FBA Returns and Reimbursements


Overview

Amazon provides reports on items that have been returned to FBA by the customer. The report details the quantity returned and the disposition of the item. Amazon also provides a report for reimbursements that detail the quantity reimbursed, the amount reimbursed, and the reason for the reimbursement.

Payment and commission refunds and other fees are applied separately to the order based on the Amazon Settlement Report. Likewise, the actual quantity in your FBA warehouse is set separately based on the FBA Inventory Report.

Note that Amazon will reimburse your account when an item is returned with a disposition in which Amazon takes responsibility. Learn more about them in the table below.


Open FBA Reports

To open an FBA Return Report or FBA Reimbursements Report:

  1. Go to Settings > Companies > Manage Companies > Open a company.
  2. From the Toolbox, go to Channels > Amazon Settings > Reports.
  3. A new page will open. From the Reports field, select either:
    1. FBA Returns Report
    2. FBA Reimbursements Report
  4. Click Search.
  5. The grid will populate with the chosen reports. To open a report, click on its ReportID.The image shows the FBA Reports options.

FBA Returns and Reimbursements Dispositions

The possible dispositions and their explanations (from Amazon docs) are explained in the table below (read more here). Note that the disposition and the return quantity will display in the order notes.

 SELLABLE  The unit was returned to stock and is available for purchase.
 DAMAGED Amazon takes responsibility for the damage and compensates you based on its FBA Lost and Damaged Inventory Reimbursement Policy. Ownership is transferred to Amazon.
CUSTOMER DAMAGED The unit was returned to stock as unsellable. This does not necessarily mean that the item itself is damaged (for example, external packaging may have been opened), but it cannot be sold again in this condition. When this happens the customer is refunded, but the unit stays in your inventory as unsellable. You may request to have the unit returned to you.
 DEFECTIVE The unit is returned to stock as unsellable. The unit is either obviously damaged or the customer has stated that it is faulty. The customer is refunded, but the unit stays in your inventory as unsellable. You may request to have the unit returned to you. (Learn more here about creating Removal Orders.)
 CARRIER DAMAGED Amazon takes responsibility for the damage. Ownership is transferred to Amazon. Amazon compensates you based on its FBA Lost and Damaged Inventory Reimbursement Policy.
 EXPIRED Units that are within 50 days of the expiration date may be set aside as unsellable and eventually removed for disposal by Amazon. Units that have been disposed of will not be available for return. You may request to have expired units returned to you if they have not yet been discarded.

How Does Sellercloud Apply the Return and Reimbursement Data to the FBA Order?

Sellercloud pulls FBA Return and Reimbursement reports and applies data to orders in the following manner:

  • If the Return Disposition is SELLABLE, the item cost is zeroed out on orders as soon as the Return Report is retrieved.
  • If the Return Disposition is DAMAGED/CARRIER DAMAGED the item cost is adjusted on orders based on the reimbursement amount in the Reimbursement Report.
  • If the Disposition is CUSTOMER DAMAGED/DEFECTIVE/EXPIRED, the item cost remains as is.

Amazon Returns

Amazon provides reports on items that have been returned to FBA by the customer. The report details the quantity returned and the disposition of the item.

The actual report is stored under Amazon Settings > Reports > select FBA Returns.
The possible dispositions and their explanations (from Amazon docs) are explained in the table below. Read more here.

 SELLABLE  The Unit was returned to stock and is available for purchase.
 DAMAGED  Amazon takes responsibility for the damage. Ownership transferred to Amazon. Amazon compensates you based on the FBA Lost and Damaged Inventory  Reimbursement Policy.
 CUSTOMER DAMAGED  The Unit was returned to stock as “unsellable.” This does not necessarily mean that the item itself is damaged (for example, external packaging may have been opened),  but it cannot be sold again in this condition. When this happens the customer is refunded, but the Unit stays in your inventory as “unsellable.” You may request to have the  Unit returned to you.
 DEFECTIVE  The Unit was returned to stock as “unsellable.” The Unit is either obviously damaged or the customer stated that it is faulty. The customer is refunded, but the Unit stays in  your inventory as “unsellable.” You may request to have the unit returned to you.  Learn more on creating Removal Orders
 CARRIER DAMAGED  Amazon takes responsibility for the damage. Ownership transferred to Amazon. Amazon compensates you based on the FBA Lost and Damaged Inventory  Reimbursement Policy.
 EXPIRED  Units that are within 50 days of the expiration date may be set aside as Unsellable and eventually removed for disposal by Amazon. Units that have been disposed will not  be available for return. You may request to have expired Units returned to you if they have not been disposed of.

Amazon Reimbursements

Amazon will reimburse your account when an item is returned with a disposition in which Amazon takes responsibility. Amazon provides a report for reimbursements that detail the qty reimbursed, the amount reimbursed, and the reason for the reimbursement.
The actual report is stored under Amazon Settings > Reports > select FBA Reimbursements.

How does SellerCloud apply the Return and Reimbursement data to the FBA order?

SellerCloud pulls the FBA Return and Reimbursement reports and applies the data to the order in the following manner:

  • If the Return Disposition is SELLABLE the item cost is zeroed out on the orders P&L tab as soon as the Return Report is retrieved.
  • If the Disposition is DAMAGED/CARRIER DAMAGED the item cost is adjusted on the orders P&L tab based on the reimbursement amount in the Reimbursement Report.
  • If the Disposition is CUSTOMER DAMAGED/DEFECTIVE/EXPIRED the item cost remains as is.

The disposition and return qty display in the order notes. If the disposition is sellable the Qty Returned field will update on the order.

Please Note: This report only deals with the qty returned and item cost. Payment and commission refunds and other fees are applied separately to the order based on the Amazon Settlement Report. Likewise, the actual qty in your FBA warehouse is set separately based on the FBA Inventory report.

Was this article helpful?

Related Articles