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This article applies to selling in: United States

FBA Grade and Resell

FBA Grade and Resell is an invitation-only program. It allows you to relist and sell unfulfillable inventory as used, instead of paying to return or dispose of the inventory.

When you submit an item, Amazon evaluates the condition and creates the listing for you. You set the price and manage the listing, as you do for your current new and used items.

Note: Grading is the process Amazon uses to evaluate and determine the condition of an item for relisting. Amazon Warehouse uses the same process to evaluate customer returns.

How it works

  • Once you’re invited, enroll in FBA Grade and Resell from your Automated unfulfillable settings. You can also go to Inventory and select items to submit to the program from your eligible unfulfillable inventory
  • Graded items are assigned a condition, such as Used – Like New, Used – Very Good, Used – Good, and Used – Acceptable, based on Amazon’s condition guidelines.
  • At the time of relisting, a processing fee will apply. No processing fee will apply for submitted items that are graded as Unsellable. These items will remain in your unfulfillable inventory.
  • Once items are submitted to the program, grading and relisting can take up to three weeks. However, the process may take longer during the holiday season selling period.
  • A SKU is generated for your used listing under the parent ASIN
  • You set the price for your items based on the used condition. You manage pricing, advertising, and sales using your existing processes, as you do for your new items.
  • By participating in this program, you agree to the FBA Grade and Resell terms and conditions.

Fees

Note: Amazon will waive the FBA Grade and Resell processing fees for all inventory until October 30, 2021. Referral fees and FBA fulfillment fees still apply.

The Grade and Resell fee is a flat per-unit processing fee based on the size and weight of the item. The processing fee is applied at the time of relisting. If your item is graded as Unsellable, no processing fee applies.

Processing fee

Size Item weight Fee
Standard-size items Small standard-size 16 oz or less $1.50
Large standard-size 21 lb or less $1.80
Oversize and special handling items Small/medium oversize 151 lb or less $2.65
Large/special oversize Over 151 lb $4.10

Example comparing recovery value for used items based on condition


Product category: Home & Garden

New item price: $30

Referral fee percentage: 15%

Item weight: 3.35 lb

Key Example Like new Very good Good Acceptable Dispose Ship-to address
A Used-item price* $28.50 $25.50 $24.00 $22.50 - -
B Processing fee $1.80 $1.80 $1.80 $1.80 $0.80 $0.80
C Fulfillment fee $5.80 $5.80 $5.80 $5.80 - -
D=A*Fee % Referral fee $4.28 $3.83 $3.60 $3.38 - -
E=B-C-D Net recovery value $16.62 $14.07 $12.80 $11.52 ($0.80) ($0.80)

* You determine the used-item price.

Note: Once the FBA Grade and Resell removal order is submitted, inventory storage fees will cease to accrue for that inventory. For items graded as Used, the clock restarts on long-term storage fees and monthly storage fees once your item is listed. For items graded as Unsellable, standard Amazon storage fees will apply once the item is returned to your unfulfillable inventory.

Product eligibility

Eligibility is restricted to returned FBA inventory in fulfillment centers that are enabled for this program.

Eligibility is also subject to legal, safety, regulatory, and other guidelines. Ineligible products include the following:

Submitting and managing your inventory

Step 1: Submit your unfulfillable inventory

To submit inventory to be graded and resold, either create a removal order or select Grade and Resell from your Automated unfulfillable settings.

To create a removal order, start from one of the following inventory planning pages:

Next, submit inventory to Grade and Resell:

  1. Open Create removal order.
    • From an inventory planning page, select one or more ASINs. From the Action on selected menu, click Create removal order
    • From the Recommended Removal report, click Begin removal process. If you don’t see this option, then you don’t have inventory that we recommend you remove.
    Note: Standard removal fees do not apply to submitted FBA Grade and Resell items. If you ship to an address or dispose of the inventory after an item is graded and relisted, removal fees will apply.
  2. Click Grade and Resell.
  3. Enter the amount of unfulfillable items to grade and resell.
  4. Click Review. You’ll be prompted to confirm your order.

Note: To cancel a removal order, go to Remove inventory from a fulfillment center. Once your item is graded, you can opt to remove the item, instead of proceeding with the listing.

You can also submit inventory automatically from Automated unfulfillable settings:

  1. From the Settings menu, select Fulfillment by Amazon.
  2. From the FBA settings page, find Automated unfulfillable inventory settings.
  3. Click Edit.
    Note: If you don’t have the right permissions to see these settings, open the Inventory menu and select Manage FBA Inventory, then click Remove unfulfillable inventory and Auto removal settings.
  4. On the Automated unfulfillable settings page, select Enable, and then Grade and Resell.
  5. To set the percentage discount based on the item’s condition, select Update your price. You can update the price anytime, and the discount only applies when the listing is first created.
  6. For items that you don’t want graded and resold, click Enter one or more ASINs to exclude.
  7. Click Update at the bottom of the page to save changes. Eligible customer returns will then automatically enroll in Grade and Resell.

Step 2: Amazon grades your inventory

After you submit your FBA Grade and Resell inventory, your item will be graded on its condition. Here’s how it works:

  1. A returns specialist completes a 20-point inspection using a questionnaire based on the category of the product.
  2. A proprietary algorithm determines the appropriate condition: Used – Like New, Used – Very Good, Used – Good, and Used – Acceptable, based on our condition guidelines. Items that don’t meet these guidelines are graded as Unsellable and remain in your unfulfillable inventory.
  3. If the item is graded as Used, we'll refurbish and repackage it for resale, as needed.

Step 3: Track the status of graded inventory

To track the status of units that you’ve submitted for Grade and Resell through removal orders, check your Removal Order Detail report:

  • The Requested Qty column shows the total number of items that you’ve submitted to the program.
  • Completed Qty shows units that have been graded.
  • Units that are still being graded appear under In Process Qty.

For units that you’ve submitted through automated unfulfillable settings, track the status of graded items in the Grade and Resell report, which lists evaluated inventory under the following columns: Order ID, LPN, ASIN, original and program FNSKU, program-generated MSKU, Used Condition, Unit Status, and Reason.

Step 4: Set pricing and manage your listing

Once an item is graded as Used, a SKU is generated for your new listing under the parent ASIN. In the grade and resell price settings, you can set the initial list price for all ASINs submitted to the program based on the inventory condition.

The initial list price for a used item is calculated from your discount percentages multiplied by the new listing price. Once the listing is created, you can change the price any time on Manage Pricing.

All SKUs in Grade and Resell follow a standard naming format:

  • [prefix]. [seller msku]-[suffix], where the prefix is always amzn.gr. Use this prefix to search for and track graded inventory.
  • The suffix will be one of the following: LN for Like New, VG for Very Good, GD for Good, or AC for Acceptable.

The listings will appear in your Inventory Reporting tools. See sales and other performance indicators in Fulfillment Reports and payments in the Payments Dashboard.

Example comparing initial list price for used items based on condition

Condition Discount percentage 1 New item price at time of relisting 2 Initial list price of used item 3 SKU example 4
Used – Like New 95% $50 $47.50 amzn.gr. [seller msku]-LN
Used – Very Good 90% $45.00 amzn.gr. [seller msku]-VG
Used – Good 85% $42.50 amzn.gr. [seller msku]-GD
Used – Acceptable 80% $40.00 amzn.gr. [seller msku]-AC

1 You determine the discount percentage based on the new item price.

2 FBA Grade and Resell pricing is calculated based on your new item prices, which must comply with the Amazon Marketplace Fair Pricing policy.

3 Once you create used pricing tiers for a SKU, additional items of the same SKU submitted to FBA Grade and Resell will automatically have the initial price applied.

4 A maximum of five SKUs will be generated for your used listing under the parent ASIN: four used conditions and one unsellable.

Frequently asked questions

When will this program be available to additional sellers?

Amazon plans to expand the program in the near future. We provided a link to this Help page to all sellers included in the invitation-only program of FBA Grade and Resell. If you received the link to this Help page from a different source, Amazon has not yet expanded FBA Grade and Resell to you and, therefore, you are not able to submit inventory.

Can non-US sellers participate in FBA Grade and Resell?

Yes, FBA Grade and Resell is open to both US and non-US sellers who have been invited and are selling in the US.

How much recovery value can I earn through the program?

FBA Grade and Resell allows you to relist eligible, unfulfillable inventory on Amazon. Since you manage the used listing and control the price, you control the recovery value. To ensure a net positive transaction after fees are applied, we recommend that you only enroll inventory that has an average selling price above $15.

Does customer feedback on FBA Grade and Resell items affect my product and seller feedback rating?

FBA Grade and Resell items are listed and managed by you, and product and seller feedback ratings apply as normal. In order to protect your ratings, products with low star and seller feedback ratings are ineligible for the program. Consider submitting high-volume ASINs to the program to maintain minimal impact to your product and seller feedback ratings.

What if my submitted item is graded as Unsellable?

If your item is graded as Unsellable, the item will remain in your unfulfillable inventory and FBA Grade and Resell fees will not apply. The unsellable item will appear under the parent ASIN with a new FNSKU that begins with amzn.gr and ends with PO suffix. Manage your unfulfillable inventory as you normally would.

What should I do if my items do not sell?

Manage excess items as you would new listings, with marketing and pricing levers. To recover value on excess items, consider submitting fulfillable inventory to Amazon Outlet. You can also return the inventory to yourself, liquidate it, or dispose of it.

My item has internal memory—will the memory be wiped?

Amazon will follow its standard operating procedures to carefully handle items with internal memory, but does not guarantee removal of data. Before customers return items on which they have saved personal information, they should clear the memory device. This is specified in Amazon’s customer returns policy for items such as laptops, cameras, or other electronic devices.

How long do used items take to sell?

Used items typically take longer to sell than new items. Manage your listing as you normally would to decrease the time to sell.

How do I track customer payments and fees for FBA Grade and Resell?

Track fees and customer payments in the Payments Dashboard. The FBA Grade and Resell processing fee will appear once an item has been relisted as Used.

What is the returns policy for FBA Grade and Resell inventory?

The returns policy is the same as for new listings you manage.

Can I relist a customer-returned FBA Grade and Resell item?

All customer-returned Grade and Resell items will be marked as Unsellable and remain in your unfulfillable inventory.

If you enabled Grade and Resell in your Automated unfulfillable settings, eligible items will be automatically re-submitted. You can also re-submit items manually, liquidate them, or dispose of them.

How does the program differ from Amazon Renewed?

With Amazon Renewed, a new ASIN is generated with a separate detail page for items that are graded as Used – Like New.

Items that are submitted to the FBA Grade and Resell program will display under the parent ASIN, with four potential conditions: Used – Like New, Used – Very Good, Used – Good, and Used – Acceptable. Having this wider variety of used products allows for more value-recovery opportunities.

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