Top 5 Mistakes to Avoid for a Stress-Free Amazon Reimbursement/Refund

April 1, 2021
Written by Kevin Wong
amazon reimbursement refund

Imagine yourself working as hard as you can every single day to ensure that your Amazon business grows. Still, there are portions of your earnings not credited to you. Nothing can be more stressful than losing money that could have been your profit. 

Hence, Amazon reimbursement/refund is available for every Amazon seller. The catch is, Amazon will not notify you if you are eligible for any Amazon reimbursement. It is your sole responsibility to look for the money Amazon owes you and file a case to get your money or item back. 

To keep yourself from experiencing additional strains in your Amazon business journey, we have compiled Amazon FBA reimbursement mistakes you can learn from and avoid committing. 

Mistake 1: Not knowing that you are entitled to an Amazon Reimbursement/Refund

On Amazon, many plans will be on your checklist to make your business succeed. Among these steps are listing optimization, keyword strategies, fixing account suspension, shipping needs, account management, and a whole lot more. It is easy to turn a blind eye on Amazon reimbursement/refund, and that is okay--in the beginning. 

Nonetheless, as you progress in your business, the reimbursement you are entitled to will also grow. The amount of your reimbursement could be higher than you thought. Therefore, once you have settled other Amazon concerns and priorities, set some time for Amazon reimbursement/refund.

What you can do:

Suppose you have many priorities in your Amazon business. In that case, you can schedule a check for your Amazon FBA reimbursement less frequently. For instance, you can check your inventory once a month or once every quarter. You can backtrack and check the data from the last 18 months on Seller Central, so you can even check once a year if you want to. The bottom line is, you must check! 

Mistake 2: Unawareness of the instances when you can file for an Amazon FBA Reimbursement

Did you know that Amazon will pay you when items are in working condition when delivered to fulfillment centers, but become defective during storage in Amazon warehouses? If you don’t, then you are missing a lot regarding the Amazon reimbursement program. 

There are a couple of instances Amazon can reimburse you. If you don’t know them, you can’t start the Amazon reimbursement/refund process.

What you can do:

Know and remember these instances when Amazon should be compensating you:

  • Product loss and damage caused by Amazon while shipping to the fulfillment center or the customers
  • Item loss or damage within the fulfilment centers due to negligence
  • Items not returned by customers but replaced/refunded by Amazon.
  • Items returned by customers but not brought back to the inventory list whether they are sellable or unsellable.
  • Sending products more than what is ordered by clients
  • Wrong fees charged by Amazon for restocking, storage, and shipping
  • Mistakes on item measurement that causes increased charges

Mistake 3: Data on Seller Central not put to fair use

Seller Central is where you can get all the data you need to analyze how your Amazon business is faring. It will be a waste if you do not understand the numbers or hire an agency to create a report  based on the raw data. 

When it comes to Amazon reimbursement, Seller Central has a page where you can easily download details about your inventory. If you know where to look, you can get an idea about the items you should file a case on to receive  compensation. 

What you can do:

If you are new to Amazon, know the step-by-step process on checking your Amazon inventory. Here they are: 

  1. Log in to your Seller Account and go to  the “inventory adjustments” page under “fulfillment” and “reports.”
  2. Filter the dates you want to check. Use a month view filter to narrow your Amazon FBA reimbursement monthly, or adjust it if you check it quarterly or yearly. You can backtrack up to 18 months.
  3. Download the excel file, and find the “reasons” column. This column is where you can check what happened to your item. Familiarize yourself with the adjustments types and codes
  4. Keep an eye on the reasons that make you eligible for reimbursement like “damaged at Amazon center,” “Inventory misplaced,” and more!
  5. Check the items that have both “damaged at Amazon center” and “transfer to holding account” as this means these were already replaced or compensated.
  6. Once you have determined the items not yet reimbursed or replaced, open a case, which would be another process.

Here are the steps you need to take in opening a case.

  1. On Seller Central, go to the “Get Support” page under “Support” and “Help.”
  2. Go to “Selling on Amazon,” then “Fulfillment by Amazon.”
  3. Under “Fulfillment by Amazon” you can choose  either “Inventory Damaged” or “Inventory Lost in Warehouse.”
  4. After that, click “Select Issue,” and you can begin filling out the details. 

Following these steps will determine the answer to the question, “How long does it take to get reimbursed from Amazon?” Make sure to prepare a template for each type of category to make your case filing quicker. You will receive a reply from Amazon within 48 hours. Wait for 3-4 days, then you’ll get your reimbursement or product replacement. 

Mistake 4: Lack of Templates When Filing for Amazon Reimbursement

You do not want your hands to be sore or stiff with repetitive typing. You have hundreds of claims to file because of the months you set aside the Amazon reimbursement program in your priority list.  Not having templates is another small detail. This is a common mistake among Amazon sellers, especially those filing for the first time. Once you feel the discomfort in your hands, you’ll think of what you can do to make your case filing easier. We’ll tell you how!

What you can do:

The technique is quite simple. Just prepare templates for your claims. Do it per category so that when you will file a similar case, you can copy and paste the message instead of creating customized notifications every time. This strategy will save you time and energy. The more templates you have, the more claims you can file. 

Mistake 5: Seeing help and reliance on professionals as not a worthy investment.

For your Amazon account and product listing optimization, you partner with Amazon SEO specialists to ensure that you are utilizing  a strategy that will be successful. When your account gets suspended, you hire an expert on Amazon account suspension appeal and reinstatement. You also make sure you have a reliable team handling your PPC and marketing. However, when it comes to Amazon reimbursement/refund, you do not think it needs to be delegated to experts. 

What you can do:

Know that many agencies offer complete Amazon services, which means that you may also include Amazon reimbursement once you sign-up for a service.  When you do this, you maximize the investment you have placed in your partner agency. Do not think of Amazon reimbursement/refund as an unworthy cost. On the other hand, give importance to it so that the hard work you did in the first steps to make your business successful will not go to waste. 

Suppose you do not have a partnership with a third-party agency. In that case, you can hire seasonal employees or even virtual assistants to check your Amazon reimbursement for you. 

Think you can only get help from people? Not on Amazon! There is a lot of software that can help you with your Amazon reimbursement/refund. Since codes run these, you are more likely to get accurate results.  Hence, this is an investment-worthy tool. 

Summary

In a nutshell, Amazon reimbursement/refund is as vital as the other steps you take to make your Amazon business succeed. It may not be on top of your priority list, but you should also look into it.

Save time and energy, and maintain your business' growth by remembering these common mistakes regarding Amazon FBA reimbursement. 

Seller Interactive can help you do the right things for your Amazon account, especially regarding Amazon reimbursement. We have a team of Amazon specialists who are well-versed in the processes and strategies to make an Amazon business succeed.

Give us a call at 1-800-820-3746, so we can discuss the details.

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