on Amazon

Amazon takes product safety seriously and has implemented various measures to ensure that products sold on its platform meet safety standards. The company works closely with the Consumer Product Safety Commission (CPSC) to identify and remove unsafe products from its platform. Amazon also requires third-party sellers to comply with product safety regulations and provides them with resources and tools to help them meet these requirements.

Amazon’s product safety team reviews products for compliance with safety standards and regulations, and the company uses machine learning algorithms to detect and prevent the sale of unsafe products. Amazon also provides customers with information about product safety and recalls, and offers a full refund or replacement for products that are found to be defective or unsafe.

By prioritizing product safety, Amazon aims to create a secure shopping environment for consumers while ensuring that third-party sellers are aware of and adhere to necessary safety standards. This collaborative effort between Amazon, the CPSC, and sellers helps maintain the integrity and trustworthiness of the marketplace.

The Rub

If a Seller’s products pose safety risks, Amazon may swiftly remove them from the marketplace and halt sales. The enforcement of such policies could hurt third-party Sellers who might unknowingly sell non-compliant products, leading to loss of revenue and damaged reputation.

Amazon already has an Unsuitable Inventory Policy that aims to crack down on items considered unsafe, illegal, or otherwise unsuitable for sale on the Amazon platform to protect customers’ safety and maintain trust. This new action by the CPSC is a natural extension of Amazon’s existing philosophy, but making it mandatory rather than simply accepting that Amazon’s self-imposed and self-regulated policy is sufficient to protect consumers from dangerous goods. The Unsuitable Inventory Policy has recently impacted hundreds, possibly thousands of FBA Sellers. Seller Accounts have been deactivated, and Amazon seized and/or disposed of much of the inventory, taking a guilty-until proven-innocent approach. Without the inventory in hand, these Sellers aren’t able to sell on non-Amazon channels, effectively destroying businesses. For Sellers knowingly violating the FBA policies, that’s the risk they took. For Sellers forced into insolvency through no fault of their own, it’s scary to appreciate how much power Amazon has and how little recourse Sellers have.

Seller Agreements Will Evolve

Sellers have received more explicit guidelines on product safety requirements and recall procedures, ensuring they know exactly what standards they must meet to avoid penalties or product removal.

Modernizing the product recall process enhances consumer safety and ensures timely communication of safety hazards.

Perhaps more importantly, Amazon may raise fees for storage, fulfillment, and compliance management to offset the cost of stricter safety oversight. Sellers using the FBA service could see higher operating costs as Amazon enforces more rigorous processes. Smaller Sellers might struggle with the increased compliance costs and operational burdens, potentially risking their livelihoods.

Have a Plan to Mitigate Risk

To be unequivocally trusted by consumers and avoid unscrupulous activity, Amazon has historically taken a shoot-first and ask-questions-later approach to anything that could damage its customer relationship. This allows Amazon to arrest harmful activity while investigating situations and resolutions implemented.

Amazon’s commitment to recalls and product safety ensures that consumers are protected from hazardous products. While a reasonable strategy for consumers, it can be brutal to the business health of brands and resellers selling compliant products. To ensure business continuity, Sellers should have alternative fulfillment strategies in place, even if dormant, that can help mitigate these risks. This new ruling does not govern seller-fulfilled orders because Amazon is not the ‘distributor’ for non-FBA fulfillments.

One example would be to have the warehouse infrastructure, inventory, and staff available that can take over the fulfillment of Amazon orders in a pinch (it is this author’s opinion that ALL Amazon 3P Sellers should be selling FBM, Fulfilled by Merchant, aka MFN, Merchant Fulfillment Network because it increases sales by increasing discoverability of products).

If in-house operations are not feasible, partner with a highly rated 3PL or 4PL to quickly ramp up Amazon FBM fulfillment. Third-party logistics companies can often receive inventory faster than FBA and cost less, besides having far fewer hassles.

If the Prime badge is important, partner with a fulfillment services provider that can support the Seller Fulfilled Prime (SFP) Fulfillment Program.

Product Safety Alerts and Recalls

Amazon is committed to providing customers with timely and accurate information about product safety alerts and recalls. The company works closely with manufacturers and regulatory agencies to identify products that may pose a safety risk and takes swift action to remove them from its platform.

Amazon provides customers with notice of product safety alerts and recalls through various channels, including email notifications, product detail pages, and customer service. The company also offers a dedicated webpage for product safety alerts and recalls, where customers can find information about affected products and what actions to take.

In addition, Amazon requires third-party sellers to comply with product safety regulations and to provide customers with notice of product safety alerts and recalls. The company also works with manufacturers to ensure that they are aware of and comply with product safety regulations.

By prioritizing product safety and providing customers with timely and accurate information, Amazon aims to create a safe and trustworthy shopping experience for its customers. This proactive approach not only protects consumers but also helps sellers maintain compliance and avoid potential penalties or product removals.

Consumer Protection is the Focus

The decision is rooted in consumer safety and aims to prevent dangerous products from reaching consumers, but it also establishes Amazon’s accountability to help remediate the situation when they do.

Addressing product safety issues prevents dangerous products from reaching consumers and maintains trust in the marketplace. And while this new ruling signals a shift toward greater scrutiny of online marketplaces and their role in ensuring product safety, it’s also a wake-up call for all Amazon Sellers. It’s not just about avoiding penalties but protecting customers and building a sustainable, trustworthy business and brand.

Conclusion

The CPSC’s landmark ruling on Amazon’s role as a distributor marks a pivotal shift in ecommerce accountability and product safety enforcement. For third-party sellers utilizing Amazon’s FBA service, this new regulatory landscape presents both challenges and opportunities that require immediate strategic adaptation.

Smart sellers will view this development not as an obstacle but as an opportunity to differentiate themselves through rigorous safety compliance. By embracing higher product safety standards, sellers can build consumer trust and long-term brand value while potentially seeing reduced competition from non-compliant sellers who exit the marketplace.

Diversification has now become essential rather than optional. Sellers exclusively dependent on Amazon FBA face heightened business continuity risks if their products are caught in safety sweeps, even if eventually cleared. Developing alternative fulfillment methods through FBM, Cahoot, or third-party logistics providers creates critical operational redundancy and reduces vulnerability to Amazon’s increasingly strict enforcement actions. Cahoot provides order fulfillment while outclassing 3PLs.

Looking ahead, this ruling likely represents just the beginning of regulatory evolution in ecommerce. As other marketplaces face similar scrutiny, sellers who establish robust safety compliance frameworks now will be better positioned to navigate the changing regulatory environment across all sales channels.

Ultimately, the CPSC ruling reinforces what responsible sellers already know: consumer safety isn’t just a regulatory requirement; it’s good business. By aligning business practices with this principle, third-party sellers can turn these regulatory changes into a competitive advantage while contributing to a safer marketplace for all.

Frequently Asked Questions

How do I know if my product is considered “unsafe”?

Check the product manufacturer’s Safety Data Sheet (SDS) for any hazardous or dangerous components. Also review the Amazon Seller Center Manage Compliance dashboard.

What happens if a safety issue is discovered with my product?

Amazon requires a full refund be offered to consumers who purchased a product discovered to be unsafe. 3rd Party Sellers are required to provide a return address within the US with a return label, or offer full refunds without requesting the item to be returned.

Where are Amazon’s Product Safety Policies?

Here is Amazon’s KBs on Product Safety and Compliance and Product Guidelines. Any changes and updates can also be found here.

Written By:

Indy Pereira

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Amazon Haul: Adapting to Price-Conscious Consumers and the Competition

Amazon has introduced Amazon Haul, a mobile-only shopping platform offering ultra-low-cost, unbranded goods directly from Chinese manufacturers. This bold move not only challenges established competitors like Temu and Shein, which have tens of millions of monthly active users but also stands in stark contrast to Amazon’s traditional focus on rapid delivery (fast and free), as it embraces affordability and a distinct shopping experience for value-conscious consumers.

The Mechanics of Amazon Haul

Amazon Haul operates with a unique business model designed to sell low-cost products to U.S. consumers. By leveraging the $800 duty-free import threshold (aka de minimis), the platform enables products to be shipped directly from China without incurring tariffs. Shipping for orders over $25 is free. Smaller purchases include a nominal $3.99 fee. Delivery times range from one to two weeks, a marked shift from Amazon’s typical emphasis on fast delivery.

The platform’s simple pricing structure reinforces its budget-friendly approach. Items are capped at $20 across nearly 700 categories, spanning clothing, electronics, household goods, and more. To motivate shoppers to make larger purchases, discounts of up to 10% are offered on qualifying orders exceeding $75. Meanwhile, storage and fulfillment fees are streamlined to maintain lean operations.

Competitive Strategy and Market Disruption

The launch of Amazon Haul underscores a direct response to the rapid growth of discount retailers like Temu and Shein, which are popular with younger, price-sensitive consumer demographics. By prioritizing affordability over branding, Amazon Haul captures shoppers who value cost savings over speed or traditional brand loyalty. This initiative leverages Amazon’s established relationships with Chinese manufacturers, particularly in Guangdong province, a region critical to its supply chain.

The absence of branding on Amazon Haul products represents a shift toward platform-based trust. Consumers are drawn to the low prices and Amazon’s reputation for reliability rather than the brand identities of individual sellers. This approach mirrors evolving consumer preferences, where price and peer reviews often outweigh the traditional brand value.

Implications for Domestic Online Retailers and Brands

Amazon Haul poses significant challenges for domestic retailers, as its ultra-low-cost model bypasses traditional retail and supply chain frameworks. By eliminating intermediaries and reducing overhead, the platform undercuts prices offered by U.S.-based companies. This dynamic risks exacerbating existing pressures on mid-market retailers, which may find their customer bases eroded by the appeal of budget alternatives.

The rise of a brandless marketplace shifts consumer expectations for established brands. Brands that previously relied on trust and recognition now face a stark choice: adapt to a competitive environment prioritizing functionality and price or risk losing relevance in an increasingly value-driven market.

Economic and Political Factors

The sustainability of Amazon Haul’s business model hinges on broader economic and political dynamics. Proposed tariff reforms and increased scrutiny of duty-free import practices could significantly impact the platform’s cost structure. As U.S. policymakers consider tightening loopholes that allow duty-free imports under the de minimis threshold, platforms like Amazon Haul may face heightened regulatory and operational challenges.

Consumer Behavior and the Future of Retail

Amazon Haul’s success is rooted in shifting consumer behavior based largely on the younger demographic that it appeals to and significant inflationary pressures. Many shoppers now prioritize savings over convenience, embracing longer delivery times in exchange for substantial cost reductions. Again, this shift represents a broader transformation in retail, as value-driven shopping disrupts traditional paradigms of immediacy and branding.

The platform’s mobile-first design underscores its appeal to a younger, digitally native audience. With visually engaging elements such as emoji-enhanced promotions and interactive features, Amazon Haul is poised to captivate a demographic that is increasingly conducting smartphone transactions.

Environmental and Social Considerations

While Amazon Haul’s model delivers affordability, it raises questions about sustainability and ethical labor practices. Competitors like Shein have faced criticism for their environmental footprints, with annual emissions significantly exceeding recommended global targets. Amazon Haul’s reliance on direct-from-China shipping and low-cost manufacturing mirrors similar concerns, potentially inviting scrutiny from environmentally conscious consumers and advocacy groups.

Strategic Outlook

Amazon Haul is a calculated move to secure dominance in the competitive landscape of discount e-commerce. Its ability to coexist with Amazon’s primary marketplace, offering a contrasting value proposition, demonstrates its adaptability and foresight. By entering the ultra-low-cost segment, Amazon diversifies its appeal, addressing the needs of both premium and price-sensitive shoppers.

However, the platform’s long-term impact will depend on its resilience to regulatory changes and ability to balance affordability with environmental and ethical accountability. Should it succeed, Amazon Haul could help redefine global retail, setting a new benchmark for price-driven e-commerce.

Summary

The launch of Amazon Haul represents a dramatic departure from the company’s traditional rapid-delivery model. As the platform evolves, its implications for domestic retailers, global supply chains, and consumer behavior will likely shape the future of commerce. Whether as a niche offering or a transformative force, Amazon Haul underscores the company’s ability to redefine e-commerce. You can also listen to a recent podcast on Amazon Haul here.

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Amazon FBA Grade and Resell: Program Benefits and Pitfalls

Online Returns are Really Expensive
Amazon FBA Grade and Resell Program
How the FBA Grade and Resell Program Works
Building a Sustainable Business Model
Managing and Monitoring Used Inventory
Marketing and Promoting Your Products
FBA Grade and Resell Program Fees
Benefits of the FBA Grade and Resell Program
Pitfalls of FBA Grade and Resell Program
Conclusion
Frequently Asked Questions

Ecommerce returns are painful for Sellers no matter which way you slice it. They drain attention and resources and directly impact the bottom line regardless if returns fraud is involved, or not. Many estimate that 20 – 30% of ecommerce orders are returned for one reason or another.

Online Returns are Really Expensive

Ecommerce Returns are costly, and more so if they pile up in a corner without a well-defined inspection and resale process

For each returned item, Amazon Third Party Sellers have already absorbed the product cost and the cost of preparing and shipping the inventory from their 3PL provider to multiple FBA fulfillment centers. Then, after an order is received, there are referral fees, fulfillment fees, and storage fees. What’s left after all the other sunk costs is the profit margin. If a customer initiates a free (or significantly subsidized) return, the Seller is expected to eat the costs of the return shipping, product inspection, and subsequent inventory management, which hurts the profit margin or may even turn the sale into a loss.

It’s no wonder many Sellers just offer to let customers keep low-cost items rather than return them because, at a certain point, it doesn’t make sense to process the return and resell it. Without careful cost management, Sellers can easily lose money on these transactions. To help Sellers recoup some value from returns and to get an even larger share of the Third-Party Sellers’ wallet, Amazon has now opened up the FBA Grade and Resell program to all Sellers that use FBA in the US.

Amazon FBA Grade and Resell Program

In the US and Europe, nearly 368MM items were either resold on Amazon in Used Condition or otherwise liquidated or donated last year. However, the FBA Grade and Resell program that enabled this success story was only available to a few Brands. Amazon has now made the program available to all Sellers that use FBA in the US, enabling all Sellers to recover value from inventory that would otherwise be removed or discarded by automatically inspecting, grading, and relisting eligible returned products as “Used” on Amazon’s marketplace. The program is particularly beneficial for items that can no longer be sold in New Condition but retain significant market value.

Not all products are eligible for FBA Grade and Resell. Specific categories are excluded, including but not limited to consumables, dangerous goods (hazmat) and recalled products, gift cards, heavy/bulky SKUs, and products with an average sale price that exceeds $75 (the complete list can be found here). Additionally, items must be returned to ecommerce fulfillment centers that support the program, and Sellers can exclude specific ASINs from the program for any reason.

How the FBA Grade and Resell Program Works

Image illustrating the workflow of the Amazon FBA Grade and Resell Program: inventory return, condition evaluation and grading, followed by discounted resale

Sellers first enroll in the Grade and Sell program through the Automated Unfulfillable Settings in Seller Central. Once enrolled, eligible customer returns that are unsellable as New are processed through different evaluation paths based on the product type. These paths include non-technical, technical, and specialty grading.

Amazon’s grading process is described as thorough and tailored to each product category. It may include checking for catalog accuracy, inspecting for packaging defects, damage, or cosmetic blemishes, validating functionality, checking accessories, and even memory wiping and factory resetting certain electronics such as laptops and cameras.

After evaluation, items are assigned one of four conditions: Used-Like New, Used-Very Good, Used-Good, or Used-Acceptable. Items that don’t meet these standards are graded as Unsellable. For items graded as Used, Amazon creates a new listing under the parent ASIN in the “New and Used” offers section, with the Seller remaining as Seller of record. They are eligible to become the Used Featured Offer (the default buy box for Used items) if the Seller’s offer meets the pricing and performance criteria and is managed the same way New items are managed, including advertising and pricing. The grading process can take several weeks and longer during peak seasons, so plan accordingly.

Sellers manage the pricing discount that applies to all Used SKUs in the program as a percentage of the New Condition offer price. For example, a Seller might set offers for Used-Like New SKUs as “85%” of the New SKU offer price, which is applied automatically when units are relisted. Sellers should actively manage their pricing strategy to ensure their Used items remain competitive while providing a worthwhile return.

Building a Sustainable Business Model

Building a sustainable business model is crucial for long-term success in the Amazon reselling business. A sustainable business model balances profitability, customer satisfaction, and environmental responsibility. Here are some tips to help you create a sustainable business model:

Focus on High-Demand, Low-Impact Products: Prioritize selling products that are in high demand and have a low environmental impact. This approach not only ensures steady sales but also minimizes your ecological footprint.
Eco-Friendly Packaging: Use eco-friendly packaging materials, such as recycled or biodegradable options. This not only appeals to environmentally conscious customers but also reduces waste.
Recycling Programs: Implement a recycling program for returned or damaged products. This can help reduce waste and potentially recover some value from unsellable items.
Utilize FBA Services: Consider using Amazon’s Fulfillment by Amazon (FBA) service. FBA can help reduce carbon emissions by optimizing shipping and logistics, and it also improves customer satisfaction with faster delivery times.
Optimize Business Operations: Continuously monitor and optimize your business operations to reduce waste and improve efficiency. This can include streamlining your supply chain, reducing energy consumption, and minimizing unnecessary expenses.

By incorporating these practices, you can build a sustainable business model that not only benefits the environment but also enhances your brand’s reputation and profitability.

Managing and Monitoring Used Inventory

Sellers have several tools available to help manage Used (graded) inventory. The most important is the Grade and Resell Report, which provides real-time updates on inventory status, including how many units are graded and ready for resale.

Sellers will appreciate that customer feedback and reviews for graded items roll up to the parent ASIN and do not materially affect Account Health Metrics, ensuring that Seller’s reputation is not negatively compromised due to poorly graded units.

Marketing and Promoting Your Products

Marketing and promotion of your products boosts visibility, attracting customers and driving sales. Here are some effective strategies to boost your product visibility and sales:

Amazon Advertising: Utilize Amazon’s advertising options, such as Sponsored Products and Sponsored Brands, to increase visibility and drive sales. These tools can help your products stand out in a crowded marketplace.
Optimize Product Listings: Ensure your product listings are optimized with high-quality images, detailed descriptions, and relevant keywords. This improves your chances of appearing in search results and attracting potential buyers.
Social Media Promotion: Leverage social media platforms like Facebook and Instagram to promote your products and engage with customers. Social media can be a powerful tool for building brand awareness and driving traffic to your listings.
Discounts and Promotions: Consider offering discounts or promotions to attract customers and drive sales. Limited-time offers and special deals can create a sense of urgency and encourage purchases.
Continuous Optimization: Continuously monitor and optimize your marketing strategy to improve results. Analyze your advertising performance, adjust your campaigns, and experiment with different promotional tactics to find what works best.

By implementing these marketing strategies, you can effectively promote your products, attract more customers, and increase your sales on Amazon.

FBA Grade and Resell Program Fees

Based on the item’s size and weight, sellers are charged a flat processing fee (from $1.50 – $4.10). However, items deemed completely unsellable remain in the Seller’s unfulfillable inventory and are not relisted nor processing fees charged. Sellers receive payouts for sold Used units just as they would for their New items, minus applicable fees. Amazon recommends enrolling SKUs with an average selling price above $15 to ensure profitability. Still, this guidance is highly subjective, and each Seller must monitor their eligible SKUs and adjust as necessary.

Benefits of the FBA Grade and Resell Program

There are several benefits of the FBA Grade and Resell program:

Boost revenue: Recover value from inventory that would otherwise be a loss instead of removing/disposing returned items or selling them at a steep discount through liquidation channels by selling Used units to customers willing to accept them at a discount.
Ease of Use: Sellers can automate submitting unfulfillable inventory into the Grade and Resell program, reducing the time and effort required to manage returned stock. Set it and forget it.
Cost Efficiency: Sellers only pay a processing fee when an item is successfully relisted and can avoid paying to return or dispose of unsellable inventory.
Faster time to market for Used: Units delivered directly to FBA fulfillment centers that support Grade and Resell compared to removing inventory, grading and prepping it externally, and then either Seller-fulfilling Used SKUs, or reinbounding to FBA
Support sustainability: Reduce waste going to the landfill

Pitfalls of FBA Grade and Resell Program

Imperfect humans resulting in poorly graded units: FBA employees may need to be more familiar with a product and what constitutes success criteria for passing inspection beyond the vague definitions provided in the condition guidelines. The subjective nature of the grading rubric would make it too easy to overestimate the grade as Like New when it’s actually in Acceptable condition, leading to customer complaints and poor reviews and/or brand image. And vice versa, under-grading an item limits the net recovery value from the resold item, leading to potential losses rather than gains.
It’s expensive: For example, if a $30 home goods item is resold at 75% of the new price, ($22.50) after the Grade and Resell Processing fee ($1.80), Fulfillment fee ($6.75), and Referral fee ($3.38), the net recovered value is only $10.57, or 35.23% of the original offer price for the new condition listing. That’s less than the cost of the Fulfillment and Referral fees for the original sale of the new item. Besides the additional fees for Grade and Resell, Used items typically take longer to sell. They may require more active management of listings, including leveraging pricing and marketing tools to shrink the time to sale and, thus, avoid accumulating storage fees.
Stranded inventory: If a Seller’s listing for a Used item is deleted, priced incorrectly, or otherwise not associated with an active offer, the product could become stranded, causing delays in selling and accumulation of storage fees.

Conclusion

Without truly transformative new returns models such as Cahoot’s Peer-to-Peer Returns, FBA Grade and Resell represents an attractive opportunity for Amazon Sellers to maximize the value of their returned inventory. By turning potential losses into sellable inventory, the program can help improve revenue and overall profitability, plus reduce waste.

However, like any tool, its effectiveness depends on how well it’s used. Sellers should carefully consider their pricing strategy, monitor the performance of their Grade and Resell listings, and be prepared to manage this inventory alongside their New Condition counterparts actively. For many FBA Sellers, it may be a valuable addition to their arsenal of tools for managing inventory and maximizing returns recovery. But for others, while this presents an opportunity to sell their Used returns (that may have otherwise gone to landfill), they need to be keenly aware of how much can be extracted from the resale after all the FBA fees, promotional costs, and landed costs are applied.

Frequently Asked Questions

What is FBA Grade and Resell?

FBA Grade and Resell is a new service for FBA sellers allowing the sale of returned items.

Is FBA Grade and Resell Available for All Products?

Not all products are eligible for for FBA Grade and Resell. You can learn more about which items are eligible from Amazon’s KB article.

How Does the Grading Process Work?

Amazon will inspect the returned items and assign a condition grade based on the product quality.

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Indy Pereira

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Analyze your Amazon FBA Returns to Optimize Performance

If you choose the setting to have your returns go back to FBA to grade and resell, you run a risk: the FBA staff might make a mistake and end up sending another customer a damaged or used product. This could lead to a negative review and/or seller feedback that tanks your business’s reputation. (Have you heard about the small business that got wrecked because someone received a dirty used diaper?)

But if you have all returns sent back to you instead of trusting FBA, you have a major time loss on your hands: you and your staff now have to take the time to assess each item yourselves and either resell as new, resell as used, or dispose of it in some other way. Time is money in your business.

Plus, if you’re outside the US, you have to either set up a US-based return address for your US customers, provide a pre-paid international shipping label, or simply refund the item without requiring a return, all of which are expensive and potentially a hassle. (Failing to do one of the three makes the buyer eligible for an A-to-Z claim, which harms your order defect rate.)

Last but not least: if an item gets returned a lot compared to other items in its category, Amazon might add the frequently returned item warning to the listing, which could easily scare off buyers from purchasing the product, reducing your sales.

Amazon’s customer-centric mindset has led it to require third-party sellers to be very generous with their return policies all the time…and extra generous during the holiday peak season. While returns are usually allowed within 30 days, orders placed between November 1 and December 31 are usually eligible for return until the end of January.

Understanding FBA Customer Returns

Navigating the world of Amazon FBA customer returns can feel like a maze, but understanding the process is crucial for managing your inventory and minimizing losses. When a customer decides to return an item, Amazon promptly sends you an email notification, and the cost of the order is deducted from your seller account balance. The customer then ships the item back to an Amazon fulfillment center, where it undergoes a thorough inspection to determine its condition. This step is vital as it decides whether the item can be resold, needs refurbishment, or is unsellable. By grasping this process, you can better manage your FBA inventory and make informed decisions about handling returns.

How to Analyze Your FBA Returns

First, you’ll need to understand why returns are happening. The best way to do that is to go straight to the buyers themselves. Buyers have to choose a reason when they request to return something, and they have a space to leave a comment with more details as well. Notice any patterns in the return reasons, and read the comments to try to understand where buyers are coming from.

It may seem daunting to read through all returns for every item, especially if your catalog is large. So, prioritize. Your process might look something like this:

Identify the SKU that has the highest return rate, while also having enough sales to be worth your focus. For example, look at your ten top-selling parent ASINs, then choose the SKU among those that have the most returns in the last 90 days.
Next, look at the top two or three return reasons customers choose for this item.
Read through a substantial sample of the return comments for each of those reasons.
Repeat with another high-selling and frequently returned SKU.

SellerPulse by eComEngine is a software tool that provides these details fast. It includes a robust FBA returns report with easy-to-read graphs showing which items are most often returned in which condition or for which reason, plus a word cloud of common themes in the comments. All the individual remarks are imported too, so you can notice a theme and dig in to get more details about the buyers’ experiences.

The report also shows returns over time, item disposition (the condition the item was returned in), and more, to save time and improve returns analysis.

Identifying Reasons for FBA Returns

Understanding why customers return products is key to improving your offerings and reducing return rates. Amazon provides a comprehensive list of 72 official reasons for customer returns, which can be broadly categorized into three groups: customer-related, seller-related, and Amazon-related.

Customer-related reasons might include issues like the product not meeting expectations or a change of mind. Seller-related reasons often involve inaccuracies in the product listing or quality issues. Amazon-related reasons could be due to shipping errors or fulfillment center mishandling. By analyzing these reasons, you can identify patterns and take corrective actions, such as improving product descriptions, enhancing quality control, or addressing fulfillment issues, to minimize future returns.

Of course, one benefit of doing this research is that it allows you to collect evidence of any fraudulent returns to make your case to Amazon.

But there are plenty of non-fraudulent returns and plenty of ways to reduce those going forward. Over time, you can improve your product, listing, packaging, or service to prevent the issues you’re seeing in the reasons and comments.

For example, if many buyers are saying that a certain item arrived damaged, you may need to improve the packaging it comes in for extra durability, rather than relying on FBA to pack it with the proper amount of cushion.

Or, if many buyers are complaining that the size, color, or other features of the item are not what they expected, you may need to update the listing to be more accurate to the real product.

Minimizing Losses from FBA Returns

Reducing losses from FBA returns requires a proactive and strategic approach. Here are some effective strategies to help you minimize these losses:

Improve product quality: Ensure your products meet high-quality standards and customer expectations to reduce returns due to defects or damage.
Optimize product listings: Make sure your product listings are accurate and comprehensive to prevent returns caused by misleading or incorrect information.
Use removal orders: Utilize removal orders to inspect returned items and assess their condition. This can help you decide whether to resell, refurbish, or dispose of the items, thereby minimizing losses.
Leverage Amazon’s return policies: Familiarize yourself with Amazon’s return policies and use options like the “Returnless Refund” to handle returns more efficiently and reduce costs.

By implementing these strategies, you can better manage FBA returns and protect your bottom line.

Conclusion

Effectively managing FBA customer returns is a critical component of success on Amazon. By understanding the return process, identifying the reasons behind returns, and taking steps to minimize losses, you can enhance your overall performance and profitability. Following the strategies outlined in this article will help you reduce returns, improve customer satisfaction, and stay competitive in the Amazon marketplace. Start analyzing your FBA returns today to set yourself up for a successful year ahead.

Frequently Asked Questions

What are the most common reasons for FBA returns?

The most common reasons listed for FBA returns are inaccurate product descriptions, damage in transit, poor product quality, and buyer’s remorse, most commonly deriving from some unmet expectation about the product.

What is the FBA policy for reimbursing unsellable items?

For items deemed unsellable, Amazon assesses responsibility for the damage. If it is determined to be Amazon’s responsibility, they will reimburse you. If the damage is attributed to the customer or falls under specific categories—such as customer-damaged items, recalled products, defective items, or violations of Amazon policies—Amazon does not accept responsibility and will not reimburse you. These items remain in your inventory as unsellable, and you may choose to have them returned to you or disposed of. Additionally, if a customer is refunded but does not return the item to an Amazon fulfillment center within 60 days, Amazon typically charges the customer and reimburses you.

How do I contest returns I believe are fraudulent?

If you believe a return is fraudulent, you should contact Amazon customer service to report a suspicious return immediately. You can also file an “Abusive Buyer Report” through Seller Central with any evidence of fraud you have compiled. Additionally, Amazon policies can be used to dispute returns you believe are fraudulent, including requesting an item inspection.

Written By:

Rachel Hoover

Rachel is a freelance writer who helps Amazon sellers connect with their customers and manage their seller reputations.

Written By:

Indy Pereira

Up to 64% Lower Returns Processing Cost

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Amazon’s New Shipping & Delivery Policies, Key Changes and Their Implications

Amazon continues to set the pace for customer satisfaction and delivery expectations. As we approach the latter half of 2024, Amazon is rolling out significant changes to its shipping and delivery policies that will impact Sellers across the platform. These updates aim to enhance the customer experience by ensuring faster, more accurate delivery times while also providing tools and guidance for Sellers to meet these new standards. Let’s dive into the key changes and what they mean for Amazon Sellers.

The Importance of On- Time Delivery

Amazon’s focus on fast and accurate delivery is not new, but it’s becoming increasingly important to the marketplace operator. It’s well known that the delivery speed and reliability of the delivery date expectation set during checkout are major factors in customers’ purchasing decisions. To meet this expectation, Amazon will be rigorously enforcing a new on-time delivery rate (OTDR) policy that will directly affect Sellers’ ability to list products on the marketplace.

Starting September 25, 2024, Sellers will need to maintain a minimum 90% OTDR without promise extensions to continue listing seller-fulfilled products on Amazon.com. This policy change underscores the importance of reliable shipping practices and puts the onus on Sellers to meet customer expectations. For optimal performance, Amazon recommends maintaining a 95% or higher OTDR for all seller-fulfilled orders.

It’s worth noting that this policy doesn’t apply to Fulfillment by Amazon (FBA) orders where Amazon is responsible for meeting delivery promises. However, for Sellers managing their own fulfillment, this change could have significant implications.

Updates to Transit Time Settings

To help improve OTDR and the reliability of delivery date promises made to customers, Amazon is reducing the number of transit days allowed for both Standard and Free Economy shipping options in shipping templates.

Some Sellers may have already noticed an update to the transit time requirements which became effective August 25, 2024. For Sellers shipping from the continental United States (excluding Hawaii, Alaska, and US territories), the maximum transit time allowed for Standard Shipping has been reduced to 5 days, while Free Economy shipping will have a maximum of 8 days.

There’s an important caveat for media items such as books, magazines, and DVDs. These products will continue to have a maximum transit time of 8 days for Standard Shipping. Sellers should pay close attention to their product categories to ensure compliance with these new transit time limits.

For those offering Free Economy shipping, Amazon has already adjusted max transit times in shipping templates from the previously allowed 5 to 10-day range to the new 4 to 8-day requirement. While no action is required from Sellers, they continue to have the option to disable Free Economy shipping if they prefer not to offer this service within the new timeframe.

Introduction of Automated Handling Time

Perhaps the most significant change for many Sellers will be the introduction of Automated Handling Time (AHT), set to take effect on September 25, 2024. AHT will use historical shipping data to set more accurate handling times for each SKU based on how long a Seller has typically taken to ship it in the past. For new products without historical data, AHT will default to the manually configured handling time.

This automation aims to provide customers with faster and more accurate delivery date estimates, potentially leading to increased sales for Sellers. However, it also means that Sellers will need to consistently meet these handling time expectations to maintain an acceptable OTDR. AHT will automatically take Order Handling Capacity into account (the maximum number of orders that have been fulfilled in the past 90 days) and adjust delivery promises to reflect longer handling times accordingly; the objective is to avoid overburdening Sellers with shorter handling times that cannot be met.

This feature will be automatically enabled for Sellers who currently have a handling time gap of 2 days or more compared to their actual shipping performance (Sellers can find their current handling time gap here). AHT is already available in the Order Handling Settings for Sellers that want to test how the new setting will affect their fulfillment workflows in advance of the September 25th obligation.

It’s important to note that handling time only considers business days, excluding weekend days unless weekend operations are intentionally enabled in Order Fulfillment settings.

AHT for Seller Fulfilled Prime Orders

For Prime orders that have one-day or two-day delivery expectations, the same-day handling time will continue to apply. Prime orders with standard delivery will default to a one-day handling time, unless a same-day default handling time is configured at the account-level, in which case, Prime orders with standard delivery would have a same-day handling time.

Exceptions and Protections

Amazon recognizes that certain products, such as custom-made and/or personalized items, certain media, and heavy or bulky goods, may require more flexible handling times. Sellers can request exceptions for these types of SKUs, allowing them to set manual handling time overrides. However, it’s important to note that exempted SKUs will not receive OTDR protection from late deliveries. OTD protection will be available to provide a safety net for Sellers as they adjust to the new policies.

To qualify for OTDR protection, Sellers must meet three conditions:

Have Shipping Automation (SSA) enabled on the relevant shipping template. SSA helps set accurate delivery dates through automated transit time calculations based on preferred shipping services. (L earn More)
Have AHT enabled on their account. (Learn More)
Purchase “OTDR protected” Standard Shipping services through Amazon Buy Shipping

Preparing for the Changes

With these significant updates, Sellers should take proactive steps to prepare:

Review current shipping practices and identify areas for improvement.
Get familiar with the new transit time and handling time requirements.
Consider enabling Automated Handling Time if it’s not already active to analyze how the required changes will impact business operations and workflows before the September 25th deadline.
Evaluate product catalogs to determine if any items might qualify for handling time exceptions. Contact Seller Support and request that a ticket is created to have Handling Time exceptions applied to the list of SKUs.

Looking Ahead

Meeting customer expectations for fast and reliable order delivery is more crucial than ever. Amazon’s new policies reflect this reality, pushing Sellers to optimize their fulfillment processes or risk losing visibility on the marketplace. While these changes may present challenges, they also offer opportunities for Sellers to streamline their operations and potentially increase sales through improved delivery promises. Staying informed and continuously monitoring performance will help Sellers to ensure continued success on the Amazon marketplace.

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How to Make the Most of Amazon Q4 2021

Amazon Experts Share Insights on Getting Ready for a Record-Breaking Q4

View the On-Demand Webinar

Set yourself up for success! Start preparing now to make the most of a record-breaking Q4 on Amazon. Veteran Amazon 3P seller Charlene Anderson, Cahoot CEO Manish Chowdhary, and a panel of other leading Amazon experts from eComEngine, Kaspien, Tinuiti, Cahoot, and Wholesale Sourcing share the actionable insights you need to maximize sales and protect your bottom line.

Amazon FBA Sourcing

How to align sourcing, inventory, shipping & promotions

Navigating New FBA Inventory Limits & FBA Fulfillment Alternatives

How to navigate new FBA account-level inventory limits
Nationwide 1-day & 2-day delivery options that complement FBA

Amazon Advertising

The biggest advertising trends & benchmarks in 2021
New features to consider right now, including Amazon Posts

Amazon FBA Auditing & Refunds

Best practices on auditing Amazon mistakes & getting the money owed

Amazon Customer Reviews

What to expect when it comes to product reviews on holiday purchases

Amazon FBM Fulfillment Services

Amazon SFP Fulfillment Services

Webinar Recap

Don’t wait until it’s too late – now is the time to start preparations to make the most of Amazon Q4! Here are some highlights from this action-packed and informative on-demand webinar:

How to Strengthen Supplier Relationships and Source Products Year-Round

20-year Amazon veteran seller Charlene Anderson of Wholesale Sourcing Experts shares that sourcing and fostering solid relationships with key suppliers should be a year-round effort. Great relationships can give you a distinct advantage when it comes to getting the inventory you want – when you need it.

How to Improve IPI Scores & Use FBM to Workaround FBA Inventory Limits

Manish Chowdhary of Cahoot offers sage advice on dealing with FBA’s latest storage-type inventory limits and practical tips on improving sellers’ Inventory Performance Index (IPI score), and recommends that FBA sellers adopt an FBM strategy to avoid stockouts and save Q4 sales.

How to Optimize Your Amazon Advertising Spend in Q4 2021

Katie Keyser of Tinuiti provides valuable insight on optimizing Amazon advertising in light of the changing consumer shopping trends and which of Amazon’s latest advertising products will be the most cost-effective in Q4 2021.

How to Get All of the Amazon FBA Reimbursements That You Deserve

Amazon makes mistakes, and automation doesn’t catch everything. Kelsey Gruis of Kaspien provides insights on where to look, how to get the FBA reimbursements owed, and how to use automation to protect your time and sanity.

How & When to Get More Amazon Reviews in Q4

Colleen Quattlebaum of eComEngine offers advice on how and when to ask for reviews for your holiday shopping sales. Hint: It’s different from the rest of the year.

Watch – Making the Most of Q4 on Amazon Webinar

This year more than ever, it’s vital to start now to set yourself up for success and protect your Amazon business in Q4.

Speakers Bios

Charlene Anderson is the owner of Wholesale Sourcing Experts and The Anderson Group, LLC, an online retailer with over 25 years of eCommerce experience. She has been an active seller on Amazon since 2001. Charlene is the author of “Wholesale Sourcing: A Step-by-Step Guide for eCommerce Businesses.” She manages the Wholesale Sourcing Experts Facebook group, a small, curated coaching group for eCommerce sellers focusing on wholesale product sourcing.

Colleen Quattlebaum is the Marketing Manager at eComEngine, and she is committed to helping Amazon Sellers succeed. Colleen reviews the latest market trends and strategizes on how to improve eComEngine’s offerings so that she can pass that insight and value on to Amazon merchants.

Katie Keyser is a Marketplace Specialist at Tinuiti. She has 8+ years working in the digital marketing and tech industry and has become an expert across multiple verticals, effectively helping clients grow their revenue. Katie excels at taking a data-driven approach and executing a tailored strategy to meet her clients’ specific goals

Kelsey Gruis of Kaspien has over eight years of combined sales and management experience in eCommerce. As Kaspien’s VP of Business Development, Kelsey helps brands identify and implement strategic opportunities to optimize and grow their business on today’s leading online marketplaces.

Manish Chowdhary is the founder and CEO of Cahoot, the world’s first peer-to-peer eCommerce order fulfillment network that enables top-rated eCommerce merchants on Amazon, Walmart, eBay, Shopify, and other sales channels to win sales by offering superfast nationwide shipping – for less than the cost of ground. Cahoot was recognized among the top 50 most innovative companies and awarded Fast Company’s World Changing Ideas for 2020.

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Indy Pereira

Up to 64% Lower Returns Processing Cost

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Boost your Bottom Line

Top 10 Profit-Saving Tips for Amazon Q4

Amazon already takes as much as 15% of each sale in referral fees – why are you letting them keep extra money on top?

This Q4 promises to be the biggest ever on Amazon, as experts predict that it will blow last year’s $100B quarter out of the water. In our recent webinar, the founders of Cahoot and Seller Locker share ten actionable pieces of advice for how to maximize your profitability

Manish from Cahoot goes deep on FBA – if you’re not obsessing over item size, bundling, and category, you’re probably letting Amazon fleece you. And moreover, FBA isn’t a complete solution: we go into detail on why you at least need FBA backup to maximize profits.

Joseph from Seller Locker then gives tips on reimbursements; you could be losing over a dollar per item in overcharges if Amazon measures your product even a centimeter longer than it is! He goes on to share advice on how to reduce returns, including how to get into Amazon’s new invite-only PLS program that provides a button for sellers to work with customers before they process a costly return.

Here’s what we covered in our advice-packed webinar:

FBA Operational Excellence
Why You Need Alternatives to FBA
How to Fight Back Against Overcharges from Amazon
How to Minimize Returns – including details on Amazon’s new return-interrupting tool

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This Q4 is Different

Grow Revenue in Changing Times

There are more than one hundred billion dollars up for grabs on Amazon this Q4 – but shoppers, supply chains, and competitors are changing faster than ever. For instance, did you know that Amazon launched their “Black Friday” deals on October 4th?

If you’ve been planning on the same old post-Thanksgiving rush, the good news is that there’s still time to adapt. You can count on challenges this peak season, but you can pivot to earn your share of the pie.

Cahoot and Tinuiti offer their expertise to help you jump on this early selling wave with confidence in their recent webinar, “This Q4 is Different: Grow Revenue in Changing Times”.

This Q4 is Different – Grow Revenue in Changing Times from Cahoot Technologies

They offered actionable advice on five pressing topics that you can put into practice to boost your revenue and profit right away:

How to keep CPC down despite surging competition for ads
How to encourage customers to buy early and often
Advanced tactics to improve detail page conversion
How to grow when Amazon’s new storage limits cut your FBA inventory
How to get your products to customers despite the parcel carrier crunch

You might be treating demand generation and fulfillment as two separate sides of the house, but you’ll have to strategically manage them together to maximize your results. For instance, treating October and early November as a holiday selling season won’t just win you new customers – it will improve your advertising efficiency because you’re not competing with the post-Thanksgiving rush of ad dollars, and it will improve your fulfillment costs because you’ll beat carrier surcharges.

Watch our on-demand video to learn how you can take advantage of this emerging trend!

Offer 1-day and 2-day shipping at ground rates or less.

Learn More

In this article

Workplace Safety Concerns and Senate Allegations

Amazon Workers Path to Unionization

Financial Context and Broader Implications

Summary

Up to 64% Lower Returns Processing Cost

Related Articles

In this article

Summary

Up to 64% Lower Returns Processing Cost

Related Articles

In this article

What it Means for Third-Party (3P) Sellers

Product Safety on Amazon

The Rub

Seller Agreements Will Evolve

Have a Plan to Mitigate Risk

Product Safety Alerts and Recalls

Consumer Protection is the Focus

Conclusion

Frequently Asked Questions

How do I know if my product is considered “unsafe”?

What happens if a safety issue is discovered with my product?

Where are Amazon’s Product Safety Policies?

Up to 64% Lower Returns Processing Cost

Related Articles

In this article

The Mechanics of Amazon Haul

Competitive Strategy and Market Disruption

Implications for Domestic Online Retailers and Brands

Economic and Political Factors

Consumer Behavior and the Future of Retail

Environmental and Social Considerations

Strategic Outlook

Summary

Offer 1-day and 2-day shipping at ground rates or less.

Related Blog Posts

Up to 64% Lower Returns Processing Cost

Related Articles

In this article

Online Returns are Really Expensive

Amazon FBA Grade and Resell Program

How the FBA Grade and Resell Program Works

Building a Sustainable Business Model

Managing and Monitoring Used Inventory

Marketing and Promoting Your Products

FBA Grade and Resell Program Fees

Benefits of the FBA Grade and Resell Program

Pitfalls of FBA Grade and Resell Program

Conclusion

Frequently Asked Questions

What is FBA Grade and Resell?

Is FBA Grade and Resell Available for All Products?

How Does the Grading Process Work?

Up to 64% Lower Returns Processing Cost

Related Articles

In this article

Understanding FBA Customer Returns

How to Analyze Your FBA Returns

Identifying Reasons for FBA Returns

Minimizing Losses from FBA Returns

Conclusion

Frequently Asked Questions

What are the most common reasons for FBA returns?

What is the FBA policy for reimbursing unsellable items?

How do I contest returns I believe are fraudulent?

Rachel Hoover

Up to 64% Lower Returns Processing Cost

Related Articles

In this article

The Importance of On- Time Delivery

Updates to Transit Time Settings

Introduction of Automated Handling Time

AHT for Seller Fulfilled Prime Orders

Exceptions and Protections

Preparing for the Changes

Looking Ahead

Offer 1-day and 2-day shipping at ground rates or less.

Recent Blog Posts

Up to 64% Lower Returns Processing Cost