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FBA Multiple Destinations: The New Costly Nightmare?
Do you feel, like us, the the New FBA Multiple Destinations is going to be a costly nightmare?
We are preparing products all day long, box them and at the end, we are creating one single shipment going to 1 pretty close destination, and it is simple and easy…
With this new feature, which going to be implemented all over the board, we are going to have to split at last minute all the inventory in 3, with random quantities, and we are going to pay much more for shipping everyday to 3 destinations. The discount per item is simply ridiculous, at $.05 per item.
For us, it’s a $20 discount per day, for at least $100 increase in shipping costs…
Why every single move of Amazon is making things more difficult and more expensive?
your thoughts on this?
0 replies
Seller_T5Mv3ZCUSh7Zl
Or are they just offloading some of the expense and complication to Sellers. It isn’t any big secret that Amazon hasn’t exactly been doing a superb job at times of receiving at certain facilities. This should (even though it makes your life a smidge more difficult) result in faster receiving and availability of your goods.
Seller_pBEwo8CxxHc63
It isn’t new. Amazon has been doing this for well over 3 years.
Seller_X9AxWaXfNnGAl
Before you approve the shipping plan, you might look at adjusting your quantities - try upwards and downwards by a few or a large part.
You might also consider using case packs to affect the granularity of the ASINs.
It won’t eliminate the problem completely, but might for a time.
Seller_c4AP1K7BNZTM6
We shared the same concern, so we emailed fba-ops-mipo@amazon.com on 04/11 to opt out of this new FBA Multiple Destinations program. To our dismay, a few days later, we find out that our shipments are all getting split anyway. So instead of dealing with 1 neat truckload of single-SKU pallets going to 1 FC, we have to deal 3 separate shipments of partial pallets with random quantities at +2x the cost per unit. Thus absolutely nuts!! I am hoping this is temporary glitch.
Seller_LMf9CF5P8NlmA
I jsut got automatically enrolled and it seemed to me that $.05 per unit was not going to make up for the increase of shipping to multiple locations and screwing up our system we have implemented over 6 years…
I wanted to see what others have thought, and it does seem that this sucks and I will likely need to opt-out… was hoping to see some positive responses to this, but I don’t
anyone find this better? I know it is for Amazon, but isn’t that what I am paying them for? the logistics and the transferring??? They are increasing fees and rates quarterly and now I have to do more work and spend more on outbound shipping? UGH
Seller_3N7yVnTXPzLkL
What new program?
Amazon has been requiring multiple destinations for years.
In the past, certain categories of products were limited to a smaller number of warehouses than they are today, which is why it seems new to some sellers.
Seller_KDApSiPpJnKh7
I just got an email that I’m selected for this “FBA Multiple Destinations program” and can get discounts on my fulfillment fees.
The email I received:
======================================================
Hello,
You’ve been selected to participate in the FBA Multiple Destinations program and get discounts on your fulfillment fees. You’ll be enrolled automatically on September 15, 2022.
Once you’re enrolled, the following discounts will apply starting October 27:
Unit dimensions
Small standard size Large standard size
Fulfillment fee discount per $0.05 $0.09
unit starting October 27
To help provide faster delivery, Multiple Destinations places your products closer to customers. In this program, we ask that you send your eligible, standard-size SKUs to up to three designated receive centers when you create your US shipping plan.
Your receive centers will be selected based on the ship-from location of your shipping plan.
If you don’t want to participate in Multiple Destinations and receive these discounts, you can opt out at any time by sending an email to fba-ops-mipo@amazon.com. Include your merchant token in the body of the email and state that you want to opt out of Multiple Destinations.
For more information, go to the following help pages:
“FBA Multiple Destinations program”
https://sellercentral.amazon.com/help/hub/reference/G3H79GE5FXH8UT7Q
The Fulfillment by Amazon team
======================================================
Now the funny thing is I’ve been using inventory placement the whole time.
Why on earth would they think of inviting someone who had been using inventory placement to enroll in this multiple destinations program?
I mean… I’m paying to use inventory placement just so I don’t have to ship to multiple destinations.
Edit to add:
I just had a look at the link they provided.
Under “How to opt out” it says:
If you want to remain enrolled in the program, but send your eligible inventory to fewer destinations, you can enroll in the FBA Inventory Placement Service. A per-item fee will apply.
So I guess this is just another useless email for me.
Seller_8M9CEANOvP86r
Just got this email, considering opting out as right now once per month we setup 3-5 pallets and they all go 200 miles away to AVP1. If they start splitting all the items between different pallets and charging us freight to go to who knows where we’re going to need a hell of a lot more than a nickel per item to make up for it…
Seller_Yvu9QfhV55nVu
I think I’m in this or similar plan for years…
The discount per item was $0.10, and few months ago it was reduced to $0.05.
My shipments are always of 1 box, and always shipped to one location.
Per the program, amazon may chose one of 3 FC…
All my shipments are to 1 FC, most of the times to the same one.
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