Notice for vendors, Amazon have updated SIOC chargeback eligibility requirements.

Amazon has announced an update to packaging criteria for vendors. The changes are effective February 1, 2020, with a grace period until August 1, 2020. The changes are being made as part of the ongoing global effort to reduce waste and improve the customer experience. Amazon is reducing the dimensions allowed for packages to qualify for certification as Tier 1 – Frustration-Free Packaging (FFP) or Tier 2 – Ships in Own Container (SIOC). The  new dimensions are 6″ x 4″ x 0.375″. Previously these were  9” x 6” x 0.375”.

Details for new eligibility

According to Amazon: “Any non-sort packaged item that is fulfilled through Amazon’s fulfillment network with any one or more of its dimensions less than 6 inches on its longest side, or less than 4 inches on its median side, or less than 0.375 inches on its shortest side is excluded from the SIOC chargeback.”

Vendors who ship products in a small and thin package (with a longest side <6”, shortest side <0.375” or median side <4”), do not need to do anything at this time.

However, packages exceeding any of these limits that are fulfilled in Amazon’s non-sort network, must be certified as FFP (Tier 1) or SIOC (Tier 2), which was introduced September 3, 2019.

Non-sort packages and sizing requirements

For products that are non-sort, or with dimensions greater than 18 x 14 x 8 dimensions (this means those with at least one side greater than 18″ on its longest side, more than 14″ on its median side, and more than 8″ on its shortest side, or greater than 20 lbs.), new chargebacks apply. Products that remain uncertified will be subject to the $1.99 chargeback per received unit, for any ASIN that exceeds any of the new thresholds starting on August 1, 2020.

Throughout the grace period, Amazon will send notifications of any non-compliance, so vendors have time to fix any issues. Vendors should regularly review your ready-to-ship chargeback portfolio to see which ASINs will be impacted. Visit the Operational Performance dashboard under Ship in Own Container in Vendor Central. Information on the Frustration-Free Packaging requirements can be found here.

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