The idea of completing FBA reimbursement claims can be daunting to any Amazon seller. Investing the time in filing claims might be unappealing, but the FBA reimbursement process is essential if you want to get back the money Amazon owes you.
As your business enters the post-pandemic world, it is more important than ever to tap into the power of FBA reimbursements to grow your revenue.
Let’s take a look at a few tricks that can ensure FBA reimbursements are profitable for your business.
1. Learn About FBA Reimbursement Deadlines
Some sellers do not realize that Amazon allows an 18-month window for FBA reimbursement claims to be filed. If a seller does not notice a discrepancy and applies for reimbursement during this timeframe, they will not be able to get their money back. Sellers should familiarize themselves with Amazon’s FBA reimbursement policy to ensure they understand their FBA reimbursement eligibility.
2. Understand What You Can Gain
Research from GETIDA finds that the discrepancy rate experienced by sellers ranges from approximately 1% to 3%. This might sound small, but for an Amazon FBA seller with $1 million in sales each year this translates to $10k to $30k —amounts of cash most business owners would prefer to keep in their pockets.
Keep in mind that these numbers suggest that Amazon effectively handles your inventory 97% to 99% of the time. This is an incredible success rate and a reminder that Amazon is a formidable model of efficiency. However, this does not mean you have to tolerate any unnecessary losses as an FBA seller.
3. Identify the Discrepancies That Qualify
As you might expect, there are several stages during a product’s processing when a discrepancy might occur. A risky time for products is inbound receiving when inventory arrives at Amazon’s fulfillment center. After the product is in the warehouse, it can also be lost or damaged. Amazon also reserves the right to discard or destroy inventory when it deems necessary. In each of these situations, you could be owed money in the form of an FBA reimbursement.
Discrepancies can also show up in FBA fee overcharges, as well as shipping overcharges when a product’s weight and dimensions are incorrect. When pursuing FBA reimbursement for such overcharges, be mindful that claims must be made within only 90 days. This means it pays to be diligent in auditing your transaction records.
4. Transform Discrepancy Losses Into Cash
Did you know that your business will experience a double loss if you do not file for eligible FBA reimbursement? Your initial loss is your product, that is the price you paid to source the item. However, the second loss is the profit you could have gained by selling that item to a customer.
When Amazon provides an FBA reimbursement, the company essentially buys the product from you, replacing what you would have earned if the item sold. If you are like most sellers, the price you sell an item for includes a solid profit.
This means that claiming every possible FBA reimbursement turns losses into wins, covering the costs of the product along with the profit that the product could have created.
5. Enlist an FBA Reimbursement Audit Service
As much as you might be looking forward to receiving your FBA reimbursement, you’d probably rather skip the tedious process of auditing your account manually. Trusting that Amazon will auto-reimburse you is not the best option either. Without a comprehensive account audit, you could miss the opportunity to maximize your FBA reimbursements.
This is a great time for you to seek out an Amazon FBA reimbursement auditing service such as GETIDA. Choosing GETIDA is a wise move since you will only pay a recovery fee on FBA reimbursements after they are secured. You will not be charged unless GETIDA successfully gets your money back. This means you can relax and watch each dollar add value to your FBA business.
When choosing an FBA reimbursement auditing service, remember to consider the expertise and reputation of the company. GETIDA services are unparalleled in the industry thanks to innovative auditing software and experienced case managers. Importantly, GETIDA’s services come with no risk and no commitment.
If enlisting a specialist company seems intimidating, rest assured that it only takes 4 minutes to sign up with GETIDA. After signing up, you’ll immediately be able to view a free dashboard that will estimate how much money you could get back via FBA reimbursement. This is thanks to data analytics and state-of-the-art software. If you decide to move forward with GETIDA’s FBA reimbursement solution, all you need to do is enable GETIDA’s recovery service. From then on, you’ll be able to watch as your FBA reimbursements are maximized.
Going Forward with FBA Reimbursement
Now that you know a little more about how FBA reimbursements can work for your business, you are ready to move forward with your claims. Keep a sharp eye on deadlines, and remember the range of situations that can result in discrepancies. Finally, consider maximizing your FBA reimbursement potential by seeking the help of a specialist like GETIDA. You might have more cash waiting for you than you think!