Hello fellow sellers and Amazon representatives,
I'm sharing a story today that I never thought I'd have to tell, one of a business built over a decade on Amazon, now facing imminent collapse. I'm hoping to find some guidance, support, or reach someone who can truly help.
Since 2014, my companies have been dedicated Amazon professional sellers. We've weathered the ups and downs, always striving to grow and innovate. In 2022, we made a significant investment of over £500,000 to expand our warehouse and launch two new brands, leaning heavily on Seller Fulfilled Prime (SFP) to deliver top-tier service.
However, 2023 brought a series of devastating blows:
Unreliable Amazon Shipping & Delivery Promises
Despite paying for next-day delivery through Amazon Shipping, our buyers consistently saw padded delivery dates, often delayed by 3 to 4 days. This directly impacted our customer experience and led to a sharp decline in sales. It's incredibly frustrating when you're paying for a premium service that simply isn't being delivered.
Unresolved Financial Discrepancies
In 2023, our accountant discovered significant discrepancies in our Amazon monthly statements. We tried to get this resolved, contacting seller support at over 20 different touchpoints, but we received no meaningful response or resolution. This unresolved financial issue became another drag on our business's health.
Costly Support, Declining Sales
In a desperate attempt to turn things around, we invested heavily in Amazon's support services. We hired an Amazon Strategic Account Manager, which cost us $18,978, and further invested in Amazon advertising managers. Despite these substantial expenditures and immense pressure, our sales continued their downward spiral.
The Final Blows: Shipping Suspension & Revenue Hold
The situation became critical last month. A delay in clearing an Amazon Shipping invoice for one of our companies led to the immediate suspension of collection services by Amazon Shipping. As we had relied solely on Amazon Logistics, we were left with no shipping alternative, forcing us to make the heartbreaking decision to close that store.
In a frantic effort to recover, we focused all our resources on our second company, pushing sales to generate revenue and clear the outstanding invoice for its sister company. We managed to clear over half of the amount due when, without warning or explanation, Amazon placed a total hold on our revenue.
Business on the Brink
This complete freeze on our earnings was the final shot. With no access to our funds, we couldn't clear outstanding advertising invoices, which only accelerated our decline. Our sales have plummeted by 40%. Despite countless attempts to contact and explain our desperate situation, we've been met with what feels like rigid, uncommunicative decisions.
In just two months, a multi-million-pound business is now on the verge of collapse. We're facing the imminent inability to afford our warehouse rent, and a team of 10 dedicated staff members are at risk of losing their livelihoods.
I'm sharing this in the hope that someone out there has experienced similar issues and found a way to resolve them, or that this message might reach someone at Amazon who can genuinely help. Has anyone faced such drastic actions from Amazon Logistics or unexpected revenue holds without clear communication? Any advice or insights would be greatly appreciated.
Thank you for taking the time to read our story.
