“Time is a brisk wind, for each hour it brings something new.” – Paracelsus
In today’s fast-paced e-commerce world, ensuring quick and reliable deliveries is key to maintaining customer satisfaction and loyalty. Amazon, as the leading online marketplace, constantly updates its policies and tools to help sellers meet these demands. On October 25, 2024, Amazon will implement significant changes to handling and transit time settings for orders shipped to the US, aiming to enhance delivery accuracy and efficiency.
In this blog, we’ll break down these changes, explain their implications, and provide actionable insights to help you adapt smoothly.
Understanding the Basics: Handling Time and Transit Time
Before diving into the upcoming changes, let’s clarify the key terms:
- Handling Time: This is the time it takes for a seller to process an order and hand it over to the carrier. Handling time starts the moment a customer places an order and ends when the order is shipped.
- Transit Time: This refers to the duration it takes for a package to travel from the warehouse to the customer’s doorstep. Transit time begins after the carrier receives the package and ends when it is delivered.
Both handling time and transit time play a crucial role in determining the promised delivery date shown to customers at checkout.
Key Changes to Transit Time Settings
Starting October 25, 2024, Amazon will introduce new transit time settings for shipments from China to the continental US. Here’s what you need to know:
- More Transit Time Options: Sellers will have a broader range of transit time options to choose from, varying between 2-4 days to 14-20 days. This allows for greater flexibility in matching the actual shipping capabilities with customer expectations.
- Reduced Maximum Transit Time: The maximum transit time will be reduced from 28 days to 20 days. If you currently have a manually set transit time of 14-28 days, it will automatically be adjusted to 14-20 days.
These changes are designed to provide customers with more accurate delivery date predictions, enhancing their shopping experience.
Introduction to Automated Handling Time
Amazon is also rolling out Automated Handling Time, a new feature that aims to improve the accuracy of handling times for SKUs sold on Amazon.com and shipped from warehouses outside the US. Here’s how it works:
- Dynamic Adjustment: Automated Handling Time calculates a handling time for each SKU based on historical data—specifically, how long it typically takes you to process and hand over orders to carriers. This automated setting ensures that the handling time is as accurate as possible, reducing discrepancies and improving delivery accuracy.
- Handling Time Gap: If there’s a significant gap between your manually configured handling time and the actual handling time (two or more days slower), Amazon will automatically enable Automated Handling Time. In such cases, you won’t have the option to disable it, ensuring consistency and reliability in delivery promises.
- Manual Overrides for Certain SKUs: Sellers can request manual handling time overrides for custom-made, media, and heavy or bulky SKUs. However, exempted SKUs won’t receive on-time delivery rate (OTDR) protection from late deliveries, so consider this carefully.
Automated Handling Time and Prime Orders
For sellers offering Prime shipping, Amazon has provided specific guidelines:
- One-Day or Two-Day Delivery: Prime orders with these delivery options will continue to default to a same-day handling time, ensuring that customers receive their products quickly.
- Standard Delivery: Prime orders with standard delivery will have a default one-day handling time unless you’ve configured a same-day default handling time for your account.
This ensures that Prime customers continue to enjoy the fast and reliable service they expect, maintaining the high standards associated with Amazon Prime.
Why These Changes Matter
These updates are crucial for several reasons:
- Enhanced Delivery Accuracy: By reducing the maximum transit time and introducing more options, Amazon is improving the precision of its delivery promises. This means happier customers who are more likely to return.
- Better Account Health: Automated Handling Time helps protect sellers from negative account health metrics related to late shipments. With this feature enabled, your late shipment rate is protected, allowing you to maintain a good standing on Amazon.
- Increased Flexibility: The ability to request manual overrides for specific SKUs ensures that sellers with unique products or shipping needs can still maintain control over their handling times.
Action Steps for Sellers
As these changes take effect, here’s what you should do:
- Review Your Shipping Templates: Ensure that your transit times align with the new settings and update your shipping templates accordingly.
- Monitor Handling Times: Keep an eye on your handling times and adjust them if necessary to avoid the handling time gap that triggers automated settings.
- Evaluate Your SKUs: Identify any SKUs that may require manual handling time overrides and submit your requests before the October 25 deadline.
- Stay Informed: Keep up with Amazon’s updates on Seller Central to ensure you’re always aware of any changes that could impact your business.
By staying proactive and adjusting to these changes, you can continue to offer your customers the fast and reliable service they expect, ensuring your success on Amazon’s platform.
With these insights, you’re now equipped to navigate the upcoming changes to handling and transit times on Amazon. Stay tuned to IERARE for more updates and expert tips on optimizing your Amazon selling strategy.