Insights

Handling Amazon FBA Customer Returns

The video discusses the ongoing issue of Amazon customer returns and the challenges sellers face with returned items, particularly with the condition in which they are received. Sellers are frustrated with products being returned without their original outer packaging, often with damaged boxes and multiple shipping labels, making them unsellable as new. Larger items are commonly shipped in product packaging rather than protective outer boxes, and when these items are returned, they frequently arrive in poor condition. Many sellers note that returns are often due to simple "unwanted item" claims, yet the returned products are far from their original condition.

Another concern raised is customers returning used or incomplete items, yet marking them as new, which complicates reselling these products. Some sellers resort to selling such returns at a discount, listing them in "like new" or "acceptable" condition. However, this still results in a loss of revenue for many sellers. The video also highlights issues with replacement orders, where customers claim they received the wrong item, leading sellers to send a second replacement, only to never receive the original item back.

To mitigate the impact of returns, sellers are advised to mark up their products slightly to create a buffer for the inevitable return losses. Despite efforts to report return abuse or submit claims through Amazon, the process often feels cumbersome and rarely results in a favorable outcome for the seller.

The video concludes with advice on managing returns through Amazon’s system to ensure that replacements and returns are properly tracked, allowing sellers to leverage Amazon’s safety claim policies for protection.

Check out the full discussion in the video below.