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Amazon Sellers Face Damaged Inventory and Cash Flow Challenges in Europe

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Amazon sellers in Europe are experiencing some major challenges as the holiday shopping season ramps up. UK newspaper the Sun reports a fire broke out at an Amazon fulfillment center in Rugeley on November 4th in what is suspected to be a case of arson. It noted the same warehouse was torched in a suspected arson attack a year ago.

Amazon FBA sellers with inventory stored at the warehouse were impacted. One reported receiving the following notice: “Following an operational incident in one of our Fulfilment Centers, some of your items may have been damaged. While we work to confirm the condition of all the items affected, some of them will be in reserved condition. Once they have been reviewed they will either become available to customers again or will be reimbursed as per the standard.”

Another seller said he had had 121 units go into reserve due to the fire, all popular items. “Cash flow going to stuffer replacing this whilst they sort it out & then probably have to wait for refund money.”

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Speaking of cash flow, sellers in Europe have also been experiencing problems with disbursements since late October. This 64-page thread (and counting) documents the problem for UK sellers with Amazon’s responses. But as Fortune noted, the problem impacts sellers in other European countries as well.

These problem come as sellers had already complained of delays getting inventory into Amazon UK warehouses. Sadly, it’s a problem that frequently occurs in the weeks leading up to Christmas as fulfillment centers burst at the seams.

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Ina Steiner

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. Send news tips to ina@ecommercebytes.com.


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