Amazon’s New FBA Returnless Resolutions Program: What You Need to Know
Amazon has just launched its latest feature in the US – FBA Returnless Resolutions. This programme aims to simplify the returns process by allowing customers to receive a full refund without needing to return the product. But what does this mean for sellers? Let's break it down.
What are the Benefits?
Reduced Costs: Sellers can cut down on fees linked to return processing.
Convenience for Customers: Buyers no longer need to deal with the hassle of returning items.
Simplified Management: No more handling of physical returns, making the process smoother for all parties.
How Does It Work?
FBA Returnless Resolutions is an optional programme, and you, as the seller, retain full control. You can choose which items to enrol or unenrol at any time, offering a flexible way to streamline your returns process. Once enrolled, customers get their refund and keep the item, meaning fewer fees for you tied to returns, processing, storage, and removals.
Not all items are eligible. Products like dangerous goods, bulky items, and those priced over $75 don't qualify, and all enrolments are subject to safety and legal guidelines.
Amazon assures sellers that fraud monitoring is in place to prevent misuse of the programme, and only eligible transactions will be approved under Returnless Resolutions.
Why Should Sellers Consider It?
This programme can be particularly useful for:
International sellers, where the cost of returns can be prohibitively expensive.
Low-cost items, where the return process might cost more than the item itself.
However, it’s crucial to analyse your product catalogue carefully. Enrolling the wrong products could impact your bottom line, so make sure only to sign up items where the financial benefits make sense.
What Sellers Need to Do
To get the most out of Returnless Resolutions, you need to:
Evaluate Profitability: Be sure to factor in fees and potential savings within your profitability and forecasting models.
Be Strategic: Consider carefully which items to enrol to maximise benefits while staying eligible for the programme.
Many of our clients at Tambo are using the Tambo Compass Profit Pulse 360 dashboards. This tool gives brands a clear view of their margins, from account level down to specific product ranges or ASINs, helping them make smarter decisions about Returnless Resolutions participation.
Key Takeaways
Sellers should carefully review their product portfolio and assess profitability before enrolling in the FBA Returnless Resolutions programme. Strategic participation can lead to reduced costs and streamlined operations, but careful planning is essential to ensure the programme is beneficial for your business.
