Key Issues:

• Missing Inventory Claims: Items lost in transit or misplaced in warehouses.

• Warehouse Damage: Products damaged during storage or fulfillment.

• FBA Fee Errors: Incorrect size, weight, or category leading to overcharges.

• Return Processing Issues: Unreturned or misclassified items.

• Shipping Guarantee Failures: Late or lost deliveries affecting revenue.

Solutions:

• Regularly audit reports like Inventory Adjustments and Fee Details.

• Use tools like Refund Genie, Sellerise, or GETIDA for automation.

• File claims with complete documentation (invoices, photos, tracking details).

• Monitor return reports and shipping performance daily.

• Stay updated on Amazon’s policies, including the upcoming March 2025 shift to manufacturing cost-based reimbursements.

Quick Comparison Table:

Act fast, stay organized, and leverage tools or professional services to recover lost revenue effectively.

Amazon FBA Reimbursement Claims - The Do's and Don'ts You Need to Know

1. Missing Inventory Claims

Dealing with missing inventory is a common headache for FBA sellers, particularly since Amazon enforces a strict 60-day reimbursement window.

Common Causes of Missing Inventory

With millions of items moving through Amazon's fulfillment centers daily, it's no surprise that inventory issues arise. Here are some frequent problems:

Reviewing Inventory Reports

To catch and address these issues, regularly review Amazon's Inventory Adjustment report. This report logs adjustments in pairs: a decrease for "Inventory Misplaced" (M) and an increase when the item is "Found" (F). Here's how to approach it:

• Match Adjustment Pairs: Identify any unmatched "M" and "F" entries.

• Filter by Reason: Focus on unresolved discrepancies by excluding matched adjustments.

• Track Timelines: Keep an eye on adjustments within the 60-day reimbursement window.

Using automation tools can help ensure you don’t miss any claims during this tight timeframe.

"Using an Amazon reimbursement service like Refund Genie can be highly profitable for Amazon FBA sellers. Sellers who haven't used a reimbursement service before have often recovered thousands, and sometimes even tens of thousands, of dollars from Amazon thanks to Refund Genie." - Helium 10

Tools for Automated Tracking

Automation tools simplify the reimbursement process by identifying and tracking claims:

• Refund Genie by Helium 10: Offers detailed audits and claim suggestions but requires manual submissions via Seller Central.

• Sellerise: Provides automated alerts and pre-written claim messages. This feature is included at no extra cost for users with a growing plan.

• Refunzo: Handles reconciliation and keeps accurate records across fulfillment centers.

For the best results, maintain thorough shipment records and compare them regularly with Amazon's data. Remember, discrepancies need to be reported within 60 days to qualify for reimbursement.

2. Warehouse Damage Claims

Warehouse damage claims help FBA sellers recover money lost due to damage during storage or order fulfillment.

Finding Damaged Items

To spot damaged inventory, you need to stay on top of your FBA inventory using these methods:

When analyzing these reports, focus on any inventory discrepancies that don’t match your sales records. Double-check system alerts against your own records to ensure accuracy. Once you confirm damage, gather all the documents needed to file your claim.

Required Claim Documents

To file a damage claim, you'll need:

• Invoices showing the original cost and quantity of the product

• FBA shipment receipts, including tracking details

• Photos of damaged items (for returns)

• Detailed inventory reconciliation reports

• Proof of the product's original condition when sent to Amazon

"Don't let potential reimbursement opportunities slip through the cracks. Embrace the power of Getida and ensure that you receive every dollar you're entitled to." - GETIDA

Claim Management Tools

These tools can help simplify the process of handling damage claims:

• Automated Monitoring Systems
  

  These tools scan your account for mismatches between shipped and received inventory, flagging potential damage claims.

• Documentation Management Services
  

  Companies like GETIDA keep your records organized and automatically identify reimbursement opportunities. Their system can catch cases of damaged inventory that might otherwise be overlooked.

• Reporting and Analytics
  

  Regularly reviewing your FBA Fee Details Report can uncover patterns in damage incidents and help you address them. For example, comparing manufacturer specs with Amazon's recorded dimensions ensures proper storage and handling.

One seller, for example, was able to recover $1,000 from a 100-unit shipment thanks to thorough record-keeping and monitoring.

3. FBA Fee Errors

FBA fee mistakes can seriously impact your profits. Research shows that up to 20% of inventory is misclassified, leading to unnecessary overcharges. By conducting regular reviews, sellers can recover 2–5% of their FBA costs. Careful checks and consistent audits are key to spotting these errors early.

Common Fee Errors

Here are some frequent FBA fee issues:

Take this real-world example: one seller ended up losing $35,000 because a $1 per-unit overcharge went unnoticed for over a year.

Fee Accuracy Checks

To avoid these costly mistakes, use these strategies to verify your fees:

• Measure Accurately: Use digital calipers and postal scales to ensure precise product dimensions.

• Cross-Check Fees: Compare your charged fees with Amazon’s official fee schedule.

• Document Everything: Take timestamped photos of product dimensions for reference.

• Use Tools: Review the Fee Preview tool before shipping your products.

Monthly Fee Reviews

Just like handling missing inventory or damage claims, auditing your fees is essential to recovering lost revenue.

1. Regular Audits

Set up monthly reviews using key reports such as:

• FBA Inventory Age report

• Monthly Storage Fees report

• Aged Inventory Surcharge report

2. Measurement and Documentation

Request a cubiscan scan twice a year. Keep records of original measurements, actual fees, expected fee calculations, affected order numbers, and order-specific evidence to strengthen your dispute claims.

Amazon requires detailed documentation to process reimbursement claims. Be mindful of their deadlines: 90 days for dimension-related overcharges and 18 months for other fee disputes. Missing these timeframes could mean losing out on refunds.

4. Return Processing Issues

Retailers lose a staggering $50 billion each year due to inefficient return logistics. To avoid unnecessary losses, handle return reimbursements quickly and address common return issues that can directly affect your profits.

Common Return Problems

Returns can drain profits through a combination of shipping, restocking, and processing fees. During busy return periods, companies like UPS handle up to 1.9 million return packages daily.

Key Return Reports to Monitor

Keeping an eye on the right reports can help you catch return-related problems early:

• Voice of Customer (VoC) Report
  

  Analyze customer feedback to identify patterns and resolve issues before they escalate. Return rates often range from 5% to 15%, depending on the product category.

• FBA Returns Report
  

  Review return reason codes, product conditions, processing times, and reimbursement statuses to pinpoint problem products and trends.

• NSX (Negative Seller Experience) Report
  

  Use this report to uncover larger issues impacting return rates and customer satisfaction.

Streamlining the Return Claim Process

Claims should be submitted 60 to 120 days after issuing a customer refund or replacement. Include all necessary documents, such as shipping manifests, return tracking details, product photos, customer communications, and refund records.

How to Submit a Claim:

• Log in to the Inventory Defect and Reimbursement portal.

• Check the "Eligible for claim" tab to identify qualifying defects.

• Collect all supporting evidence and submit a detailed case.

Track your claim's progress in the "In progress" tab and confirm resolutions in the "Resolved" tab. If Amazon's resolution isn't satisfactory, you can appeal using the details provided in their decision.

5. Shipping Guarantee Failures

Delivery Problems

Amazon's shipping guarantee issues can result in delivery delays or lost revenue. Below are common delivery problems eligible for reimbursement:

It's important to keep a close eye on these issues using performance tracking tools.

Shipping Performance Tracking

Stay on top of shipping performance by auditing daily through Seller Central. Here’s how:

1. Daily Shipping Queue Review
   

   Go to the Inventory tab in Seller Central and review your shipping queue. Compare the "Units expected" with "Units located" for each shipment.

2. Keep Detailed Records
   

   Maintain organized documentation, including:

   • Shipping manifests with tracking details

   • Customer communication about delivery issues

   • Photos of packaging and shipping labels

   • Notifications of delivery attempts with timestamps

Regularly reviewing your shipping policies will help ensure your claims meet Amazon's standards.

Amazon Shipping Policies

Just like handling missing inventory or fee discrepancies, following Amazon's policies is essential for successful reimbursement claims. Amazon’s A-to-z Guarantee provides clear guidelines for when sellers can expect compensation.

"Amazon's FBA reimbursement policy is designed to compensate sellers like you for various FBA (Fulfillment by Amazon) discrepancies, such as unaccounted or damaged inventory, incorrect fees, and more."
– GETIDA

Here are the main conditions to keep in mind:

• The shipping method must match what’s advertised on the product page.

• Orders must be sent to eligible addresses.

• Payments must be processed before the checkout deadline.

• The guarantee excludes events like natural disasters or other force majeure circumstances.

For inventory that goes missing while being shipped to Amazon, follow the "Shipment to Amazon" process. If the issue occurs in a fulfillment center, use the "Fulfillment Center Operations" procedure.

Pro Tip: Check your FBA inventory reports weekly. Spotting discrepancies early can improve your chances of getting reimbursed.

Conclusion

Managing reimbursements effectively is crucial for safeguarding your revenue. Sellers can lose up to 3% of their annual revenue due to FBA discrepancies, with nearly 40% of reimbursements linked to inbound shipment errors.

Amazon's policies are shifting. As of October 23, 2024, the claim window has been reduced to just 60 days. This makes quick and organized claim management more important than ever for protecting your bottom line.

Recovery Methods and Their Results

Professional services and tools can significantly boost recovery rates. As one seller shared:

"They were able to audit the previous couple years from day 1 and were able to get back $4,500 right away. They will find money that Amazon has taken that you will never find on your own".

Best Practices for Reimbursement Management

Top-performing sellers follow these key practices:

• Wait 30–45 days for Amazon to correct errors before filing claims.

• Review inventory and payment data weekly to catch discrepancies early.

• Keep detailed records of all transactions and claims.

• Stay updated on Amazon's policy changes.

• Use professional services for handling complex claims.

Experts caution that up to 40% of reimbursements could go unclaimed under new policies. This highlights the need for careful oversight of FBA operations and a proactive approach to reimbursement management.

"I signed up with Getida a month ago and received my first report today. They recovered 100% of the amount claimed on my behalf. I highly recommend Getida. As a seller being busy with a million things, I found Getida is an amazing tool to help you recover some "I signed up with Getida a month ago and received my first report today. They recovered 100% of the amount claimed on my behalf. I highly recommend Getida. As a seller being busy with a million things, I found Getida is an amazing tool to help you recover some $" – Mahalia S [24]quot; – Mahalia S

Extra Tips

Take your reimbursement strategy to the next level with these practical insights.

Policy Updates

Amazon will transition to manufacturing cost-based reimbursements starting March 10, 2025. This means reimbursements will only account for manufacturing costs, leaving out expenses like shipping, handling, and customs duties.

Here’s a breakdown of upcoming policy changes:

If you believe Amazon’s reimbursement estimates are inaccurate, you can submit your own cost data. As these policies continue to evolve, expert advice becomes increasingly valuable to recover eligible funds effectively.

Professional Services

With new policies in place, up to 40% of reimbursements could go unclaimed without proper management. Professional services can bridge this gap, offering better recovery rates through specialized tools and expertise. Here’s what they bring to the table:

"We audit more consistently. We find more discrepancies. We reconcile more claims. The refunds roll in, unlocking an additional revenue stream to reinvest in your Amazon business. It's more than money back - it's the way forward." - Getida

Professional services excel in uncovering overlooked claims and managing intricate cases. Combining these services with diligent claim management ensures no reimbursement opportunity slips through the cracks.

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