Amazon: The Arbitrage Game Changer

"MY fort!"

Change is coming to Amazon (again). Maybe not today. Maybe not tomorrow. The word on the “street” (or should that be banks of the river?) though is that sometime soon the change is coming.

What change you ask? Well, a couple of weeks ago it kind of started slipping out that Amazon is no longer going to accept receipts of purchases for proof of anything. The emphasis here is on anything because this is not new. Amazon has slowly, but surely been refusing receipts from purchases made at retailers, even refusing to accept receipts for places like Coach and Nike.

Although most sellers have been seeing the “writing on the wall” for quite some time now, the surprise came a couple of weeks ago when the rumors started swirling that the new policy would happen sooner than later and most likely, in October. This would mean that sellers who have already been feeding the Amazon FBA beast in an effort to get ready for the holidays would most likely be up the creek, or rather, river — without a paddle.

Still, it’s important to realize that on the official side of things, Amazon states that they have no immediate plans to change how they are accepting receipts. It’s hard to speculate on when it will happen, but sellers are hopeful that the company will at least wait until after the holiday season before putting it into place.

Why the big change? Really, it’s all about keeping the customer happy. Although you go out and buy items new from retail places to resell, Amazon sees them as actually being used. They have realized that a good deal of the complaints the company receives from buyers are actually coming from arbitrage sellers. Unfortunately, quite a few sellers send in items that are dirty, missing pieces, or have other problems. Since the buyer is expecting new, as promised, they are returning the items and making complaints.

Where this will all ultimately lead remains to be seen, but it’s a fair bet that if arbitrage shuts down at Amazon, sellers will shift back over to eBay to sell these kind of items. Buyers will then have to follow as well, since the marketplace will become the place for discontinued and new items that can only be found in retail stores.

Will a new receipt policy affect your Amazon FBA business? Leave a comment below.

Leave a Reply

Your email address will not be published. Required fields are marked *