Many warehouses are overwhelmed! Sellers are blocked for claiming lost FBA items?

As the October Amazon Prime promotion is approaching, sellers are facing logistics problems. A series of recent news about Amazon warehouse explosions has poured cold water on sellers who are preparing to make a big splash.

At the same time, the phenomenon of lost goods in FBA has become increasingly serious and frequent this year, and the problem of lost goods has once again become a hot topic for complaints! After the goods are lost, the attitude of difficulty in claiming compensation also makes sellers annoyed...

Amazon's multiple warehouses are overloaded again. It is understood that Amazon's two new warehouses, ABQ2 and PSC2, are overloaded, with the former canceling contracts for large films and the latter refusing to accept them.

Except for UPS and FedEx trucks, no other vehicles are allowed to unload goods at the two warehouses. Currently, all delivery appointments have been canceled or postponed by Amazon. From Sunday, all direct delivery cabinets began to be rejected, whether they were loose boxes or pallets, and all appointments were in PENDING status.

In addition to these two new warehouses, Amazon’s other warehouses have also experienced varying degrees of overstocking, including: IUSP, MCO2, SBD2, LAS1, XLX7, FWA4, MDW2, TEB9, GYR2/3, CLT2, SCK4, RFD2, ABE8, OKC2 have all experienced varying degrees of overstocking, and most appointments will be at least three weeks later or will not be approved.

Not only are warehouses overflowing, but some sellers have also said that their goods have been particularly slow to be put on the shelves since September.

The seller said that the goods were sent to ABEB, FWA4, and FTW1 warehouses, and it has been half a month, and the goods are still waiting. In addition, both card delivery and express delivery are very slow, and they have not been put on the shelves for more than a month! Another freight forwarder said that the Los Angeles port may be congested recently, and drivers need to wait in line for a long time to pick up the goods.

To be fair, warehouse overflows can cause a lot of problems for e-commerce sellers. Faced with this situation, many freight forwarders have begun to suggest that customers pick up the goods themselves, or consider transferring warehouses to seek solutions!

In fact, in addition to warehouse overflows, sellers have recently encountered another major problem, that is, lost goods! Since this year, the problem of FBA goods lost has been like a roller coaster, with the frequency increasing!

More than one Amazon seller said that goods have been lost many times this year!

One seller on the US site said that during the ten years he had been using Amazon FBA, there were basically no major problems, and Amazon's FBA service was considered to be in place; but in a recent batch of shipments sent to FBA, 10% were lost, which is equivalent to an entire box of goods being lost.

Another seller suffered even more severe losses, with the cargo loss rate reaching an astonishing 50% !

The seller said that he had recently sent out two boxes of goods, each containing 100 items, of which 98 items were missing from one box and 88 items from the other. After multiple reports, 88 items were found, but the remaining 98 items were still missing . This loss ratio was considered a sensation in the entire cross-border circle. As a new seller, he did not know that he needed to obtain an invoice from the manufacturer before shipping, and now he has no way to start arguing with the platform.

The above situation is not an isolated case. Although other sellers do not have such an outrageous loss rate, based on the data feedback from sellers , the loss rate is basically between 5% and 10% , which is also a considerable loss.

The silver lining of this unfortunate situation is that after a few months, some of the disappeared goods may suddenly reappear in inventory. Unfortunately, even if the products have been recovered, it cannot make up for the losses caused by previous out-of-stock situations - the weight is reduced, sales decline, and it will cost more to push up the ranking after the goods are recovered. For seasonal products, the blow will only be greater!

And now it is becoming more and more difficult to claim compensation for lost items, and some sellers may even be banned.

A seller reported that he filed a claim with Amazon for lost goods and initially successfully received compensation, but a month later, Amazon suddenly notified him that the lost goods had been found. After confirmation by the seller , the found products were not their own products! The platform directly determined that the seller had violated the compensation policy and immediately blocked his account...

This is really outrageous.

Although Amazon stated that the automatic compensation policy will take effect from November 1, firstly, the policy will not start until after the peak season, and secondly, the compensation cannot make up for the out-of-stock and sales losses caused by the loss of goods.

This means that in the future, sellers will no longer need to submit various invoices, POs and other documents when applying for claims, and the sellers will automatically make claims.

However, sellers should not trust Amazon’s system too much. They still need to be prepared. If Amazon does not automatically compensate, sellers still need to manually submit information to file a complaint.

In short, with the peak season coming together, it is completely predictable that FBA goods will be seriously lost in the near future. Sellers should be prepared, and please take the above cases as a warning!