Recent changes to the policy for sellers who Self Ship on Amazon
04/25/2021 | The full text is 4,610 characters and takes about 10 minutes
Contents
1/ Summary of Recent Seller-fulfilled Updates
2/ Self Ship actions and steps
- Shipping template settings
- Shipping process
- Customer service and returns
3/ Important Seller-fulfilled performance metric reminders
We believe many self-fulfilled sellers have already noticed that Amazon has adjusted some operational details, such as delivery time settings and shipping processes. In addition to improving the order shopping experience, these adjustments can also help increase sales of seller-fulfilled products and positive buyer feedback, ultimately benefiting seller-fulfilled sellers!
We’ve put together the key points below for you, and we hope this helps you better learn about and understand the details of these changes~
Summary of Recent Merchant Fulfilled Network Adjustments
▲New self-fulfilled shipment confirmation policy: After handing the product over to the carrier, self-fulfilled sellers need to complete the "Confirm Shipment" action in Seller Central.
▲Amazon US Marketplace return and refund policy update: Effective May 25, 2021, if you ship order items valued at less than $25 from outside the US to sellers in the US, you must provide a valid US return address.
▲Valid tracking rate requirements for the Amazon US/UAE/Saudi Arabia/Japan Marketplace: If you cannot maintain a valid tracking rate above 95%, your ability to sell Seller-fulfilled products in the relevant categories may be suspended.
*Details of the above policies will be explained in the specific steps in this article
Self Ship operations and steps
You’ve probably run into the headache of excess inventory caused by seasonal or personalized products, the difficulty of not knowing what shipping support to choose for items that are too large or too small, and the challenge of having products with unstable sales that you don’t want to turn into a large amount of unsold inventory.
Merchant Fulfilled Network (MFN/FBM) can, to some extent, help sellers solve some of these challenges. Let’s first look at some of the common scenarios where sellers choose Self Ship:
▲ You have a large selection of products and want to manage inventory flexibly
▲ Your products are seasonal, personalized, or customized
▲ Your products are light and small products, hoping to control logistics and warehousing costs
▲ Your product is an extra-large, heavy item that exceeds Fulfillment by Amazon (FBA) size and weight limits, so it can’t be fulfilled using FBA
🚩Please note: Using Amazon “Buy Shipping” will automatically generate an order number and upload tracking, making the process easier.
So how does Merchant Fulfilled Network work?Next, let’s look at how to set the shipping time and shipping fee template for Self Ship!
01 Key points: set delivery time and shipping fee templates
Using Amazon’s formula for calculating total delivery time, setting accurate delivery times for products helps ensure a good customer experience and increase sales. Most buyers prefer to buy products with faster delivery speeds, and the right delivery times can also help you achieve better store performance.
Total delivery time = handling time (that is, lead time to ship) + transit time (that is, delivery time) + any holidays
🚩Please note: Amazon calculates handling time and transit time based on the number of business days, and you need to set processing time and transit time in Seller Central!
⏰ Set handling time
Handling time, or your lead time. If you do not enter a value in the “Handling time” field, the system will automatically use the default handling time setting. You can modify the handling time yourself to give yourself enough time to prepare your order. Click “Inventory > Manage Inventory > Edit > Handling Time,” and enter the appropriate number of handling days (whole number).
Please click the link to change the lead time.
⏰ Set shipping time
Navigate to “Settings > Shipping Settings > General Shipping Settings” in Seller Central to view the current default shipping address and default lead time.
Set shipping address:
Go to “Shipping Settings” to edit “General shipping settings” and “Shipping Templates”.
Set up a shipping template:
Shipping templates help you manage shipping settings for multiple products at the same time (such as default service levels, delivery regions, transit times, and shipping costs). You can create up to 20 shipping templates for specific groups of SKUs. Before creating a template, please make sure you understand the minimum requirements for shipping templates and confirm that your default shipping address is accurate. Amazon shipping costs are calculated using two models: quantity/weight-based shipping and price-banded shipping. On the "Create New Shipping Template" page, select the shipping fee calculation model you need, and enter the appropriate amount under "Shipping charges" for the shipping service level you selected.
Select the appropriate time option in the “Transit Time” drop-down menu to ensure that customers receive the item within the estimated delivery time.
Please click the following link to view:
Minimum requirements for shipping templates
Quantity-/weight-based shipping
price-banded shipping
02 Shipping process:
Step 1: contact the carrier
Contact the shipping company (carrier), agree on the pickup time and location, pack your products, and wait for the carrier to pick them up.
🚩Please note: You can choose to ship the goods directly to the buyer’s address, or you can first send the products to a third-party overseas warehouse. When a buyer places an order, the overseas warehouse can ship it directly, which can also shorten delivery time.
Step 2: confirm shipmentNEW!
After handing the product over to the logistics carrier, you need to confirm shipment in Seller Central by completing the “Confirm Shipment” step. Click “Manage Orders>Unshipped Orders>Confirm Shipment”.
🚩Please note, according to the 2021 new policy for confirming shipment for self-fulfilled orders:
Seller-fulfilled sellers are required to provide the carrier name (that is, the carrier-code field) when confirming shipment through bulk data upload, API, or ERP service providers. Amazon will verify all tracking details for self-fulfilled orders (including the carrier name and tracking number) and display a warning for invalid tracking details.
Seller-fulfilled sellers must provide the ship date, carrier, shipping service/method, tracking number, and ship-from address when confirming shipment. For example, you are using China Post as your carrier and you are using its e-EMS service. Please select “China Post” from the “Carrier” drop-down menu, select “China Post e-EMS” from the “Delivery Service” drop-down menu, and provide the correct Tracking ID.
▲ When you select “Other/other” in the carrier drop-down menu, the order will not be counted in the Valid Tracking Rate (VTR) calculation, which may affect your store performance.
Please click the link to go to the Seller Central Help page and review VTR-related policies.
Amazon continuously evaluates fulfillment center capacity and regularly updates this limit. We recommend that you regularly go to Seller Central Inventory Performance or the Shipments Processing Progress page and check the Replenishment Limit Monitor for the latest updates.
03 Customer service and returns:
Continuously improving the quality and response speed of customer service, such as providing quick replies, answering product questions through Buyer-Seller Messaging, and sending shipping notifications, helps buyers have a good shopping experience and reduces the need for returns and exchanges.
In the event of an international return for a self-delivery order, you can choose the following return method to process it:
1 The seller issues a full refund without requiring the buyer to return the item.
When a buyer initiates a return request, you can communicate with the buyer through Buyer-Seller Messaging. We recommend that you complete the entire communication process within 24–48 hours and reach an agreement in the end: you issue a full refund without requiring the buyer to return the item.
2 Prepaid returns for seller-fulfilled orders: for Professional sellers and all sellers enrolled in the “Amazon Prepaid Return Label” program, Amazon will automatically approve U.S. returns that meet Amazon’s return policy
Amazon will provide return and exchange shipping services to you through UPS and USPS carriers in the local US Buy Shipping service. When the buyer returns the package to the carrier, we deduct the cost of the return label from your account. You need to provide a domestic US address for the “Amazon Prepaid Return Label” program. Amazon will use this address for all prepaid returns. If your products are stored in overseas warehouses, prepaid return labels can help improve your return efficiency.
3 Seller-provided prepaid international return shipping labels: you can return products to your domestic address by purchasing a paid international return shipping label from a relevant service provider
Please click the link to view related carrier information on the Amazon Service Provider Network page.
🚩Please note when confirming the return method:
▲ Starting May 25, 2021, if you ship orders worth less than $25 from a country outside the US to sellers in the US, you must provide a valid US return address. When the return is eligible, Amazon will use this address to generate an Amazon Prepaid Return Label for the buyer. If a US return address is not provided, Amazon will issue a refund to the buyer for eligible returns under $25 and will not require the item to be returned (that is, return without refund) NEW!
▲ To ensure buyers have a consistent experience, when handling Seller-fulfilled returns, you must provide the same return policy as Amazon’s return policy.
▲ You need to issue a refund within 2 business days of receiving the return. If you do not process the refund, Amazon will refund the buyer on your behalf and deduct the corresponding amount from your seller account.
▲ Once a refund is issued, it may take 3–5 days for the refunded amount to appear in the buyer’s payment method, depending on the payment method. If you believe there was an incorrect charge, go to Appeal an A-to-z Guarantee Claim.
▲ Please click the link to learn more about A-to-z Guarantee Claims👇
Seller-fulfilled Key Performance Metrics Reminder
You can view key performance metrics for self-fulfilled sellers by navigating to “Performance>Account Health>Delivery Performance” in Seller Central. Sellers who fail to meet Seller Fulfilled performance metrics may have their selling privileges for seller-fulfilled products suspended, or even be at risk of account deactivation.
01 Valid tracking rate
Valid tracking rate = number of orders with a valid tracking number within 30 days ➗ total number of Merchant Fulfilled Network orders within 30 days.
Sellers need to promptly provide valid tracking information for self-fulfilled orders based on the requirements of each Amazon Marketplace. Detailed order tracking information shows the progress of order delivery, can reduce buyer contacts, order defects, and loss costs, and can also help improve seller feedback ratings.
📢 With a VTR >=95% within 30 days, sellers can get better ratings and sales
▲ Amazon US/United Arab Emirates/Saudi Arabia Marketplace requires Chinese sellers to provide valid tracking numbers for seller-fulfilled orders of $5.00 (including shipping) or more, and the number of orders with a valid carrier name and tracking number must account for 95% or more of the total number of seller-fulfilled orders NEW!
🚩Please note: If you cannot keep VTR above 95%, your ability to sell Seller-fulfilled products in the relevant categories may be suspended. You need to submit a Plan of Action (POA) based on the performance email notification and have it approved before you can regain your selling privileges.
▲ Amazon Japan will require Chinese sellers to provide a valid carrier name and a tracking number for self-fulfilled orders of 1,000 Japanese Yen (including consumption tax) or more, and the number of orders with a valid carrier name and tracking number must account for 95% or more of the total number of self-fulfilled orders.
🚩For sellers selling on other marketplaces, please note: if you cannot keep your VTR above 95%, your selling privileges will not currently be suspended. However, this can lead to negative customer feedback or claims, returns, etc., which can affect your seller performance.
Frequently Asked Questions
❓ Q1 What are the benefits of providing tracking information?
There are many benefits to providing a valid tracking number:
Reduce buyer contacts: spend less time answering delivery-related questions.
Reduce the Order Defect Rate.
Protected when you receive A-to-z Guarantee Claims: Without tracking information, you may not be able to dispute all “Order Not Received” A-to-z Guarantee Claims.
Can improve seller feedback ratings: according to buyers, being able to track packages is one of the main reasons they give positive feedback.
Can reduce the cost of lost shipments: If the package is lost in transit, the seller can use the tracking number to identify where it was lost and then determine responsibility.
❓ Q2 How to ensure that the tracking number is included in the valid tracking rate?
For unshipped orders, when confirming shipment, you need to provide the correct carrier name, shipping service/shipping method, and tracking number. Please note:
▲ Select the correct carrier name from the drop-down list;
▲ Select the relevant delivery service correctly from the drop-down list;
▲ Provide the tracking number for the selected carrier
🚩Please note:
1. Please do not leave the tracking information blank.
2. Do not enter special characters (such as punctuation marks) in tracking information that Amazon systems cannot recognize.
3. Please do not copy/paste the tracking code from the carrier's website because it will add zero-width space characters. Sellers should manually enter the tracking number when confirming shipment, or you can use the “Buy Shipping” service, and the tracking number will be uploaded automatically.
▲ Make sure your tracking number has at least one carrier scan record. Shipped orders: You can edit order tracking information until the order items are delivered.
🚩To edit details, follow these steps:
1. In Seller Central, select Orders, and then click Manage Orders.
2. Click “Advanced Search”, enter the order number, and then click “Search”.
3. Once you have found the correct order, click “Edit Shipment” and enter the revised tracking number. Please wait 72 hours, after which the reports and metrics will show the updated information. If your order has already been delivered, the tracking number is no longer useful to the buyer, so it isn't included in the Valid tracking rate metric.
❓ Q3 What if my carrier isn't listed in Seller Central?
When you ship an order and don’t see your carrier in the drop-down menu, select “Other (Others)” and enter your carrier in the text field.
🚩Please note:
▲ If you use a carrier not supported by Amazon (a carrier not listed in Seller Central), Amazon cannot verify the tracking information, so it cannot be counted toward the Valid Tracking Rate metric. Amazon is actively adding support for more carriers.
Marketplaces such as the United States, Europe, Japan, the United Arab Emirates, and Saudi Arabia currently recommend that sellers maintain a valid tracking rate above 95%, which means that in your total orders, at least 95% of orders must use Amazon-supported carriers to ensure a good buyer experience.
▲ Self-fulfilled orders that use Amazon-supported carriers, select the correct carrier name and shipping service, correctly enter the tracking number, and have at least one carrier scan record can be counted toward the valid tracking rate.
02 Late Processing Rate (LSR)
Late Shipment Rate (LSR): the percentage of seller-fulfilled orders that are confirmed as shipped after the estimated ship-by date within a 10- or 30-day period.
LSR should remain below 4%, or it may result in account deactivation.
03 Cancellation rate (CR)
Cancellation rate (CR): the percentage of all orders canceled by the seller out of the total number of self-fulfilled orders over a given 7-day period.
CR should be kept below 2.5%, or it may lead to account deactivation.
🚩Please note: If you do not confirm shipment within 7 business days after the ship date, Amazon will automatically cancel the order. Once an order is canceled, Amazon does not charge the buyer anything, even if it has already shipped.
Buy Shipping helps you solve self-fulfilled performance challenges
With Amazon’s Buy Shipping service, you can enjoy the following benefits when you ship your seller-fulfilled orders directly from China to customers overseas:
1 More on-time delivery and automatic shipment confirmation, which helps you stay compliant with the Valid tracking rate alert;
2 Protects your store’s Order Defect Rate (ODR);
3 Amazon does not charge any fees, and there are also limited-time discounted shipping promotions;
4 Wide delivery coverage, suitable for all types of products.
*1. Amazon Buy Shipping for orders shipped directly from China to overseas customers is currently available on Amazon US, Canada, UK, Germany, France, Italy, Spain, and India Marketplace
2. If you have any questions, please email buyshipping-cn@amazon.com. We expect to respond within 48 hours.
You can also click the following links to learn more, or go to Amazon Seller University to download Chinese-language materials for Amazon’s Buy Shipping service for more guidance:
US Marketplace, Canada Marketplace, Europe Marketplace, India Marketplace