Understanding and Reducing Reseller Chargebacks

Posted by Jeanna Courter on Apr 29, 2016 4:56:49 PM

Written by: Cory Raphaelson, Vendor Compliance Specialist at PBD Worldwide

Chargebacks are financial penalties for non-compliance with retailer’s shipping requirements. Chargebacks can be for something as simple as a carton not being labeled correctly, not being packed according to retailer specifications or sending a late or duplicate Advanced Shipping Notices (ASNs).

Did you know that there is a metric for chargebacks?  Resellers are looking for chargebacks to be 2-3% of sales from a supplier.  The premise is that chargebacks are designed to improve the supply chain process.  The efficiency gained is supposed to create a shared savings to both the supplier and the reseller which ultimately reduces the consumers cost.  So, how does your company reduce their number of reseller chargebacks? Here are some key points to keep in mind.

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Topics: order fulfillment, Advanced Shipping Notice, ASN, ecommerce order fulfillment, reseller chargebacks, online marketplaces, vendor compliance

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