Overview

Starting January 29 2026, Amazon will let buyers of Fulfillment by Amazon (FBA) orders choose a free replacement instead of a refund when they initiate a return. The option applies only to returns caused by defects, shipping damage, or incorrect items, and it appears only if the same ASIN is still stocked in the seller’s FBA inventory. Sellers should care because the change can curb the double‑fee exposure that occurs when a customer refunds a purchase and then reorders the same product.

Key Points

• Replacement choice at checkout — When a buyer starts an FBA return, the portal now displays “Refund” and “Free Replacement” as mutually exclusive options.
• Limited to non‑remorse returns — The replacement button is hidden for “I changed my mind” returns; those continue to trigger a standard refund.
• No extra fulfillment cost — Amazon ships the replacement from the seller’s existing FBA stock without charging additional fulfillment or shipping fees, and the original transaction’s fees stay unchanged.
• Identical ASIN requirement — The replacement button appears only if the exact same ASIN is available in the seller’s FBA inventory at the time of the return request.
• Inventory draws like a normal sale — Each replacement reduces the seller’s on‑hand inventory just as a regular order would, but it does not generate a new revenue line.
• Potential rating safeguard — Faster, hassle‑free replacements can keep dissatisfied buyers from leaving negative reviews that would otherwise hurt product rankings.

How the Replacement Process Works

1. Customer selects “Free Replacement” — A shopper who receives a damaged or wrong item clicks the replacement option on the return page; for example, a buyer who ordered a size‑M shirt that arrived with a torn seam chooses the replacement path instead of a refund.
2. Return of the original unit — Amazon still requires the customer to ship the defective or incorrect product back to the fulfillment center, using the same prepaid label that would be provided for a refund. In our shirt example, the buyer drops the torn shirt at a UPS location and the package is tracked back to the Amazon warehouse.