Amazon Vendor On-Time and Fill Rate Non-Compliance Chargebacks

Amazon has recently improved their ship/delivery date expectations for purchase orders, and re-evaluated their chargeback policy.  As a result, they are phasing out Cancelled PO Units chargebacks in favor of the new On-Time Non-Compliance and Unfilled by Cancel Date chargebacks.

Why are they making this change? Due to the dynamic nature of Amazon’s e-Commerce business, variability in vendor prep and ship lead times can result in a lack of inventory, and subsequently, lost sales. Therefore, they ask vendors to pay close attention to the ship/delivery windows on their POs so they can ensure that they have enough inventory to meet expectations.

What are the benefits of this change for vendors? By reducing vendor lead times, you will improve inventory availability and increase your sales. The goal of this change is to improve the customer experience related to your products, and by extension, your product sales.

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Posted in Amazon Vendor Central News and Insight
2 comments on “Amazon Vendor On-Time and Fill Rate Non-Compliance Chargebacks
  1. Hi,

    My name is Carmen, I work at SFR and I am responsible for VC fulfillment. Recently we had an issue with this new “On time-Non compliance” chargebacks. We were charged $1200 for being late a couple of days. But also they charged us for shipping some of the purchase orders earlier than the ship window!!. Is there a way we can get that money back. Do you know if anyone has got the same issue and were able to get the money back?

    Thank You

    Carmen Bautista

  2. Hi Carmen,

    My suggestion is to make contact with your Vendor Manager and see if the will assist in getting the Charge back waived. I have had success with this in the past. You can also try disputing it in Vendor Central.

    Cheers,
    George

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