
Amazon is encouraging its Marketplace sellers to opt into a program it calls "Charge When Ship" requiring sellers to confirm shipment before buyers pay for purchases.
In an
announcement, Amazon is encouraging sellers to opt into the program now. According to Amazon's list of
Frequently Asked Questions, the program becomes mandatory sometime this summer. No date was given.
In Charge When Ship, if the seller doesn't confirm an order's shipment within two business days, Amazon automatically sends "late shipment" e-mail notifications to the seller and the buyer. Then, if the seller doesn't confirm shipment within 30 days, the order is automatically cancelled, and the buyer is refunded.
When sellers confirm a shipment, they'll be able to indicate the shipping service and tracking or delivery-confirmation number -- although tracking numbers aren't mandatory. Pro-Merchants will be able to
upload a text file to confirm multiple shipments at the same time.
My take on the program: Overall, it should be positive because it provides buyers with an experience more consistent with orders filled by Amazon. For example, I currently receive e-mails from buyers who are confused that they can't look up the shipping status or tracking number through Amazon's Web site, even though I provide this information in a shipment-confirmation e-mail. Presumably, "Charge When Ship" allows buyers to view the shipment status in the same way they view orders fulfilled by Amazon -- and if that's true, it should result in fewer inquiries from buyers regarding shipping status.
For sellers who aren't already signed up for the program, my personal advice would be to wait a few weeks. This will allow Amazon to work out any possible kinks in the program, and for third-party software providers to transition to begun supporting the program.
One remaining concern I've seen on Amazon's seller boards: What happens if a buyer's credit card is declined after the seller ships? Amazon doesn't really address this in the FAQ. Hopefully, a pre-authorization is obtained at the time of the order, confirming that the funds are available, and the card number and expiration date are in order.
Another observation: Charge When Ship puts additional pressure on drop-shippers, because the FAQ further emphasizes that sellers shouldn't list items they are unable to ship within two business days.
Labels: Amazon Marketplace