Amazon FBA New Selection Program – Expanded and Updated

Since March 1, 2022, Amazon has started to offer free monthly storage and removals as part of their Amazon FBA New Selection program. 

Furthermore, Amazon increased the number of new qualified ASINs to 500 as part of the latest update. 

In addition, sellers who are new to FBA can qualify to get a discount of $100 on Amazon Partnered Carrier shipping.

Read this article to learn more about the new and improved benefits of Amazon FBA New Selection Program in 2023.

FBA New Selection Program – Details and Benefits

If you want to participate in the new Amazon FBA New Selection program, you need to register for the program.

After enrolling, Amazon determines who qualifies for the fee waivers. This program seems to work well for merchants. So Amazon has expanded and improved the FBA New Selection program this year. 

Here are the benefits you get once you enroll in the program.

Limited to new-to-FBA parent ASINs: Amazon sellers enrolled in the New Selection program can enjoy fee waivers on up to 500 new-to-FBA parent ASINs they create. This limit will be reset on January 1 every year.

Free monthly storage and free removals: Amazon doesn’t charge monthly storage fees for the first 50 units of each new parent ASIN for 90 days once the first unit is received at their fulfillment center. Sellers can remove the first 50 units within 180 days after the first inventory is received with no FBA removal fees.

Free returns for specific categories: The New Selection program also processes free returns for the following five categories:

1. Watches
2. Apparel
3. Jewelry
4. Luggage
5. Shoes, Handbags & Accessories

Amazon will waive return processing fees for up to 50 units of each parent ASIN. The items returned must be received at the Amazon fulfillment center within 120 days. These items returned must be received at a fulfillment center within 120 days of the first inventory-received date.

$100 shipping discount: This applies to new FBA sellers only. Amazon will waive the first $100 shipping charges with the Amazon-partnered shipping program. This is for the new FBA sellers who are enrolled and eligible for the program. However, the ASINs don’t have to be new to avail of this discount.

This makes it further easier for you to sell new products using FBA. Currently, this program is available for merchants selling in geographies including the US, UK, Spain, France, Germany, Japan, and Italy.

Recommended Guide: Selling on Amazon UK

Amazon FBA New Selection Program Updates for 2023

As the New Selection Program was a success, they updated the program for 2023 with improved benefits for eligible sellers. Here are the key updates.

Rebate on sales for new-to-FBA parent ASINs: In March 2023, Amazon increases the rebates on sales from 5% to 10% on average.

• For eligible oversize items, the rebate will apply up to 30 units per parent ASIN for up to 90 days
• For eligible standard-size items, the rebate will apply up to 100 units per parent ASIN for up to 120 days.

The rebate will still be applied to sellers who meet specific criteria. 

Unit and timing eligibility for standard-size products: In March 2023, for all the eligible standard-size products, Amazon provides storage, liquidations, and rebate benefits for up to 100 units per parent ASIN.

Amazon also provides storage and rebate benefits for up to 120 units per parent ASIN.

ASIN eligibility

• Only small standard and large standard-size items are eligible for the program.
• Parents’ ASINs must be new to FBA. These ASINs shouldn’t be previously enrolled in FBA within the past 180 days.
• Used items and ASINs in Media categories are ineligible. This includes Music, Videos, Books, DVDs, Software and Computer/Video games, Video Game Accessories, Video Game Consoles, etc.
• An ASIN must be in one of the Apparel, Jewellery, Shoes, Handbags and Accessories, Luggage, and Watches categories to be eligible for free returns processing.

You can also refer to Amazon’s terms and conditions for more details.

Seller Eligibility

There are a few requirements for sellers to be a part of the New FBA Selection program. 

• You must be a Professional seller. 
• Your IPI score should be 400 or higher. 
• Enrolled Amazon sellers must maintain eligibility status before sending their new-to-FBA ASINs to the fulfillment center. These ASINs will be qualified for the free monthly storage, free removals, and return processing benefits that are part of the program.
• You will be eligible if you are a new Professional seller with no inventory storage limit or yet to be assigned an IPI score. Your eligibility status will be updated daily based on your IPI score.
• Once you enroll and are confirmed as eligible for the program, you will remain eligible until the next April 1 assessment, even if your IPI score changes before that date.
• Enrolled sellers with an IPI score below 400 as of the next April 1 assessment will be removed from the program.
• You should also meet the criteria on the date when Amazon FBA warehouses receive your first new-to-FBA units.

With programs like FBA New Selection Program, Amazon encourages sellers to use the FBA program. Overall, it’s a great feature for sellers to launch their new products, and it’s free! If you maintain the eligibility, you should be able to scale the bottomline of your business.

If you are an Amazon seller trying to drive more traffic and boost sales of your products, you can check out SellerApp’s all-in-one eCommerce platform tailored to scale your Amazon business. You can try out our 7-day free trial.

Additional Resource:

Should You Pick Amazon Dropshipping or FBA

FBA Onsite: The Ultimate Resource For Amazon Sellers

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