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Profit Recovery Automation

Big Tool Brand recovers millions within Amazon supply chain

July 3, 2023

Big Tool Brand recovers millions within Amazon supply chain case study hero image

The challenge

Shortages with no one to dispute them

The brand faced challenges in managing shortages, which required significant time and resources to handle manually. The vendor responsible for managing shortages on Amazon did not have the capacity to address them, resulting in no disputes being made outside of Smart Match.

01

Manual effort

Shortages took significant time and resources to handle

02

No vendor capacity

No disputes made outside of Smart Match

03

5% COGS loss

Shortages eroding Amazon cost of goods sold

As a consequence, these shortages were impacting the brand's cost of goods sold (COGS) for its Amazon operations, amounting to a 5% loss.

The solution

Every shortage, disputed automatically

With Profit Recovery Automation on CommerceIQ's integrated retail ecommerce platform, the brand used AI and automation to dispute every shortage, track every claim in one place, and stop problems at the source.

Before

With Profit Recovery Automation

No disputes outside Smart Match

The shortage vendor had no capacity to address them

Every shortage disputed

Automatically, as they occur after Amazon Smart Match, with no manual input

Manual shortage management

Significant time and resources spent on every claim

One source of truth

Shortage claims, dispute approvals, resolution rates, and more in one place

A 5% COGS loss

Shortages eroding Amazon margins

Root Cause Analysis

Prevents problems from recurring

The results

Thousands of shortages ticketed as they occur

Within 4 months, the brand recovered $1.36M of profit in phase 1 of the dispute process and disputed over 1,500 shortages, with a notable surge in the first month of automation that effectively addressed older shortages.

$1.36M

Profit recovered

In phase 1 of the dispute process

~90%

Profit recovery rate

On non-Smart Match shortage invoices, up from 2%

1,500+

Shortages disputed

With a surge in the first month, clearing older shortages

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