Amazon Theft Issues

[Porky]

I find it just staggering the level of product theft at Amazon FBA. Perhaps the workers just think its some kind of bonus to slip the odd product into pockets.

Ship exactly 100 units and 97 are listed. Ship 150 units and 143 get listed. The worst I had was a pocket sized kids toy product Ship 100 units and 87 got listed.

Not every shipment but I would say my theft rate by FBA is running at about 3% on average taking everything into account.

And I can tell you for a fact the exact number are packaged and shipped. Its checked three times here before UPS collect the container.

Guess have to factor this in when using them but by goodness we really do need something better in the UK.

 

[DontAsk]

So sue them.

 

[AlanJ1]

I find it just staggering the level of product theft at Amazon FBA. Perhaps the workers just think its some kind of bonus to slip the odd product into pockets.

Ship exactly 100 units and 97 are listed. Ship 150 units and 143 get listed. The worst I had was a pocket sized kids toy product Ship 100 units and 87 got listed.

Not every shipment but I would say my theft rate by FBA is running at about 3% on average taking everything into account.

And I can tell you for a fact the exact number are packaged and shipped. Its checked three times here before UPS collect the container.

Guess have to factor this in when using them but by goodness we really do need something better in the UK.

Do you find when you dispute that you win and they find the goods?

 

[MikeJ]

Worth getting a solicitor to certify the package a couple of times, witness it being packed and being shipped? Putting that in front of Amazon when they claim a shortfall should make them take action.

 

[AmazonGeek]

Normally, missing items get picked up on the next shipment. So if you are 2 under, the next one will be 2 over. If this is not happening, then definitely film the packing process on your next shipment - show the units being counted in, show the weight of the carton on the scales and the carton being sealed up. Leave no wiggle room.

On a related topic, the biggest scandal is this...

- Amazon loses some of your items
- they pay you compensation at wholesale cost, not including any shipping costs to get them into the UK (or they may not compensate you anything if you haven't labelled them properly and they can't be connected to your account)
- they then find them again and instead of clawing back the compensation and adding them back into your inventory, they keep them
- they then sell them on Amazon on 'your' listing (since they are not allowed to make a duplicate listing under their own ts and cs)
- since they don't have to pay themselves 15% commission, they have an unfair competitive advantage and can undercut you to win the buy box

Grossly unfair of course and I am sure it will come back to bite them one day.

I hate them for this but still love Amazon as a business model. I suppose nothing is perfect!

 

[scstock]

It's not quite as bad for us with Vendor Central but we still get Shortage Claims when we know for sure items have been delivered. They even claim for a complete consignment that we have a POD from FedEx/DPD for.

They know all too well that the laborious legal process required to get redress is not worth the effort, so they keep the claims to a level where most business owners will judge it not worth their time and effort to pursue. It's systemic theft.

I'm just glad they are no longer a major customer for us. I hate them with a passion.

 

[TCH]

So sue them.

can you sue an employer over theft by an employee

it certainly could not happen until after a prosecution and conviction

even then, I am doubtful

 

[AlanJ1]

It's not quite as bad for us with Vendor Central but we still get Shortage Claims when we know for sure items have been delivered. They even claim for a complete consignment that we have a POD from FedEx/DPD for.

They know all too well that the laborious legal process required to get redress is not worth the effort, so they keep the claims to a level where most business owners will judge it not worth their time and effort to pursue. It's systemic theft.

I'm just glad they are no longer a major customer for us. I hate them with a passion.

It happens across the board unfortunatley, supplying Vendor in a previous business + all major retailers tech we had issues across them all at some stage!

 

[Pish_Pash]

I send approximately 3 or 4 x 20kg cartons go to their FC each week, containing about 120pcs per carton - about 15~25 different SKUs)

Today, since I had some spare time, I've just gone through six months worth of historic FBA shipments ...about 12 have discrepancies out of the 195 sent in...so it's not that bad (& nothing huge, just a few pieces each time - but they add up!)...all are completely implausible.

For example I send 40 pcs .....in 8 small boxes of 5pcs (they come to us in 5pcs from the factory, I've never experienced a situation in 13yrs where a box didn't contain 5pcs) ...each box with the outer barcode ripped off so Amazon have to empty/scan the contents)...Amazon claim 39pcs.

Many instances of this.

I have a database that date/timestamps everything scanned into the carton I send to their FC...so I've dug out these logs & sent them in...never disputed their deficiencies before...I'll let you know how I get on.

You think FBA is bad....my feeling is the discrepancies is waaaaay worse as a vendor (vs a seller)...and the process completely blows my mind just trying to work out what they are claiming is deficient....they raise a shortage claim, then I get a shortage claim reimbursement, then another shortage claim for the same SKU (!), then another reimbursement...it beggars beliefs what's going on...Amazon are completely out of control...I predict the fall of their empire quite quickly (certainly the retail arm)

 

[AmazonGeek]

One option is to use

I send approximately 3 or 4 x 20kg cartons go to their FC each week, containing about 120pcs per carton - about 15~25 different SKUs)

Today, since I had some spare time, I've just gone through six months worth of historic FBA shipments ...about 12 have discrepancies out of the 195 sent in...so it's not that bad (& nothing huge, just a few pieces each time - but they add up!)...all are completely implausible.

For example I send 40 pcs .....in 8 small boxes of 5pcs (they come to us in 5pcs from the factory, I've never experienced a situation in 13yrs where a box didn't contain 5pcs) ...each box with the outer barcode ripped off so Amazon have to empty/scan the contents)...Amazon claim 39pcs.

Many instances of this.

I have a database that date/timestamps everything scanned into the carton I send to their FC...so I've dug out these logs & sent them in...never disputed their deficiencies before...I'll let you know how I get on.

You think FBA is bad....my feeling is the discrepancies is waaaaay worse as a vendor (vs a seller)...and the process completely blows my mind just trying to work out what they are claiming is deficient....they raise a shortage claim, then I get a shortage claim reimbursement, then another shortage claim for the same SKU (!), then another reimbursement...it beggars beliefs what's going on...Amazon are completely out of control...I predict the fall of their empire quite quickly (certainly the retail arm)

One option is to use a service like Getida or Helium 10's 'Managed Refund Service'. They take a cut of anything they recover. Worth working out if this is a better option than managing it yourself. DM if you are interested - I probably have a code somewhere that will save money

 

[Pish_Pash]

One option is to use

One option is to use a service like Getida or Helium 10's 'Managed Refund Service'. They take a cut of anything they recover. Worth working out if this is a better option than managing it yourself. DM if you are interested - I probably have a code somewhere that will save money

it looks like I've been reimbursed, but at a woeful rate (50% of my cost price) ...gotta love Amazon, Jeff Bezos goes up in rockets...and I'm paying for his fuel.

 

[AmazonGeek]

it looks like I've been reimbursed, but at a woeful rate (50% of my cost price) ...gotta love Amazon, Jeff Bezos goes up in rockets...and I'm paying for his fuel.

You can challenge this by supplying invoices proving your manufacturing cost. They won't refund any shipping, which is a disgrace but you should be able to get the full unit cost back.

 

[Pish_Pash]

You can challenge this by supplying invoices proving your manufacturing cost. They won't refund any shipping, which is a disgrace but you should be able to get the full unit cost back.

Not keen to do that, as I also supply them as a vendor (don't want them seeing the cost price of the product)

 

[AmazonGeek]

Not keen to do that, as I also supply them as a vendor (don't want them seeing the cost price of the product)

I'm afraid you will have to swallow the loss then.
By the way, vendor accounts are being closed in the thousands as Amazon pivots away from them. Their plan is to only keep the really big accounts - just so you have this on your radar.

 

[Porky]

Well to add to it i have just had three whole boxes of product to Amazon Canada go missing. All checked in at Amazon Canada and confirmation from UPS of same. I have the proof of delivery notice.

Initially marked as delivered, sat in that state for weeks with them, next thing i know marked as discrepency and closed.

They say not delivered. Yet, product sent and delivered. I said these boxes are 17.5kg - they havent delivered fresh air. So thats circaa £8k retail value of product missing. £4k of cost to me plus shipping.

Bloody joke of a company.

 

[Porky]

oh and because they have done FA about it for weeks i have missed the entire christmas period where my product would normally sell very well.

 

[AmazonGeek]

That's horrible. I feel for you.