Lost Warehouse

3 min. readlast update: 01.17.2024

Summary

Lost in the warehouse is a type of audit that looks for the Seller's inventory that has been reported as lost in the warehouse. Occasionally Amazon will sideline products for review, stow items in incorrect bins, or receive inventory incorrectly. While performing a recount at the fulfillment center, Amazon will realize that the actual number of units on hand does not match the virtual inventory accounted for in the Seller Central account. Units are then marked as lost in the Seller Central account and can then be subject to a claim. 

What is Lost Warehouse:

Sellers' inventory is constantly moving through Amazon’s fulfillment network. From receiving warehouses to sort centers, to fulfillment centers, as inventory moves from place to place items can get lost in the shuffle. 

Items are originally received and counted when they first arrive at an Amazon facility. The number of units is recorded into a database and this accounts for the Sellers 'Virtual Inventory” which is the same item quantity a Seller will find within their Seller Central account. Then, as Amazon moves items in the warehouse to be stored in bins, or transfers inventory to other warehouses where the product can be closer to the customer, items get lost. They can either get shipped to an incorrect facility, stored away in an incorrect bin at a warehouse, or possibly fall out of a cart when getting transferred around a facility. Once a shipment of products arrives at it’s final Amazon destination, the products are counts again to ensure the inventory is still accounted for. The updated numbers are once again plugged into Amazons database, and if there are any discrepancies in the count, Amazon will flag any of the missing units as ‘lost’.   

Benefits of Getida Lost Warehouse Claim:

  • We review inventory reports and submit claims for our clients which allows them to focus more on their business.
  • Historical inventory reports are reviewed, and we retroactively submit claims for lost inventory for the trailing 18 months. 

FAQs:

1) My claim was reimbursed with inventory and not a cash reimbursement. Why is this?

A: When a lost Warehouse claim is filed, Amazon will do whatever they can to find the missing unit. If they are able to locate the missing unit that is still in the same condition that you sent it to Amazon in, they will reconcile the claim with the inventory as ‘found’. The item will be returned to a sellable status and made available on the Amazon website for purchase by a customer. 

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