The challenge
Deductions nobody questioned
Brands that sell on Amazon typically enter co-op agreements. In exchange for listing their products on the marketplace, these agreements allow Amazon to withdraw funds to cover shared expenses.
01
Marketing
Shared marketing expenses
02
Damages allowances
Covered through co-op deductions
03
Freight costs
Withdrawn under the same agreements
With a strong retailer relationship in place, this home appliances brand never questioned regular co-op deductions. In fact, it was losing profits to invalid deduction payments that had been accumulating for years.
The solution
Visibility, then automated disputes
With CommerceIQ’s Profit Recovery Automation in place, the brand soon gained insight into the cumulative impact of the invalid co-op charges. That gave them the power to automate disputes and recover errant deductions going back years.
Before
With Profit Recovery Automation
Co-op deductions never questioned
A strong retailer relationship meant regular charges went unchallenged
Insight into cumulative impact
Visibility into the invalid co-op charges
Invalid payments accumulating
Profits lost to errant deductions for years
Automated disputes
Errant deductions recovered, going back years
The results
$1.2MM in profits reclaimed
The brand recovered $1.2MM in Amazon profits from invalid co-op deductions, charges that had gone unquestioned for years.
Performance results
$1.2M
In recovery profits
98%
Recovery rate
458
FTE hours saved annually
Also improved
Profit visibility
Invalid co-op charges brought into view
Automated disputes
Recovery work scaled across historical claims
Team capacity
458 annualized FTE hours freed
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