[Crew Review] Amazon fees and policy updates

Changes and more changes

Increased Heat, Increased Fees

Amazon sellers are not particularly looking forward to summer.

After a three-month delay, Amazon finally announced its referral and FBA fees updates for 2021 which will take effect on June 1.

It’s easy to read the tables. But what exactly do these increases mean for you and how should you plan your next move based on the data?

You don’t need to think much about this. We already have an analysis and a list of recommendations for you.

The Early Reviewer Program Goes Into Early Retirement

It was white hat tactic numero uno in our list of recommendations in getting Amazon product reviews. But we had to update that article because the Early Reviewer Program will soon be a thing of the past.

You may already know how it works, but let’s take a final look before its untimely death.

The Early Reviewer Program allowed sellers to collect honest feedback from customers who already bought their products. SKUs that have less than five reviews may be enrolled in the program for a fee. Amazon then emails your buyers to encourage them to share what they think. And as a thank you, they’d be rewarded, usually through gift cards.

This was a great way for new products to get more reviews and attract more sales. However, starting March 10, 2021, Amazon is no longer accepting new enrollments in the program and will stop offering the service to already enrolled sellers by April 25 this year.

If you’re wondering why, Amazon says that its other initiatives such as the “One Tap Reviews and Global Review Sharing have proven to be more effective in generating reviews than the Early Reviewer Program.”

So where do you go from here?

Sellers can still ask customers to leave a review through the Buyer-Seller Messaging tool. But make sure you’re compliant with last year’s messaging updates.

Returns Policy Updates, Clarified

Just days after announcing its new Free Replacements Program, Amazon had to clear up some issues because saying that it was not well-received is an understatement.

The announcement was flooded with comments and questions within hours that Amazon had to issue a clarification.

Under this program, starting April 15, buyers from MFN and SFP sellers are given the option to choose either a refund or replacement if they receive products that are damaged, defective, or different from what they ordered. If they opt for a replacement, they can send back the item using a prepaid return label if they do so within seven days from purchase.

When a customer returns a product, the label will be scanned and the seller will be notified to send a replacement. Sellers are concerned that it will allow buyers to get away with sending empty boxes or boxes filled with rocks when returning allegedly damaged or incorrect items. 

They won’t see the returned products first before sending a new product which makes for a rather unpleasant unboxing experience when the return is finally received.

In addition, if sellers have the exact item in stock and in the same condition as the original order but for some reason refuse to send a replacement, they can cancel it. However, doing so will affect their cancellation rate.

This is yet another effect of Amazon’s efforts to be the most customer-centric company in the world. Buyers should be kept happy even if sellers have to pay the price.

Workers Playing Inside Amazon

Let’s take a break from seller sufferings and look at how Amazon is treating its workers.

If the planned unionization in their Alabama warehouse becomes successful, it may encourage other workers to do the same. To put it lightly, Amazon is not in favor of the move. 

And perhaps in an attempt to keep their overworked employees from getting bored (and start thinking about creating a union), Amazon thought it would be nice to use a child-appropriate approach: games.

And just like most games children play, there’s no cash reward involved.

The company has been using gamification since 2019. Through this method, Amazon allows its workers to earn fake currency that enables them to buy small items such as shirts. Now, it will expand this move to more Fulfillment Centers.

The optional “games” are based on workers’ tasks and may increase productivity, but there are concerns about its safety. Since employees who participate tend to move faster to complete goals, this may lead to injuries.

Politics and Commerce in China

After delivering a 20-minute speech that earned the ire of the Chinese government, Alibaba Founder Jack Ma wasn’t seen in public for months. After he resurfaced, China is now taking efforts to tame him and his tech company.

Recently, the government asked Alibaba to dispose of its media assets. Political experts say this is due to the growing concern over their influence on public opinion. China is laying plans to prevent Alibaba and Ma from growing too big for comfort.

Jack Ma is rich and influential. But how will he fare against his own communist state?

On a Lighter Note

Over the past year, we’ve spent more time inside our homes. We saw people lose their jobs and businesses while students attended school through their laptops. The pandemic has taught us we don’t need much to be happy.

If you still have your health and your family, you’re blessed beyond measure. Whether your business has grown or experienced a setback last year, you have plenty to look forward to in 2021.

And if you’re in need of mentors and a support system, EcomCrew Premium is here for you.