The Impact of Amazon Returns

Return costs are dangerous for most sellers because it is not always clear how to account for returns accurately.

What happens when a customer returns an item for a refund?

I've broken it down for you in this graphic so you can see the £££ impact easily.

Amazon immediately reimburses the total price of the product to the customer. But, not only that - they also charge the seller for selling and return costs.

Furthermore - Amazon staff sifting through returns quickly can easily throw your item into the "damaged" pile leading to further loss in COGs.

The best counter is to avoid returns in the first place.

See this reel for our take on how best to do this - https://www.instagram.com/p/CyO5FAas-us/

Note - the biggest gamechanger is improving your product listings.

Try to make sure your listing creation and operational processes includes every one of those tips.

Gotta make sure that cash flows!