How to effectively manage claims issues on the Amazon platform

On the Amazon platform, sellers face a variety of claims issues, including Chargebacks, A-Z Claims, and international package damage claims. These problems will not only affect the seller’s ODR (Order Defect Rate) indicator, but may also cause the account to be reviewed, frozen or even closed. This article will integrate the characteristics of these claim types and their handling methods to help sellers better understand and respond.

Chargebacks – Credit Card Chargeback Claims

What is a chargeback claim?

In European and American countries, consumers have the right to question any transaction on the bill within 180 days after the transaction. This is the so-called “chargeback”. Banks typically do not investigate further and instead directly support the consumer’s request and return the funds to the cardholder. Despite this, due to the improvement of the credit system, this mechanism is rarely abused.

Under what circumstances can payment be refused?

• Stolen Card: Unauthorized transactions can be charged back.
• Goods not received: If the seller fails to deliver the goods, the consumer has the right to request a refund.
• Not in stock: If the product received is seriously inconsistent with the description, consumers can apply for a refund through their bank.
• Buying counterfeit goods: After a product is confirmed to be counterfeit, consumers have the right to refuse payment.
• Double Charges: Repeat charges due to payment system errors can be declined.

Impact on sellers

Chargeback has a great impact on sellers because it directly affects ODR and Amazon cannot intervene in this. Sellers need to proactively communicate with customers to find out the reason for the chargeback and solve the problem as soon as possible. Usually, it is most effective to solve the problem by refunding in advance.

A-Z Claim——Amazon’s unique claim mechanism

When can a customer initiate an A-Z claim?

• Goods not received: For FBA orders, Amazon bears responsibility; for self-delivered orders, it needs to be judged based on the specific circumstances.
• The actual product does not match the description or is damaged: Sellers should avoid exaggerating product features, ensure accurate descriptions, and take appropriate packaging measures.
• Return completed but no refund received: This is usually due to negligence on the part of the seller.
• Seller refuses to return goods: Sellers should try their best to cooperate with buyers to avoid unnecessary disputes.

Claim processing process

Once an A-Z claim occurs, the seller should respond within 7 days, identify the cause and negotiate with the buyer to resolve it. If the buyer no longer responds, the seller needs to prepare relevant materials and submit them to Amazon for arbitration. Sellers must not harass or threaten buyers during this process.

Refund methods for A-Z claims

• If Amazon determines that the seller loses, the payment will be deducted from the seller’s account.
• If it is determined that the buyer loses, the seller does not need to bear the cost, but Amazon may compensate itself to maintain buyer confidence.
• If FBA shipment causes problems, Amazon will bear the loss.

International package damage claim

How to make a claim?

• Obtain evidence: If it is lost, you need to apply for an investigation. If it is damaged, you need to take photos on site to document it.
• Apply for a claim to the freight forwarder: Submit evidence and the freight forwarder will assist in processing.
• Express official confirmation: After verifying the situation, compensation will be based on the declared value of up to US$100.
• Confirm claim payment: The shipper will submit the claim after confirming that it is correct and receive compensation.

Notes

For high-value items, it is recommended to purchase logistics insurance to reduce losses.

Refundlabs—Professional FBA claims platform

Refundlabs provides one-stop claims services for Amazon merchants, covering up to 20 claim scenarios and able to trace back 18 months of data. Its features include:

• Automated retrieval: Use AI technology to analyze historical data and discover potential claim opportunities.
• Professional team: Operations and maintenance personnel with rich experience ensure the success rate of claims.
• Safe and reliable: As an Amazon authorized service provider, we ensure the security of your account.
• High transparency: Merchants can track the details of each successful claim.
• Pay for performance: Service fees will only be charged after a successful claim.

It can be seen from the above introduction that whether it is faced with Chargebacks, A-Z Claim, or international package damage, sellers need to proactively communicate with customers and adopt appropriate strategies to reduce negative impacts. At the same time, with the help of professional third-party tools such as Refundlabs, processing efficiency and success rate can be further improved.