Effective January 1, 2025, Amazon’s Ships in Product Packaging (SIPP) Chargeback Program is changing. The Ships in Product Packaging (SIPP) program, previously known as the Frustration-Free Packaging (FFP) or Ships in Own Container (SIOC) program, offers Amazon selling partners the opportunity to ship customer orders in their own custom-brand packaging without any Amazon-added material.
It’s not required to certify all products in the program, but it’s preferred as SIPP has potential to reduce packaging and provide better customer delivery. Products with packaging dimensions greater than 18 x 14 x 8 inches or weight greater than 20 lb that do not belong to excluded categories (such as hazmat items with transportation requirements, Amazon Fresh items, and more) must be certified as SIPP or else they will incur a chargeback for each unit shipped to Amazon.
Currently, the amount for this chargeback is $1.99 per unit shipped to Amazon. Effective January 1, 2025, eligible products will be charged a rate from $1.80 to $4.40 per unit shipped to Amazon based on product shipping weight:
Chargeback per unit shipped to Amazon
Shipping weight is the greater of unit weight or dimensional weight for determining size tiers. Dimensional weight is equal to the unit volume (length x width x height) divided by 139.
Products that weigh 50 lb or more (actual weight or shipping weight) are excluded from this chargeback.
If you have any questions, please contact us today.
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