Season 1, Episode 63

Don’t Give Amazon More Money than you Need to

Are you spending more money on Amazon than you need to? In this episode Chris and Leah talk to Yoni from Getida about how to check if your seller account is being overcharged, what to do if you are overpaying Amazon fees and how to get that money back.

Show Notes

Transcript

[00:00:07] Chris: Hey everybody, welcome back to Seller Performance Solutions. I’m Chris McCabe, along with Leah McHugh of ecommerceChris and we’re here today with Yoni of Getida, the reimbursement specialists, the experts in this for how many years now? Several– five to six years. I’m gonna say?

[00:00:24] Yoni: 
About seven years, yeah.

[00:00:25] Chris: Seven years based outta New Jersey. It’s great to have you back. And you’ve been a guest on this podcast before. It’s a great time to talk about– just with what’s going on in the economy– it’s a great time to talk about getting money back that you might not have known was there for you to get from Amazon, but we’re gonna kick it off by talking about how some people are overcharged by Amazon and either don’t research it or investigate it properly. Or they fail to get refunded. I thought we could start with that since that’s been a hot topic lately.

[00:00:56] Yoni: 
Sounds good. Sounds good. So, this is the question I gotta bake it or you wanna wanna add in any other ingredients to the question?

[00:01:03] Chris: I wanna know, I wanna know, because we’ve been hearing from people who have claimed that they’ve been overcharged by Amazon. I want to know kind of the top one or two tips for getting started to resolve it. beyond that, if they get stuck, how you recommend that they get unstuck and if they get ignored, how do they get amazon’s attention back for this particular kind of problem.

[00:01:24] Leah: And then I’m gonna add, how do you not get overcharged in the first place?

[00:01:27] Yoni: Yeah. Okay. That’s a lot of ingredients are good. Let’s let’s talk.

[00:01:30] Leah: 
You got 10 minutes.

[00:01:31] Chris: You got five minutes of response time and we’re gonna be quiet. Because we know you’re a very knowledgeable man on this topic and we want to hear what you have to say.

[00:01:39] Yoni: Okay. So appreciate that. So yeah, lemme try to unpackage this a little bit. So before we enter the framework, right? So when you use Amazon’s fulfillment centers, they’re gonna charge you fees, fulfillment fees. So every time they pick a unit from the bin, they’re gonna package in a box, and they’re gonna ship it out. They’re gonna charge you a fee. And they also, when they stored your product in your inventory in the warehouses, they’re gonna charge you a fee as well. Both of these fees are determined by the weight and dimension of the product. So the larger and heavier Amazon thinks your product is, based on the data that’s available, that’s when they’re gonna start overcharging you. So everybody has to kind of start with the basic elements to understand what’s going on. And now that we have that cleared out, the best practice to see what’s going on is audit your account. I’m gonna try to explain to you as much as I can, how to audit it, but if it’s too much of a complication, too many headaches. Don’t worry– there’s solutions out there that can help, Getida, we happen to be one of them. We’ll be happy to help, but there’s a lot of good solutions out there. So here it is. So all you gotta do is something very basic. You download your payment report.

Basically all the transactions that Amazon basically charged you with all the fees effectively charges you. It’s not like what they’re gonna charge you in the future, what they already did in the past. You have a window of 90 days to look back, to see if they overcharge you, cuz if they did overcharge you, are you gonna be able to mathematically find what the overcharge was and get a refund for that over reimbursement for that.

So that’s the first file you need. Okay. So that’s the payment report. You found all the transactions in the past 90 days with all the fees. That’s good. And then what you want to do, go to sell essential, reports, fulfillment, fee preview– and in the fee preview you’re gonna see all the data that Amazon has per ASIN, per SKU, that you have and what they think the weight and dimensions are.

And based on those weight and dimensions, they charge you on the other report. These are two reports that you need. And the third report is your report. You the private label seller, or even the reseller, you need to know what the weight and dimension of each ASIN is or are. And once you have that in the report, you just cross reference and then you see all of a sudden there’s a Delta,

There’s a gap Amazon thinks for this station, instead of being three ounces, it’s 30 ounces instead of being six inches, it’s 60 inches, you know, sometimes zero can be the typo.

[00:03:35] Chris: 
Typo. Yeah.

[00:03:36] Yoni: Yeah, boom. They’re gonna basically overcharge you a lot of fees. So for example, if they’re supposed to charge you $3 per unit, every time they fulfill the order, but instead of that, they have wrong data so they’re charging you $10 per unit. So they’re gonna financially charge you $7 per unit, you sold 10,000 units, that’s $70,000.

So that’s kind of the framework. And that’s how you run the audit. And of course, if you see there’s a difference that is not in your favor, you need to open a case and accomplish two things.

The first thing, update the data. So going forward to stop the bleeding, the overcharges, and of course, backup 90 days, see what they overcharged you and get those refunds and reimbursements. And that’s kind of the mission. Now ask for your question. I think you follow up that you had, Chris.

[00:04:11] Chris: Yep.

[00:04:12] Yoni: If they ignore you or they reject it, get stuck, they reject it. Anything less than getting your money.

So if that happens and there’s a struggle, you can prepare more evidence for them. For example, they say, oh, we run a binge check and we did remeasurement and we stand by our data.

So another option that you have, once again, be always polite. Always be professional don’t take this personal, this is just mathematics. Okay. So their calculations there’s either still a gap, what you can do, an additional thing, is it basically showed them evidence. And how do you show them evidence? You take pictures of your product with the tape measure.

So it clearly shows the dimension and also another picture of your product on a scale. So they can see the weight and dimensions and you send it over to them– see, tell them this is what’s going on, please remeasure again, or, or do it correctly, whatever it is. And they might recalculate it or take your evidence as a complete truth.

And basically they give you that refund or in the recovery. So that’s, that’s available to you.

[00:05:03] Chris: Yeah, I don’t mean to laugh. Like it’s not a serious topic, obviously there’s a lot of money at stake, I laugh because it’s kind of sad that they force you to spend time showing pictures of you measuring something when they could have measured it properly the first time and they just didn’t feel like doing it. So they just said no, because we get that a lot in what we do with reinstatement appeals, where it’s like, ah, I don’t feel like reading this. Oh, but there’s a lot of good info here. Nah, I don’t have time. Or I don’t feel like it.

Or please provide the things that you just provided.

[00:05:31] Yoni: You give the perfect invoice and they tell you they need more data or you sent the same invoice and the other one’s like, oh, that’s enough. And boom, you’re good to go.

[00:05:38] Leah: Right? Yeah.

[00:05:39] Chris:
 Because I imagine you get the same problem we do where people say, I gave them everything. They wanted four times. All they do is say no and they don’t say why, right?

[00:05:47] Yoni: 
That is one of the main struggles is the haziness. You don’t know why? Give me, tell me exactly pin point where the issues I’ll comply. Just, I need to know where it is because there could be 30 variables you’re gonna try to tweak. And then when you tweak them, you tweak stuff that we’re sitting correctly and then you’re tweaking that, you’re tweaking that and it becomes a little off and the stuff you really need to tweak is staying there.

And the whole thing becomes very scrambled. So that’s unfortunately, that’s when you need kind of the assistance and support system that’s out there, that know exactly , how to untangle. Also, you can do process of elimination or you have a good eye to see how Amazon already likes to see things and understand things and the mathematics of things, and then things become much more turnkey.

[00:06:23] Chris: And so to Leah’s question about prevention, I mean, is that just getting organized before? Make sure you don’t submit these tickets or claims prematurely because they’ll be more easily rejected or what else?

[00:06:37] Yoni: Yeah. So first of all, have all your ducks in row, know your data. If you just have a file and you don’t really know that it’s a hundred percent accurate the data and you’re fighting with them, and they really remeasure five times. And once the moment you remeasure yourself, so they’re wrong and sorry they were right then you’re wrong. You might have an issue. So be locked down your data, be very confident with it. So it’s really, really good. Don’t take anything for granted, because you’re dealing with a large body that has a lot of power of decision over the fees and stuff like that.

So, you gotta stay professional with that. Another thing you can consider is that– okay, let’s say they they’re right. And you see these fees are really heavy on your end, they’re taking a toll on your on your margins. Another option that you have is look at Amazon’s fee structures and weight and dimensions chart and if your product is borderline, let’s say it’s 16 inches. But if you go 14 inches down, you’re gonna be charged less fees maybe, work with your factory or your suppliers to kind of remeasure it or reduce the weight and dimensions, if possible or as much as possible.

And then boom, you’re gonna be able to reduce the fees and work with Amazon to say, Hey, you see, I send a new batch in, you can remeasure it. It has a new weight and dimension structure and boom, you reduce it and just have a better business in your hands.

[00:07:44] Leah: Yeah. That’s a really good tip. Do you deal with cases where Amazon has pulled a product into the wrong category? And so then it’s being charged the wrong category fees?

[00:07:53] Yoni: Well, yeah, we don’t see it often and it’s pretty seldom, but we have seen it in the past where Amazon had charged the wrong fees based on the wrong categories.

One example was I believe it was a small and light program. A product was ready and it was registered for that and it was eligible. And then even though all the I and Ts were crossed properly, they were still being charged more fees or charging incorrectly.

So they had a struggle with that. It’s like everything’s supposed to be working, but it’s not. So how do you deal with it? It’s very frustrating. Sometimes you have to kind of escalate to a phone level and team leadership and stuff like that, and really show them that air. Because the moment you open a case to a fresh case, you’re gonna say, oh, make sure this, this, this, this, this, this, this, they’re gonna tell you something.

So you said, I checked all this, this, and they don’t know what to do. Right. So you really have to be able to go up the letter and to show them, Hey, something’s off. Maybe do a reset, or maybe they’ll tell you, delete the whole thing and release it again. Maybe just a system bugger error. So we have all these other options to solve it.

But we have seen it in the past. Yeah. It’s not so simple.

[00:08:46] Chris: Yeah.

[00:08:47] Leah: 
Yeah. I’ll have to remember that because we do have cases where people’s listings are suspended because Amazon has moved it into the wrong category. So I need to remember next time I get them reinstated to send them for you for money afterwards.

[00:08:57] Yoni: 
Yep. I mean, I’ll be happy to help.

[00:08:59] Chris: And on that note, riding the coattails of that comment, you know a lot about this entire material, you’ve been doing it for years. We’re detecting that lots of other agencies, companies, service providers are coming out saying they can reclaim funds and lost money from Amazon for people you’ve been doing it a lot longer than they have. If you had to say what Getida’s all about and how you guys are better at this stuff than everybody else?

[00:09:26] Yoni: Got it. So I’ll start with saying that everybody out there that’s doing work much love, much respect, it’s all good, we don’t have an issue with that. What’s really special with us is that we’re very customizable. So whether you have your own team or another provider working on your stuff and you wanna keep him, you like him, it’s okay, you can keep him. What we’re able to do is whatever they’re leaving behind, we’re gonna be able to detect and capture and put it back in your pocket and only we’re successful doing it only then we’re gonna get rewarded because just like that, it’s free to join and it’s free to stay. We only charge a fee based on performance, right?

We charge a 25% fee. So you’re always gonna be able to see the gap, the Delta, we don’t really have to say we’re the best or anything we can just mathematically just, you know, prove it to you. And the proof will be in the pudding. So anybody at any time at any day can come to us, we’ll give ’em a free audit, a free report.

We’re telling you we can recover 5,000, 50,000, 500,000. And based on data, sellers can make an educated decision saying, oh, would you like us to get through that Delta that money that’s owed to you? Typically they say, yes, money is pretty useful. It can be used from things to help people in their businesses and grow the business.

So that is definitely was something I can pinpoint. Beyond that. Just a few more things high level is that, first of all, we’re an authorized solution by Amazon so if you visit Amazon seller central, there’s an app store, we’re authorized. So what does that mean? It means that we have a commitment to you, the sellers, but also to Amazon to make sure that we’re terms of service, compliant, data security, private policy,

if somebody, somewhere in a basement is telling you let me do everything for you. I’ll do this for you, this for you, but also auditing it and, and repricing and, and reimbursements, all that stuff for you. But they’re not really in the app store. They say, oh I’ll do it for free or almost free.

You know, maybe you should kind of rethink, because Amazon has created a whole platform called the app store and the service provider network so you can make an educated decision. See who’s committed to Amazon standards and rules and TOS in terms of service. So that’s another differentiation I can go on and on, but I’ll give you Hightlights.

[00:11:11] Chris: No, that’s great.

[00:11:12] Leah: We have a previous episode where we talk about being careful who you give account access to, so we’ll just link that in the show notes.

[00:11:18] Yoni: There you go.

[00:11:18] Chris: We do that too. We do that too. No, I mean, we’ve referred lots of people your way, , but what’s the best way to get an assessment by Getida?

And what’s the best way to reach you with questions about anything they talk about on the podcast or really anywhere that you’ve posted

[00:11:34] Yoni: You got it. So you can always visit getida.com/ecommercechris– if you do that, we’re gonna prepare a $400 offer for you. So basically not only it’s free to join, the first 400 bucks we’re gonna get for you will be free. We’re not gonna charge you a penny, this way you can really try us out and after $400, if you wanna leave us, you can leave. If you wanna stay, you can stay whatever you want, it’s fine. So you can use that, but you can also use my direct email–

it’s Yoni M which is yonim@getida.Com. That’s my direct email. I’m also pretty active with social media. You can follow me on Facebook or LinkedIn. It’s Yoni Mazor– so that’s it. Hopefully this is helpful.

[00:12:08] Chris: Yeah, you can be there reimbursement reclaimed funds mama– that’s what I got from

that.

[00:12:13] Yoni: I’ll be happy. Yeah. Why not?

[00:12:16] Chris: Nice. Well, thanks again for joining us today, Yoni. Again, we’ve been partners with Getida for many years. Any questions about reimbursement and reclaiming these funds definitely go to Yoni for this because they’ve got a long track record and a lot of experience and a lot of knowledge. So thanks again for helping us today.

[00:12:35] Yoni: Thank you guys.

[00:12:36] Leah: Thanks Yoni. 

Hosts & Guests

Chris McCabe

Leah McHugh

Yoni Mazor

 Resources

Getida.com

yonim@getida.com

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