Amazon Fulfillment Errors Costing My Business Thousands – Seeking Resolution & Advice

Dear Amazon Seller Community,

I am reaching out in frustration after months of ongoing fulfillment issues with Amazon FBA that have resulted in significant financial losses, inventory mishandling, and damage to my business reputation. Despite my repeated efforts to resolve this directly with Amazon Seller Support, I have yet to receive a satisfactory resolution. I am posting here to share my experience and seek advice from fellow sellers who may have faced similar issues.

The Issue: Amazon Fulfillment Errors

- I sent 100 units of multiple variations of the same product, properly labeled and packaged in separate boxes to Amazon FBA.

- Amazon mislabeled and misallocated my inventory, resulting in customers receiving the wrong product variations.

- Customers started complaining, requesting refunds, and leaving negative reviews, stating they received the wrong item.

- I requested a bin check, which confirmed Amazon had placed inventory in the wrong fulfillment bins.

- Due to these errors, every single customer order was fulfilled incorrectly, resulting in negative feedback, lost revenue, and unnecessary returns.

Financial Losses & Reimbursement Request

- After months of waiting for Amazon to fix this, I had to remove all my inventory from FBA, effectively shutting down my sales.

- Upon requesting a return of my inventory, a significant portion was missing or damaged

- Confirmed returned inventory:

- One variation: 73 units

- Another variation: 1 unit

- Another variation: 66 units

- Another variation: 11 units

- Another variation: 1 unit

- Total missing/unaccounted inventory: More than 200 units.

- Amazon labeled 23 returned units as "customer damaged", despite the damages being caused by their own fulfillment mistakes.

- I have formally requested $19,750.66 in reimbursement from Amazon to cover:

- Missing and lost inventory

- Customer-damaged items

- Lost revenue from incorrect shipments and necessary inventory removal fees

Amazon's Response (or Lack Thereof)

- Despite providing extensive documentation, including:

- Bin check confirmations

- Customer complaints

- Order reports and shipping records

- Photographic proof of correct labeling

- Amazon has yet to provide a clear resolution or reimbursement timeline.

- The only response I received was that my case was "still being reviewed."

Additional Issues: Negative Reviews & Business Damage

- The negative reviews left on my listings due to Amazon’s fulfillment errors are still visible, severely affecting my ratings and sales potential.

- Amazon refuses to remove these reviews, despite the fact that they violate Amazon’s own policies, which state that feedback about fulfillment errors outside of the seller’s control should not impact a seller’s account.

My Next Steps & Call for Advice

At this point, I have given Amazon multiple opportunities to correct this situation, yet I continue to face delays, financial loss, and damage to my brand. If I do not receive a resolution within the next few days, I will have no choice but to escalate this legally.

To other sellers who have experienced similar fulfillment issues:

1. How did you successfully get Amazon to reimburse you for lost and customer-damaged inventory?

2. Have you been able to get Amazon to remove negative reviews caused by fulfillment errors? If so, how?

3. Any recommendations on legal action or third-party services that specialize in handling these types of cases?

I appreciate any insights or advice from the seller community. This situation has been incredibly frustrating, and I hope this post helps others avoid similar fulfillment nightmares.