Did you know another term for partial reimbursement for a return that doesn’t qualify for a complete refund is known as “Amazon Restocking Fees”? Depending on the state of the product and the specifics of the return, you can charge clients this cost (i.e., deduct it from the refund you give).

Since many of Amazon’s policies are designed to ensure that customers have a positive shopping experience, its return policy generally works in the buyer’s favor. However, Amazon is aware that sometimes merchants should avoid the expense of a return. Restocking costs refer to it and, in certain circumstances, allow you to keep more of the sale price.

 

How much is the Amazon Restocking Fee?

The Amazon restocking charge is determined based on the item’s original price rather than having a set dollar amount. The kind of item and how it was returned will also affect the restocking fee you might charge a customer. Most of the time, as long as they follow Amazon’s rules, sellers are eligible for a restocking charge of up to 50%.

 

When can you charge Amazon Restocking Fees?

The Amazon Restocking charge doesn’t always apply. In Amazon’s opinion, there are a few circumstances that make it acceptable for you to impose a restocking fee on a customer. These situations include:

  • When a consumer decides not to keep an item after placing a purchase and returns it within the authorized 30-day return period, the thing is still in excellent condition. For a late return of items in perfect condition, you may deduct up to 20% as a restocking fee.
  • When a buyer decides against purchasing an item and returns it within the allowed return window, you may notice evidence of use or damage. You are entitled to charge up to 50% of the item’s original price.
  • Even though it’s uncommon, you can impose a 100% restocking fee when a customer orders video games and software, changes their mind later but opens the package before requesting a partial refund. Most of the time, returns are made by customers for reasons other than flaws.

 

When you can’t enforce a restocking fee on Amazon

You now understand when a consumer returns an item for which you are eligible for a restocking charge. However, the following circumstances preclude the imposition of a restocking fee:

  • If a consumer changes their mind after making a purchase and returns the item within the return window in its original condition, you cannot charge an Amazon restocking fee.
  • If a consumer returns an item because it was flawed or damaged in transit, you cannot impose a restocking fee. Only the shipping firm will accept claims from you.
  • If the customer receives a different product than requested, you are not eligible for a restocking charge. As an illustration, a consumer who requested a blue item received a red one.

 

How do I calculate the restocking cost for Amazon?

Before subtracting the cost from the refund amount, it is best to consider the corresponding fee and the cause of the return. Within two days of getting a return notification, you must complete this.

 

How to charge a restocking fee on Amazon?

To charge your clients a restocking fee, follow these steps:

To find the order, you want to refund, navigate to Seller Central’s “Orders” tab and click “Manage Orders.”

In the Action column, select the “Refund” order. Then, like the “Order ID” link on the Order Details page to cancel an order.

  • To request a refund, click the Refund option.
  • The amount should be entered in the “Amount to refund” section after choosing the return reason.
  • You may write a note to the buyer right here.
  • To process returns or provide refunds, click the Submit button.

 

The buyer’s return request will be closed by submitting a refund request. Give the data up to 15 minutes to update. Then, if you’d like, you can contact the buyer through the Orders option. The buyer also has the choice to submit a new request for the unpaid balance.

 

How does Amazon handle complaints about restocking fees?

Amazon allows you to swiftly break the deadlock if you and a customer are at odds about restocking fees. You should contact Amazon’s customer care to explain your predicament, and the staff will get to work to assist you in handling it in the most professional way possible.

As a vendor, you will store the pertinent papers or documents for the team to review. The review panel typically makes decisions that will, in the end, please both the buyer and the seller. The review team’s task may not be finished for several days or weeks.

 

Conclusion

Amazon’s return policy intends to shield sellers from unauthorized returns. But if a customer returns a product without a good reason, these restocking fees partially offset the costs incurred.

You may impose a restocking fee ranging from 20% to 100%, depending on the condition of the returned inventory. However, keep in mind, achieving 100% is uncommon.

Therefore, while you look forward to growing your Amazon business, be bold enough to withhold some of the refunds if you receive a damaged return from customers after deducting the restocking charge using the inventory’s original pricing. As the Amazon return policy mentions, you are permitted to keep a portion of the money.

 

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