How can I track/monitor my return rate with respect to product quality?

If your return rate with respect to product quality exceeds three times of the category average, that particular data will be mailed to the primary email address of your seller account.

When will my account become ineligible for customer damage reimbursements?

Amazon will monitor your return rate with respect to product quality on a monthly basis. In the event of your account not meeting the eligibility criteria, we will notify you of your monthly scores via email communication. You will be given a window of three months from the first notification to evaluate your scores and take remedial actions to improve them thereby meeting the reimbursement eligibility bar.

If the return rate for a seller account exceeds three times for three consecutive months post the first notification for a category, reimbursements for future customer damage returns for that category will be clawed back until the time the return rate is back on track.

Where can I view my customer returns used to calculate return rate with respect to product quality?

You can find a list of returned FBA purchases in the FBA customer returns report.

  • Use the View Online option to view an order level summary.
  • Use the Download option to view all your returns for a specific date range.

What type of customer returns are considered to calculate my return rate on account of product quality?

SHORT_NAME(Downloadable Report)Description (View Online)
QUALITY_UNACCEPTABLEProduct performance/quality is not up to my expectations
NOT_COMPATIBLEProduct is not compatible with my existing system
MISSING_PARTSProduct is missing parts/accessories
DEFECTIVEDefective/does not work properly
NOT_AS_DESCRIBEDProduct is not as described on website
JEWELRY_BATTERYBattery is dead
JEWELRY_NO_DOCSMissing manual/warranty
JEWELRY_BAD_CLASPBroken or malfunctioning clasp
JEWELRY_LOOSE_STONEMissing or loose stone
JEWELRY_NO_CERTMissing promised certification
JEWELRY_TARNISHEDTarnished
PART_NOT_COMPATIBLEPart not compatible with existing system
EXCESSIVE_INSTALLATIONExcessive Installation

What happens when inventory is lost (by an Amazon partnered carrier in the fulfilment centre during provision of storage services by Amazon, or during delivery to your customer)?

In such cases, Amazon shall either:

  • Replace the item(s) with one with the same FNSKU, or
  • Pay you the evaluated fair market value of the lost inventory, subtract any applicable FBA and Selling on Amazon fees.

What happens when inventory is damaged (damaged by an Amazon partnered carrier in the fulfilment centre during provision of storage services by Amazon, during delivery to your customer or damaged by customer)?

In such cases, Amazon shall pay you the evaluated fair market value of your damaged inventory, subtract any applicable FBA and Selling on Amazon fees and residual value of the damaged product (subject to applicable grading standards utilized by Amazon).

How do I find the residual value of my category?

To know the residual value against each category, click here.

How is the effective reimbursement value calculated?

*Effective reimbursement value = (Effective Reimbursement rate) x [(Fair Market Value of unit) - (Amazon SOA and FBA Fees)].

Effective Reimbursement rate is available in residual value table for damaged products.

How is the Fair Market Value Estimated?

We consider several factors when determining an item's fair market value, including your sales history, the average FBA selling price on Amazon, the applicable Amazon grading standards, the sales history of the specific ASIN and the applicable rate of taxes etc. If we don’t have enough information to calculate the reimbursement amount for an item, we will assign a value to your inventory based on similar items.

Note:
  • For individual items with fair market value greater than INR 25,000.00 or INR 100,000.00 (as the case may be) or in general we recommend the sellers to consider third-party insurance.
  • While determining the fair market value, the product tax applied on an order is excluded.

Where can I view my reimbursements?

Reimbursements processed are available in Reports >Fulfilment by Amazon>Payments>Reimbursements.