Are you an Amazon FBA seller struggling with unfulfillable items? If so, you’re not alone. Unfulfillable items on FBA are a topic that many sellers face at some point in their business journey. These are items that cannot be fulfilled due to various reasons such as damage, expiration, or missing components. They can be a real headache for sellers, wasting time, money, and space. But don’t worry, there’s a solution! In this blog post, we’ll dive deep into the world of unfulfillable items on FBA and discuss how to create a removal order for unfulfillable items. So sit tight, and let’s get rid of those pesky unfulfillable items for good!
Managing FBA Unfulfillable Inventories
As an FBA seller, we face some issues. One of them is FBA Unfulfillable inventories. When FBA inventory is not in sellable condition, its status changes to Unfulfillable and is set aside. Unfulfillable inventories are the units of an FBA item. The customer and FBA warehouse or defective products could damage these units. So Amazon will mark this type of unit as Unfulfillable inventories. These inventories will consume our FBA storage too. In this world, there is no way to prevent sellers from unfulfillable inventories. So Amazon offers the below cure for sellers’ FBA unfulfillable inventories. So the cure for unfulfillable units is FBA removal orders. We can create removal orders for our unfulfillable units. So there are 3 methods of removal orders, they are.
✅ Liquidation
✅ Return to Address
✅ Dispose of
Fulfilling Unfulfillable Items Through Liquidation
FBA Liquidations is designed to help sellers. Using FBA Liquidations. Sellers will recover value from excess and customer-returned inventory, avoid storage fees, and prevent inventory disposal. So, liquidators will purchase this inventory for a gross recovery value of about 5% to 10% of its ASP. Amazon will then deduct fees and pay you the net recovery value. Amazon determines the average selling price (ASP) of your inventory by evaluating several factors, including
✅ Sales History
✅ Average FBA selling price
✅ Sales history of the specific ASIN
Amazon will apply two separate fees to each item you liquidate which are based on as follows.
✅ Fee-based on per-item size and weight
✅ 15% Referral fee calculated on the gross recovery value
For unfulfillable inventories, Customer Damaged, Carrier Damaged, or Distributor Damaged items are eligible for liquidation. Items with a reason of Expired, Defective, and Warehouse Damaged are not eligible for liquidation.
So, now you can calculate your Liquidations amount and decide before creating your next removal order.
Fulfilling Unfulfillable Items Through Return to Address
Return-to-Address is a simple and common Removal Order process. Here Seller can send the unfulfilled units from the FBA warehouse. Items will be shipped to your provided address, not to mention Amazon will charge you for this feature.
Fulfilling Unfulfillable Items Through Dispose
Dispose of is the process where inventory gets disposed of. Amazon also charges to dispose of your units. When you request disposal of eligible FBA unfulfillable inventory in fulfillment centers, Amazon makes it possible for you to automatically donate your unwanted inventory to selected charities. Note that you are enrolled in the FBA Donations program by default. You can update your enrollment status in the FBA Donations program settings.
Creating Removal Orders for Unfulfillable Items
So far, we have gone through all the methods that can be used for fulfilling unfulfillable items on Amazon. Now let’s see how you can do it on your own and remove all the hassles that are hampering your business. Here is a step-by-step process that will greatly help you manage your business smoothly.
Automating Removal Order
First, go to the inventory dashboard page. From this page, click on Remove Unfulfillable Inventory. On the Remove Unfulfillable Inventory page, you will find the Auto Removal Settings.
Now you can automate removal orders for your unfulfillable items. So click on it, enable the option, fill up the other required boxes, and click update. So click on it, enable the option, fill up the other required boxes, and click update.
If you don’t create a removal order for your unsellable inventory within 14 days after Amazon notifies you of its required removal, it’s likely to be automatically disposed of, So go back to the Remove Unfulfillable Inventory page, and you can see the SKUs and its unfulfillable items one by one.
Removal Orders for Any Type of Unfulfillable Items on Amazon FBA
To create removal orders for any items, you must click on Create removal orders for any items. You will be directed to the Create Removal Orders page. As previously stated, let’s select a removal method. You can also add the return-to address by clicking on the change here. In the last box, we can set the removal order ID, unless Amazon will auto-generate the removal order ID.
Here on the Unfulfillable quantity for Removal box, we need to fill up the amounts we want to remove. Then click “Review.” A new pop-up will show us the details of this removal order. If everything seems okay, click Confirm. By clicking “Confirm,” we are accepting the terms and conditions. Once you click “Confirm,” we cannot cancel our removal order.
Conclusion
So, creating an unfulfillable item removal order is made simple by doing it in this manner. However, on occasion, a seller’s inventory can have been misplaced, or destroyed, or some merchandise might not have been credited to their account. These mistakes were made by older merchants. The answer is provided here. You can request a refund from Amazon if you experience this kind of problem.
In the entire post, we have gone through the notion of Amazon FBA unfulfillable items and how we can remove them. If you need any assistance on this, please feel free to mail us at info@ecomclips.com.
If you’re a new seller on Amazon FBA, you can go through our whole Amazon FBA series here, where we explained a-z what an FBA seller must do.
