You should create a removal order to withdraw some or all of your product inventory stored in Amazon fulfillment centers if you want to:
- Stop selling a product.
- Replace your units with an improved version of the product.
- Sell your product as fulfilled by merchant (FBM) instead of fulfilled by Amazon (FBA).
- Reduce your storage fees or long-term storage fees.
- Improve your inventory performance index (IPI) score by reducing the number of unsold units in fulfillment centers.
- Remove unfulfillable units sitting in fulfillment centers in order to avoid long-term storage fees and damage to your account health.
Today, I will show you how to create an Amazon FBA removal order in 11 simple steps.
1. Go to Amazon Seller Central.
2. Click on the three horizontal bars on the top left.
3. Under Inventory, click Manage FBA Inventory.
4. For the listing you want to remove inventory from, click the dropdown arrow next to Edit.
5. Click Create removal order.
6. Choose your method of removal.
Choose Liquidations if you want Amazon to sell your inventory to wholesale liquidators. Amazon will charge you for this service. Typically, you will receive 5-10% of the sale price for each unit you liquidate.
If you’re confident that your units are unfixable, and you don’t need to investigate why or how your units got damaged, then choosing to have your units liquidated is best for salvaging at least a bit of cash from the situation.
Choose Return-to Address if you want Amazon to send your inventory to you or your team.
This option makes the most sense if you’re not confident that your units are really damaged or if you need to investigate what went wrong with a faulty product. For example, if a shopper says that your neck massager doesn’t turn on and returns it to Amazon, you can get that unit sent to you. That unit might actually work, and then you can send it back to Amazon and make a profit on it.
Choose Dispose if you want Amazon to completely get rid of your unit(s).
If you’re confident that your units are unfixable, you don’t need to investigate why or how your units got damaged, and you don’t want to try liquidating your units, then choose to dispose of your units. Sometimes Amazon will donate units marked for disposal to non-profit organizations unless you opt out of Amazon’s donation program.
7. If choosing Return-to Address, ensure the return address is correct.
8. Choose the number of fulfillable units you wish to remove.
9. Choose the number of unfulfillable units you wish to remove.
10. Click Review.
11. Click Confirm.
And that’s it!
By the way, you can 100% automate the removal order process if you follow the steps we teach in our Amazon FBA Mastery membership. It's everything you need to know and more about starting and running a successful Amazon store.