Amazon has introduced two new Fulfilment by Amazon (FBA) programmes designed to make it easier for businesses selling on Amazon to resell customer-returned items or overstock inventory while also giving more products a second life. These programmes are part of Amazon’s commitment to both sellers and sustainability.
“Customer returns are a fact of life for all retailers, and what to do with those products is an industry-wide challenge,” said Libby Johnson McKee, director, Amazon WW Returns, ReCommerce and Sustainability. “These new programmes are examples of the steps we’re taking to ensure that products sold on Amazon—whether by us or our small business partners—go to good use and don’t become waste. Along with existing programmes like FBA Donations, we hope these help build a circular economy and reduce our impact on the planet. And we’re excited that these programmes will also help the businesses selling on Amazon reduce costs and grow their businesses—it’s a win for our partners, customers, and communities.”
Selling partners who want to resell returned items can take advantage of “FBA Grade and Resell,” which is now available in the UK, and will be available in the U.S. by end of year, and in Germany, France, Italy and Spain by early 2022. This programme gives third party selling partners the option to sell returned products on Amazon as “used” items instead of having them sent back to them or donated.
When an item is returned, sellers can choose to automatically route it to this new programme. Amazon will then evaluate the item and assign it one of four standard conditions: Used - Like New, Used - Very Good, Used - Good, and Used - Acceptable. Sellers then set the price for items based on the condition and manage pricing, advertising, and sales using their existing processes, just as they do for their new items.
“FBA Liquidations” gives sellers the option to use the company’s wholesale resale channel and technology to provide sellers with a way to recover a portion of their inventory cost from their returned or overstock inventory. The programme is live in the U.S., Germany, France, Italy and Spain, and is set to go live in the UK in August. Previously a seller would either need to have returned or overstock inventory sent back to them or let Amazon take care of this product through its FBA Donations programme. Now businesses selling on Amazon have a new hassle-free way to recover value on these items by reselling these items through Amazon’s bulk resale partners.
In 2019 we launched the Fulfilment by Amazon (FBA) Donations programme to help bring even more items to those in need. FBA Donations is an easy, automatic way for sellers using FBA to donate their overstock or returned items. The entire FBA Donations process is “hands off” for sellers — from coordination to delivery — because we use our supply chain and operational expertise so that the right items get to the right charity partners to help more people to benefit, and give more products a second life.
Since its launch, FBA Donations has provided more than 70 million products from sellers using FBA to charitable organisations around the world, partnering with many charitable organisations in the UK including Age UK, Barnardo’s, the British Heart Foundation, and Cancer Research. Some of these donated items have included household appliances, tools, school supplies, children’s items, clothing, and more, helping people impacted by COVID-19.
Amazon is also committed to minimising waste and helping our customers to reuse, repair, and recycle their used products, as well as reducing packaging waste and using less packaging material. We provide a range of options through the Amazon Second Chance website, and customers can recycle electronics through pre-paid postal return and home collection services on our Amazon Recycling website.
These programmes are just several of the many sustainability initiatives across Amazon, including The Climate Pledge, the company’s commitment to net zero carbon by 2040 and 100% renewable energy by 2025.
Sellers interested in participating in this program or want to take advantage of shipping, storage, removals, and returns with Fulfilment by Amazon, can visit Amazon Seller Central.