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As an Amazon seller on the US marketplace, you may have wondered: Where do returned items actually go? The answer is, many of them don’t make it back into your sellable inventory. Instead, they often end up on Amazon Warehouse Deals.
This program features a wide range of returned, open-box, and pre-owned products sold at significantly discounted prices. For buyers, it’s an opportunity to save hundreds of dollars on popular items. For sellers, while the impact is mostly indirect, it can still influence pricing, competition, and overall listing performance.
Read on as we explore all there is to know about Amazon Warehouse Deals.
Amazon Warehouse Deals is an extended part of the Amazon marketplace where consumers can shop for products at lower prices. Amazon Warehouse Deals offers products from various product categories, including Home and Kitchen, Electronics and photo, Home improvement, etc.
These items include pre-owned, used, refurbished, and open-box items. Amazon thoroughly tests the condition of the product before putting it up on Amazon Warehouse.
These products will also contain detailed descriptions to help shoppers make a buying decision.
Amazon Prime members also get free shipping on any Warehouse Deal.
Products listed on Amazon Warehouse Deals fall under one of these product types:
Products under this category are products in perfect condition but may have some packaging damage. Typically, these products may have some minor damages but these damages don't affect the working condition of the product.
In most cases, products under this category still have the instruction manual in the box.
Products that fall under this category may have some limited use but still work adequately. It may have some cosmetic imperfections, including scratches, tears, or missing packaging. However, this doesn't affect its operational quality.
Products that fall under this category have been used consistently and may have some wear and tear. The packaging may also come damaged or may have been repackaged. It may also not come with an instruction manual. However, these products remain in good working condition.
An item listed under this category has been used consistently and has worn out fairly, but is still in good working condition. The product may have some scratches or dents and may come with some missing parts. However, these products still function properly.
Items listed under the “Renewed” category are pre-owned products that have been evaluated to work and look as good as new. These items are evaluated by Amazon-qualified suppliers. This could be a vendor, Amazon staff, or seller.
Items under this category come with a warranty, have minimal signs of wear and tear, and have no visible imperfections when viewed 12 inches away.
These items come with a 90-day warranty, which means consumers can send the product back within 90 days of purchase if it doesn't function as expected.
Open box products are products returned for certain reasons, but not because they were damaged. For example, a product could be termed Open Box because a customer decided to go for a different color. Open-box items could also be floor models used to display the product to buyers.
Open-box products are tested and evaluated to ensure they work like the new version.
Before purchasing an open-box product, here are some things you need to consider:
Before selling open-box products to consumers, Amazon carefully evaluates the product to ensure it is in good working condition.
The process is quite straightforward. First, Amazon receives products from the seller.
Next, qualified Amazon representatives check if the product is in working condition and then test and evaluate the product to grade its quality. Lastly, these products are up for the Amazon Warehouse sale.
As a buyer, you can get some of the best Amazon Warehouse Deals at very affordable prices. To find Amazon Warehouse Deals, simply go to the retailer's page and click on the drop-down arrow on the left of the search box. Next, click on Amazon Warehouse to go through various product categories. You can type in the keyword of the product and also go through the price and condition report, which shows you the category of used or renewed.
Once you select a product, you can add it to your cart and complete your buying process.
Some products may qualify for Prime or free shipping.
If the item purchased does not function as expected, you can return it within 30 days according to Amazon's warehouse return policy.
As an Amazon seller, you won't be able to list items on Amazon Warehouse. Your products can only end up on Amazon Warehouse Deals in two major ways:
Dealing with returned or damaged products can be quite a headache. Amazon Warehouse Deals is one way to deal with the costs through reimbursements.
The great thing about Amazon Warehouse Deals is that you can return products if they don't work as expected. Amazon Warehouse return policy explains that:
If your inventory is lost or damaged at Amazon fulfillment centers or during delivery to customers, Amazon will do one of the following:
To determine the replacement value of the lost or damaged item, Amazon considers your sales history, the sales history of the specific ASIN, and the average selling price of the item.
If you get a replacement value and wish to reevaluate, Amazon will request more information, such as a receipt or invoice.
Also, note that the replacement value for any product will not exceed $5000. Amazon recommends that sellers get third-party insurance for products valued at over $5000.
Amazon Warehouse Deals can't win the Buy Box. Buyers who want to purchase products from Amazon Warehouse Deals have to click on the “Available from these sellers” link on the seller's product listing.
Amazon Warehouse Deals may be great for buyers. However, for Amazon sellers, it may be a concern.
If a customer is not satisfied with your product, they may leave a negative review on your listing, which can ultimately affect your brand.
Also, while Amazon may reimburse you for damaged or lost products, you may not make the best possible profit. So, is there a way to avoid Amazon Warehouse Deals?
Unfortunately, there is no way to stop Amazon from reselling your product through Amazon Warehouse Deals. However, you can reduce the number of items that end up on Amazon Warehouse by disabling refurbishments on your Amazon Seller Account.
Amazon enables refurbishments by default, so you will need to disable them manually. Here's how:
Amazon Warehouse Deals can offer tremendous benefits for buyers. Buyers can save money by buying used, discounted items that are still in good working condition.
Amazon sellers can also reduce losses that come with removing inventory. With Amazon Warehouse Deals, sellers can dispose of the products and get reimbursed.
If you’re looking to understand how this system works and how to navigate it effectively, you can work with experts at ePlaybooks, who can help you get started with practical strategies and insights tailored for you.
Amazon warehouse deals can impact FBA sellers by introducing discounted, used, or returned versions of products directly on the same listing. Since these items are sold by Amazon at lower prices, they can undercut your pricing, reduce your sales volume, or increase competition on your listing. This is especially noticeable for products with high return rates.
Yes, they can. Amazon warehouse deals listings sometimes compete for the Buy Box, especially when price is a major factor. Because Amazon often prices these items aggressively, sellers may lose the Buy Box temporarily or experience reduced visibility and conversions. A Warehouse Deal at 30% off can make an FBA seller's new-condition price look uncompetitive, pushing the Buy Box to Amazon's listing or forcing the FBA seller to lower their price.
Amazon warehouse deals focus on used, returned, or open-box items, sold at discounted prices, and are not refurbished or repaired. On the other hand, Amazon Renewed focuses on professionally refurbished products that must meet strict quality standards. It often includes a warranty (e.g., Amazon Renewed Guarantee) and requires sellers to apply and meet eligibility criteria.
Amazon warehouse deals don’t directly hurt your account health, but they can indirectly create problems if you’re not careful. For example, since Amazon often sells returned items at lower prices, you may lose the Buy Box, and sales velocity may drop. Lower sales can sometimes affect your inventory performance metrics (like sell-through rate)
You’ve probably already considered selling on Amazon but its way easier than you think.
Call Us Now