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March 1, 2019

Amazon Chargeback Increase to No Carton Content Labeling (No CCL) Rates

Amazon has announced an upcoming change to No Carton Content Labeling (No CCL) chargeback rates affecting their vendors. They have not yet released a date for the chargeback rate but have released specific rate change information. Get all the details in this post containing the EDI update information straight from Amazon.

Previously, the No CCL chargeback was $5 per carton, but Amazon will be increasing this chargeback to $15 per carton for vendors that are consistently maintaining a compliance rate of 10% or less.

This means that out of all the cartons that Amazon is receiving, if Amazon is only able to Auto-Receive 10% of your cartons, then for each carton that has labeling issues, they will be increasing the chargeback to $15 per carton.

For vendors that have a compliance rate greater than 10%, the chargeback amount will remain $5 per carton.

A summary of the new No CCL chargeback tiered structure is below:

Tier Compliance Rate Chargeback per Carton

  • ≤ 10% Compliance $15 per carton
  • 11%+ Compliance $5 per carton

Amazon stated that they are constantly seeking ways in which to improve their supply chain while keeping their customers in mind, their goal is to drive label compliance and the importance of affixing functional labels to cartons as it greatly affects the receive process across the Amazon Fulfillment network.

For more information about this chargeback, sign into Amazon Vendor Central, and follow this link:
https://vendorcentral.amazon.com/hz/vendor/members/support/help/node/G201619080

Amazon also released a large EDI update in January 2019 with a March 1st, 2019 implementation date. Learn all the important details in the post below:

Amazon Purchase Order EDI Update – Vendor Action Needed

If you need an EDI solution to ensure full compliance with Amazon and all your trading partners, 1 EDI Source can help find an EDI solution perfect for your unique business!

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