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How to handle FBA Inventory / Returns

By Aryan Amid
How to handle FBA Inventory / Returns

Sellers should immediately inventory and photograph FBA returns upon receipt, comparing them against the packing slip to catch missing, damaged, or incorrect items before filing a reimbursement request with Amazon seller support.

FBA Returns

As an Amazon seller, a reality is that you will receive a certain percentage of your items back.  This is a cost of doing business on Amazon.  In today’s competitive marketplace, most sellers utilize FBA to gain a competitive advantage and drive up their sales volumes.  However FBA presents many benefits and many detriments, most of which you have to balance to find out whether or not it is truly favorable to your business.

When selling through FBA, Amazon generally handles the returns which means that you have little to no control over the items being approved, or received from a customer.  You can get damaged, broken, or incomplete items back, and in certain instances you may receive no item at all.

In order to manage this efficiently, you should have an FBA auditing software in place which will access your Amazon reports, and balance your inventory to make sure that where possible you are reimbursed for the losses you may otherwise incur when selling on FBA.  There are countless examples of such systems, and you may want to spend some time evaluating the various solutions to find which fits your business model best.

In addition to these items, you will receive your regular shipments coming back from Amazon.  It is imperative that you inventory the shipment immediately upon receipt, verify that the contents are correct according to the packing slip, and the items are received complete, undamaged, and that the items are your original items.  We have seen countless issues where there are items missing, incorrect items, or damaged items coming back.

Where you find yourself in this situation be sure to photograph and keep the following evidence:

  • Box received (pictures of all sides of the box)
  • Shipping label
  • Packing slip
  • Item return number on item (LNR#)
  • Item

Once the evidence is ready contact Amazon seller support to request a reimbursement for an FBA return. (This can take up to 7 days.)

Frequently asked

What documentation should I keep when an FBA return arrives damaged or incomplete?

Photograph all sides of the box, the shipping label, the packing slip, and the item's LNR return number along with the item itself before contacting Amazon seller support.

How long does Amazon typically take to process an FBA reimbursement request?

According to the article, reimbursement requests can take up to 7 days, though this may vary by case.

Should I use software to track FBA inventory and returns?

Many sellers use FBA auditing software to reconcile Amazon reports against actual inventory so discrepancies and potential reimbursements aren't missed; it's worth evaluating a few options to see what fits your business.

Attorney Advertising. This article is general information, not legal advice, and does not create an attorney-client relationship. Prior results do not guarantee a similar outcome.