How to Claim Reimbursement from Amazon for Lost, Damaged & Destroyed Inventory

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As a business selling your products on Amazon through the Amazon FBA Programme, you must be aware that you are eligible for reimbursement of the value of your product if these products are lost, damaged or destroyed both at the warehouse or by Amazon’s Partnered Carrier. In a perfect world, these reimbursements would be issued automatically and at the right time but what you might not know is that you may be losing hundreds or thousands of pounds for those products which Amazon has failed to provide reimbursement for. I have provided a step by step guide below on how to file reimbursement claims for these products and get back some money into your pocket.

  1. Move mouse pointer to “Reports” tab and select the “Fulfilment by Amazon” option.
  2. After selecting the “Fulfilment by Amazon” option, the lower portion of the screen will reveal more options. Click on the “Show more” link in the left hand column under the title heading, “Inventory.”
  3. After clicking “Show more” under the inventory section, select “Inventory Adjustments.” This is the report we will be using to decide which items are due for reimbursement.
  4. Click on “Download”.

To finalise this process:

  1. Select “Exact dates” in the drop down for “Event Date.” then set your beginning date as the inception of your account and the finish date as the current date. Submit the dates and then click “Request Download.”
    b. Once you have selected the “Request Download” button, the report will be brought up as shown in the screenshot below as soon as it is available for download. Click the “Download” button next to the relevant report.
  2. Click the “Download” button and there will be a prompt to open a ‘.txt’ file. Open the file and transfer the data to an Excel file.
    To transfer data from ‘.txt’ file to an excel file;
    a. Click in any part of the ‘.txt’ file and select all using ‘Ctrl + A’ command. This is the keyboard shortcut for ‘Select All’.
    b. When all the data has been highlighted (selected), copy the data to clipboard using the ‘Ctrl + C’ command. This is the keyboard shortcut for ‘Copy’.
    c. Open a blank Excel document, click in cell A1and paste the copied data on the Excel sheet using ‘Ctrl + V’ command. This is the keyboard shortcut for ‘Paste’.
  3. Once the text has been copied to the Excel spreadsheet, add filters to the top row of the document. Please see an example of this process in the screenshot below.
    a. Click the “Data” tab
    b. Highlight the top row by clicking on the number “1”
    c. Click the “Filter” button.
  4. Once the filters are in the top row, click the drop down on the “reason” column.
    a. PLEASE NOTE: The Short hand “reason” code for the excel sort is as follows: Damaged – E, Destroyed – D, Lost – M, Damaged (miscellaneous) – Q.
    b. Now select the check box next to E, D, M, and Q. Then click OK.
    You should now have a report showing only items that were lost damaged or destroyed. All the units that are displayed now should have been reimbursed. But in my experience only 20- 30% will have been reimbursed and you are still owed for 70-80%.
  5. Split the resulting spreadsheet into separate sheets in batches of 5-10 entries.
  6. Save them as separate files
  7. Open cases with Seller Support and attach one of the split files in each case and include a few lines telling them to investigate and provide full reimbursement for the items.
  8. Watch your money roll in.

I hope this post has been useful. If you would like to automate the prepping and sending of your products to Amazon, freeing up more time for yourself to spend on sourcing and growing your business, do contact us  and we will be happy to help.