Amazon frequently reports a discrepancy between the expected number of units and the actual quantity obtained when they receive shipments into their FBA network. But in many cases those units aren’t missing from sellers’ shipments. They are actually lost under Amazon’s responsibility, during transport to and between warehouses, or during the receiving and storage process.
Tinuiti can now dispute these claims and get compensation for our clients’ lost units. Want to know more? Let’s dive in!
What Is an FBA Shortage Claim on Amazon?
Shortage claims on Amazon refer to situations where Amazon states that there is a shortage of units in the inventory received from the seller. In other words, Amazon alleges that the number of units received falls short of what was originally expected. This can happen for various reasons, such as discrepancies in the actual shipment quantities, units being lost or damaged during transit or while in Amazon’s possession, or errors in the receiving and counting process.
When Amazon identifies a shortage, they automatically adjust the applicable sellable inventory levels within the seller’s account. This can mean sellers are losing out on the cost of those units they correctly shipped. Sellers may need to provide evidence or documentation to dispute the shortage claims and seek resolution.
It’s important for sellers to closely monitor their inventory, maintain accurate records, and promptly address any discrepancies to ensure a fair relationship with Amazon and avoid financial impacts resulting from shortage claims. Amazon only allows shortages to be disputed for a limited amount of time!
What Is the FBA Shortage Dispute Program?
At Tinuiti, the goal of our program is to dispute and recover the highest possible percentage of shortages for our clients, while managing every step of the process. More than 90% of the shortages we’ve handled, involving thousands of disputes, and hundreds of thousands of units, have resulted in successful recovery.
How Does the FBA Shortage Dispute Program Work?
Step 1: All claims that are eligible to dispute are identified.
Step 2: Supporting documents are generated and dispute cases are opened.
Step 3: Cases are monitored and recovery values are reported back to you.
Step 4: Any new shortage claims and all previously denied disputes are processed monthly.
How Is the Total Value Recovered Determined?
In simple terms, the amount of money we recover depends on the average selling price of the units we manage to recover. That recovery is either in the form of financial reimbursement, or as lost units being found and reallocated to inventory as a direct result of the dispute. The more units we recover, the higher the value we can get back for our clients.
Additional Program Benefits Include:
Reduce Out of Stocks:
- Reallocation of found inventory keeps inventory available for shoppers.
- Stop losing search placement as a result of Amazon losing product.
Gain More Reviews:
- More units making it to Amazon shoppers means more reviews for the same shipped units.
- Don’t let Amazon hinder your product review growth.
Reduce Operational Cost:
- Reallocation of found inventory means fewer units need to be shipped to Amazon for the same sales.
- Reduce strain on your outbound shipments as a result of Amazon losing product.
Want to learn more about the FBA Shortage Dispute Program? Contact our Amazon experts today!