Wasp Barcode Technologies: The Barcode Solution People

5,000 Ways 2D Barcodes are Helping Amazon

5,000 Ways 2D Barcodes are helping Amazon Washington based Amazon.com has announced a new shipping policy which will add 2D barcodes to all of its boxes.  While this policy will not be put in place until January 2016, all sellers will immediately be able to implement the policy early and be paid up to $5,000 total for doing so.

Fulfillment by Amazon

Amazon’s new policy will allow sellers to earn a promotional credit of up to $5,000 on Fulfillment by Amazon (FBA) Pick & Pack fees as long as shippers provide the contents of boxes during the shipment creation process.  This new policy is to allow all shipments to be more efficient and to improve inventory accuracy.  Sellers have already seen faster check-in times using the new 2D barcode system.

Tracking in 2D

2D Barcodes were selected by Amazon due to their ease of use as well as their accuracy.  When scanning 2D barcodes, products can be associated with images, definitional codes and they can easily load and update the status of the individual inventory items.  They do this by interpreting information stored in the barcode image. All Amazon sellers, little or large, can use this new policy to update their businesses.  Managing inventory with barcodes provides accurate, up to the minute stock supply levels.  This information allows sellers to keep the correct amount of inventory on hand and the ability to know instantly if and when an order can be fulfilled.  Barcodes are also a time saver taking physically less time to track and order inventory. Barcode technology also prevents mistakes and mix ups. When data is entered by hand into a handwritten system, database or spreadsheet not only is it time-consuming but it will almost certainly have errors.  For every one thousand keystrokes made by a person, there are an average of 10 errors made.  However, when using a barcode scanner, only one error is made for every 10 thousand scans.  

More than Just Credits

The average seller working with this new program can save anywhere from several cents to over $1 per unit sold between now and the end of the year.  For example, this seller will save $1.04 on each dog hip and joint medicine sold.

Amazon Sellers who choose to invest in barcode technology to control inventory, will earn more than just a credit from Amazon.  According to an article from Entrepreneur, “Companies can increase their profitability 20 to 50% or more through careful inventory management.” Inventory is usually the biggest investment small business owners make so managing this investment should be a priority. Sellers wishing to opt in to Amazon’s new program can do so by going to the Inbound Setting section in FBA settings.  The registration window opened on September 8^th and closes on November 16, 2015.  Read the fine print here.