Today, I'm going to share with you the secrets to successfully managing chargeback disputes on Amazon Vendor Central. Together we'll explore how to avoid chargebacks and maintain a healthy relationship with Amazon.
1. Understand Amazon's Refund Policies:
First and foremost, take the time to familiarize yourself with Amazon's Refund Dispute Guide. Knowing the specific reasons for disputes and the corresponding codes is essential.
Here are the different types of Amazon chargebacks:
- ASN related (Non-compliance with advance shipment notification)
- Prep-Related (missing or incorrect preparation)
- Delivery (Failure to deliver the purchase order)
- Receive (Problem during the receive process - No box information provided in the APE)
- Packaging (Non-compliance with packaging policies)
- Direct Fulfilment (e.g. when you cancel an order)
- PO-related (Non-conformity of purchase order)
2. Watch for Dispute Notifications:
Stay alert for dispute notifications from Amazon. Check your Vendor Central account regularly to review the details provided by Amazon.
3. Keep Accurate Records:
Keep meticulous records of all your transactions, including invoices, shipping documents and all communication with Amazon. Well-organized records will help you respond to dispute claims efficiently.
4. Investigate Litigation Claims:
When you receive a notice of dispute, conduct a thorough investigation to determine its validity. If you believe the dispute is incorrect, gather evidence to support your argument.
5. Answer Quickly:
Amazon imposes specific deadlines for responding to disputes. Be sure to respond promptly within the time limit to contest invalid disputes.
Here's how to contest Amazon chargebacks
- Dispute: You can submit a dispute with supporting evidence
- Deadline: You may submit your objection up to 30 days after the date of notification of this chargeback.
- Notice: Amazon will analyze your dispute request and your chargeback may or may not be accepted by Amazon.
- In the event of rejection: You will then have a further 30 days in which to lodge a second objection. After the second challenge, your application will be considered closed.
- Proof: It's important to always provide the necessary proof in order to
6. Contact Amazon :
If you believe a dispute is unjustified, engage in a professional dialogue with Amazon Vendor Support to resolve the issue. Open communication can sometimes lead to a resolution without escalation.
7. Go to First Causes :
Analyze the reasons for recurring disputes and address their root causes. This may involve improving processes, improving communication with Amazon or strengthening internal quality controls.
8. Invoice accuracy :
Make sure your invoices are accurate, precisely match the details on your purchase orders and comply with Amazon's invoicing requirements.
9. Timely shipping :
Send orders to Amazon on time and adhere to the agreed delivery schedule. Late shipments may result in compliance disputes.
10. Compliance with Amazon Requirements:
Comply with Amazon's packaging, labeling and shipping requirements. Failure to do so may result in litigation.
11. Collaborate with Amazon:
Consider working with Amazon to improve dispute management. Work together to identify problems and find solutions. (Example if you have an account manager on the Amazon Retail team)
12. Track Performance Indicators :
Monitor litigation-related performance indicators and identify trends or patterns. Use this information to continuously improve your operations.
13. Automate processes :
Consider automating order management, billing and shipping processes to reduce the risk of human error.
14. Continuous improvement :
Set up a continuous improvement process to avoid disputes and deal quickly with any problems that arise in your Supply/Logistics teams.
For many companies, managing chargebacks is a headache and can represent several thousand dollars in additional costs to be paid each month to Amazon (impacting profit margins). It's therefore important to know how to solve the various problems associated with operational chargebacks on your Amazon Vendor Central account.
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