For sellers on Amazon who don’t know what to do with their unsold or returned items, the e-commerce giant has just announced two new programs designed to limit waste, while allowing sellers to reduce their costs.
One of these programs is called “FBA Grade and Resell”. It is available in the UK and will soon arrive in the US. And in 2022, sellers in Germany, France, Italy, and Spain will also be able to benefit from it.
In essence, this program will help sellers resell items that have been returned. As Amazon explains, once an item has been returned, the seller can redirect it directly to the program. Then, Amazon assigns it a grade: “Used – Like New, Used – Very Good, Used – Good and Used – Acceptable.” After that, based on these ratings, the seller can set prices, and resell the item using the usual channels on Amazon.
For unsold items, Amazon also offers the FBA Liquidations program. This is available in the US, Germany, France, Italy and Spain. It will also arrive in the UK this August. The program allows sellers to use Amazon’s wholesale resale channels and technologies to recover a portion of inventory costs through returned or surplus items.
“Previously, a seller had to either have excess inventory returned or let Amazon handle that product through its FBA donation program. Now, businesses that sell on Amazon have a new, hassle-free way to recover the value of these items by reselling them through Amazon’s wholesale resale partners,“ the e-commerce giant says.
In addition, Amazon also points out that through the FBA program, it also makes a lot of donations. Since the launch, 67 million products from its sellers have been donated to nonprofit organizations.
Amazon has recently been accused of destroying millions of unsold items
Amazon is launching these programs at a time when it has recently been accused of being wasteful. Indeed, as reported by CNBC, the British channel ITV reported that Amazon is destroying millions of unsold items in one of its warehouses across the UK. The e-commerce giant certainly hopes that the announcement of these new anti-waste programs will put an end to this controversy.
“Customer returns are a reality for all retailers, and what to do with these products is an industry-wide challenge,” said Libby Johnson McKee, director, Amazon WW Returns, ReCommerce and Sustainability. “These new programs are examples of the steps we are taking to ensure that products sold on Amazon, whether by us or our small business partners, are put to good use and do not become waste. In addition to existing programs such as Shipped by Amazon donations, we hope they will help create a circular economy and reduce our impact on the planet. And we are delighted that these programsmy also help the companies that sell on Amazon reduce costs and grow their businesses – it’s a win for our partners, customers and communities.”
In its announcement, Amazon also reiterates its climate commitments. The company plans to achieve net zero carbon by 2040 and 100% renewable energy by 2025.