If you’ve ever received a chargeback notice from Amazon that wiped out your profit margin on an entire shipment, you understand why Amazon EDI integration matters. That $5,000 order you shipped last week? A late ASN at the 6% penalty tier just cost you $300. The pallet that arrived with a missing SSCC-18 label? Another 3% penalty. These aren’t hypothetical scenarios – they’re the daily reality for vendors who haven’t mastered Amazon’s electronic data interchange requirements.
Trading with Amazon as a vendor requires EDI to process orders, shipments, and invoices automatically. Amazon’s EDI requirements rank among the most stringent in retail, with specific document formats, transmission protocols, and timing requirements that directly impact your vendor scorecard and profitability. Get it wrong, and you’ll watch chargebacks eat into every shipment. Get it right, and you’ll operate with the efficiency Amazon demands while protecting your margins.
This guide covers everything you need to implement Amazon EDI correctly: the required documents and their specifications, connection methods, the setup process from survey to go-live, and – critically – how to avoid chargebacks that can cost 3-10% of your product cost per transaction. Whether you’re a new Amazon vendor setting up EDI for the first time or an existing supplier troubleshooting compliance issues, this resource provides the technical details and practical guidance you need.
What is Amazon EDI Integration?
Amazon EDI (Electronic Data Interchange) is the automated system Amazon uses to exchange business documents with vendors. Instead of manual order entry and invoice processing, EDI enables computer-to-computer transmission of purchase orders, shipping notices, and invoices in standardized formats. Think of it as a universal language that lets your systems talk directly to Amazon’s systems without human intervention.
When Amazon sends you a purchase order, your EDI system receives it, translates it into data your ERP or order management system understands, and triggers your fulfillment process automatically. When you ship, your system generates an Advance Ship Notice (ASN) and transmits it to Amazon before the truck even leaves your dock. This level of automation isn’t optional for serious Amazon vendors – it’s the baseline expectation.
Vendor Central vs Seller Central EDI
Understanding the difference between these two Amazon programs is essential before you invest in EDI infrastructure. The requirements and benefits differ significantly.
Vendor Central (1P) suppliers sell wholesale to Amazon, who then resells products to consumers. Amazon owns the inventory, sets retail prices, and handles customer service. For these vendors, EDI is mandatory – there’s no alternative for processing purchase orders and invoices at scale. If you receive a Vendor Central invitation from Amazon, budget for EDI implementation as part of your onboarding costs.
Seller Central (3P) merchants sell directly to consumers through Amazon Marketplace. They control pricing, own inventory until sale, and handle customer service (unless using FBA). For these sellers, EDI is optional but can provide significant benefits for high-volume operations. If you’re processing hundreds of orders daily through Seller Central, eCommerce integration tools including EDI can reduce manual work and errors substantially.
The key distinction: Vendor Central requires EDI for basic operations. Seller Central sellers can function without it but may benefit from EDI as they scale.
Why Amazon Requires EDI
Amazon processes millions of vendor transactions daily across hundreds of fulfillment centers. Manual data entry simply cannot work at this scale. EDI eliminates the errors that come from humans re-keying order information, accelerates order-to-cash cycles, and provides real-time visibility into order status across the entire supply chain.
From Amazon’s perspective, EDI compliance directly affects their ability to maintain inventory accuracy, fulfill customer orders on time, and operate their fulfillment network efficiently. When your ASN data doesn’t match your physical shipment, Amazon’s receiving teams slow down, inventory counts become unreliable, and customer orders may ship late or incorrectly. That’s why Amazon enforces compliance through financial penalties – chargebacks create immediate consequences for EDI failures.
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Amazon EDI Requirements: Technical Specifications
Amazon maintains detailed technical requirements for EDI trading partners. Understanding these Amazon EDI specifications before you begin implementation saves significant rework and testing failures later. Your EDI provider or internal team needs this information to configure systems correctly from the start.
EDI Version Standards
Amazon requires ANSI X12 EDI version 4010 or higher. Most trading partners use either 4010 or 5010, with 4010 being more common among established vendors. The version you choose should match Amazon’s specification in your trading partner agreement – this document becomes available after you complete the initial setup survey in Vendor Central.
If your EDI system supports multiple versions, confirm which version Amazon specifies for your specific trading partner relationship. Using the wrong version will cause validation failures during testing and prevent you from moving to production.
Required EDI Documents
Amazon’s core EDI document set includes five transaction types. Each has specific requirements, timing windows, and potential chargeback penalties:
- EDI 850 (Purchase Orders): Amazon sends POs electronically to initiate orders. Your system must receive and process these automatically.
- EDI 855 (PO Acknowledgment): You confirm receipt and acceptance of orders within 24 hours. Late acknowledgments trigger chargebacks.
- EDI 856 (Advance Ship Notice/ASN): You transmit shipment details before delivery arrives at Amazon. This is the most compliance-sensitive document.
- EDI 810 (Invoice): You submit invoices electronically for payment. Invoices must reference PO numbers and match ASN quantities.
- EDI 846 (Inventory Inquiry/Advice): You share inventory levels with Amazon to support their demand planning and ordering decisions.
Some vendors may also exchange EDI 852 (Product Activity Data) or EDI 860 (Purchase Order Change) depending on their Amazon vendor agreement terms. However, the five documents above form the mandatory core for most Vendor Central suppliers.
Connection Methods
Amazon supports three methods for EDI transmission, with clear preferences:
AS2 (Applicability Statement 2) is Amazon’s preferred connection method. AS2 provides secure, reliable transmission using HTTP/S protocols. It offers delivery receipts, encryption, and direct point-to-point communication without intermediaries. Most large vendors use AS2 for its reliability and Amazon’s preference for this protocol. Your EDI integration platform should support AS2 connectivity as a standard feature.
Amazon-Hosted SFTP serves as an alternative for trading partners who cannot implement AS2. Amazon provides SFTP credentials and endpoint information during the setup process. While functional, SFTP lacks some of the delivery confirmation features that make AS2 more reliable for mission-critical transactions.
VAN (Value-Added Network) transmission is only permitted in exceptional cases with explicit Amazon approval. If you already have VAN infrastructure with other retail partners, don’t assume Amazon will allow you to use it. Most vendors need AS2 or SFTP capability regardless of their existing EDI setup.
Amazon EDI Setup Process: From Survey to Go-Live
Setting up EDI with Amazon follows a structured process that typically takes 4-8 weeks depending on your technical readiness and testing performance. Rushing this process leads to failed tests and delayed go-live dates. Plan appropriately and allocate dedicated resources.
Step 1: Prerequisites
Before starting the formal EDI setup process, ensure you have these elements in place:
- Active Vendor Central account: You cannot begin EDI setup without completing vendor onboarding and receiving Vendor Central access.
- EDI-capable software or service provider: Whether you’re using in-house systems or a third-party provider, your EDI capability must be operational before testing begins.
- Technical resources for testing: Plan for 20-40 hours of technical work during the testing phase, depending on complexity.
- Complete product catalog: Your item master data must be accurate, including ASINs, UPCs, and pack quantities.
- Understanding of shipping operations: EDI configuration requires knowledge of your carrier relationships, packaging hierarchy, and label capabilities.
Many vendors underestimate the prerequisite phase. If your product data has errors or your warehouse can’t generate compliant SSCC-18 labels, you’ll discover these problems during testing – and fixing them delays everything.
Step 2: Self-Service Survey
Complete Amazon’s EDI self-service survey in Vendor Central under the EDI setup section. This survey captures your EDI capabilities, connection preferences, technical contact information, and testing timeline. Amazon uses this information to configure your trading partner profile and generate the Amazon EDI documentation you’ll need for implementation.
Answer the survey accurately. If you claim AS2 capability but later can’t establish the connection, you’ll need to restart portions of the setup process. If you’re unsure about technical capabilities, verify with your IT team or EDI provider before completing the survey.
After submitting the survey, Amazon provides access to their EDI implementation guide and technical specifications. This documentation includes the detailed field-level requirements for each document type, connection configuration details, and test case requirements. Review this material thoroughly before beginning development work.
Step 3: Testing and Certification
Amazon requires testing of all EDI document types before enabling production transactions. This isn’t a formality – Amazon validates format compliance, data accuracy, and timing requirements during testing.
The testing process typically covers:
- 850/855 order flow: Amazon sends test purchase orders, and you respond with acknowledgments. Amazon validates timing, format, and data accuracy.
- 856 ASN transmission: You generate ASNs for test shipments. Amazon checks carton structure, SSCC-18 compliance, quantity accuracy, and timing relative to shipment arrival.
- 810 invoice processing: You submit invoices referencing test POs. Amazon validates pricing, quantities, and PO references.
Expect 2-3 testing cycles for most implementations. First-time passes are rare, and each round of corrections adds 3-5 business days. Build this buffer into your project timeline.
Step 4: Go Live
After successful testing, Amazon enables production EDI transactions. Your first live purchase orders will begin flowing through the EDI channel. Monitor these initial transactions closely – problems that didn’t appear in testing sometimes emerge with real-world data complexity.
Establish monitoring procedures before go-live. Your team should receive alerts for failed transmissions, acknowledgment timeouts, and ASN delays. The first 30 days of production operation determine whether you’ll face chargebacks, so active monitoring is essential.
Amazon EDI Compliance and Chargebacks
Amazon enforces EDI compliance through chargebacks – financial penalties deducted from vendor payments. These aren’t negotiable fees you can dispute easily. If your EDI data was late or wrong, the chargeback stands. Understanding chargeback triggers and prevention strategies is essential for protecting your margins.
Common Chargeback Triggers
EDI-related chargebacks fall into several categories, each with specific penalty amounts:
Late PO Acknowledgment (855): Amazon requires acknowledgment within 24 hours of receiving the purchase order. If your 855 transmits after this window closes, expect a penalty of 3% of product cost for on-time non-compliance, or up to 10% for unconfirmed POs. For a $10,000 PO, that’s $100 lost to a simple timing failure.
Late ASN (856): Your Advance Ship Notice must transmit before the shipment arrives at Amazon’s fulfillment center. Late ASNs trigger penalties of 2-6% of product cost depending on your compliance rate tier. This penalty exists because late ASNs force Amazon to receive shipments manually, slowing their operations.
Non-compliant ASN: This category causes the most significant financial damage. Missing required fields, incorrect formatting, or data that doesn’t match the physical shipment triggers penalties of 2-6% of product cost. On a $50,000 shipment, a 4% penalty costs you $2,000. Common causes include incorrect carton counts, missing SSCC-18 labels, and quantity mismatches between the ASN and actual shipment.
Missing or Late Invoice (810): While invoice issues primarily delay your payment rather than triggering immediate chargebacks, persistent problems can affect your vendor scorecard and relationship with Amazon.
How to Avoid Chargebacks
Chargeback prevention requires systematic processes rather than heroic individual effort. Build these practices into your operations:
Automate 855 acknowledgments to send immediately upon PO receipt. Human review should happen after the acknowledgment transmits, not before. If you need to adjust quantities or reject items, send the initial acknowledgment first to meet the timing requirement, then follow up with changes.
Configure ASN transmission before carrier pickup. Your ASN should transmit when the shipment is complete and staged for pickup, not when it leaves your facility. This builds buffer time and ensures the ASN arrives at Amazon well before the physical shipment.
Validate ASN data against actual shipment contents. Before transmission, verify carton counts, item quantities, and weight data match what you’re actually shipping. This validation step catches errors before they become chargebacks.
Implement exception alerts for delayed or failed transmissions. Your operations team needs same-day visibility into EDI failures. A transmission that failed at 2 PM can still be corrected by 5 PM – if someone knows about it.
Reconcile EDI transactions with Vendor Central regularly. Weekly reviews of your compliance metrics in Vendor Central help identify pattern problems before they accumulate into significant financial impact.
Organizations that integrate their warehouse management system with EDI typically see lower chargeback rates because data flows directly from warehouse operations into EDI documents without manual re-entry errors.
Amazon EDI Integration Options
Several approaches exist for implementing Amazon EDI, each with different cost structures, capability requirements, and ongoing maintenance burdens. Your choice depends on your technical resources, transaction volume, and strategic priorities.
DIY Setup
Building and maintaining EDI capability in-house means purchasing or developing mapping software, implementing translation tools, and establishing direct AS2 connection to Amazon. This approach requires significant technical expertise in EDI standards, X12 syntax, and AS2 protocol configuration.
Advantages include complete control over your EDI infrastructure and elimination of per-transaction fees. Disadvantages include substantial upfront development costs, ongoing maintenance burden, and the need for specialized technical staff. When Amazon updates their specifications, your team handles the changes.
DIY setup makes sense for organizations with existing EDI expertise, high transaction volumes that justify infrastructure investment, and technical teams capable of ongoing maintenance. For most mid-sized vendors, the complexity outweighs the benefits.
EDI Service Provider
Working with a third-party EDI provider (often through a Value-Added Network) means outsourcing translation, mapping, and transmission functions. Your business systems send data in your preferred format, and the provider handles conversion to Amazon’s required X12 format and transmission via AS2 or SFTP.
This approach reduces technical burden significantly. You don’t need EDI expertise on staff, and the provider handles specification updates and compliance monitoring. The tradeoff comes in per-transaction costs that add up at high volumes, plus ongoing subscription fees.
EDI service providers work well for vendors who want to minimize technical involvement but can accept transaction fees as a cost of doing business.
Managed EDI Solution
Managed EDI platforms combine the benefits of third-party service with deeper integration into your business systems. These solutions handle Amazon-specific requirements, provide compliance monitoring dashboards, and integrate directly with your ERP or WMS to eliminate manual data handling.
The best managed solutions include proactive compliance monitoring – alerting you to potential issues before they become chargebacks rather than simply reporting problems after they occur. They also handle the complexity of ERP and EDI integration so your order and inventory data flows accurately between systems.
Managed EDI solutions balance cost efficiency with reduced operational burden. Transaction costs are typically lower than traditional VAN services, while compliance features and integration depth exceed what most service providers offer.
Amazon EDI Specifications by Document Type
Each EDI document has specific Amazon requirements that differ from generic X12 specifications. Your implementation must account for these Amazon-specific requirements, which are detailed in the Amazon EDI documentation provided during setup.
EDI 850 Specifications (Purchase Order)
Amazon sends 850 purchase orders containing all the information you need to fulfill orders. Key data elements include:
- Amazon PO number (used to reference all subsequent transactions)
- Ship-to location codes (Amazon fulfillment center identifiers)
- Line items with ASINs and vendor product codes
- Requested ship dates and delivery windows
- Unit pricing and expected costs
- Routing instructions and carrier assignments (when Amazon controls routing)
Your system must parse all required fields and handle Amazon’s specific code values for things like ship-to locations and routing instructions. Map these elements to your internal order management fields accurately – errors here cascade through the entire fulfillment process.
EDI 855 Specifications (PO Acknowledgment)
Your 855 response must reference the original PO number and confirm status for each line item. Required elements include:
- Amazon PO number (exact match to the 850)
- Line item acknowledgment status (accepted, rejected, modified)
- Confirmed quantities for each item
- Expected ship date if different from PO request
- Reason codes for any rejected or modified items
The 24-hour timing requirement applies to the entire 855, not individual line items. Acknowledge the complete PO within the window, even if you need to follow up with modifications later.
EDI 856 Specifications (ASN) – The Amazon EDI 856 Specification
The 856 Advance Ship Notice causes more compliance issues than any other document. Amazon’s EDI 856 specification requirements are detailed and unforgiving. Missing or incorrect elements trigger chargebacks that can cost 2-6% of product value.
Required elements for Amazon’s 856 include:
- Shipment ID: Unique identifier for the entire shipment, matching your BOL
- Carrier and tracking information: SCAC code, PRO number, and tracking numbers
- Ship date and expected delivery: Accurate timing for Amazon’s receiving planning
- Hierarchical structure: Shipment > Order > Tare (pallet) > Pack (carton) > Item hierarchy must be complete and accurate
- SSCC-18 labels: Every handling unit (pallet and carton) must have a compliant SSCC-18 barcode label, and the ASN must include matching SSCC-18 numbers
- Item quantities: Must match exactly what you’re shipping – not what you intended to ship or what the PO requested
- Weight and dimensions: Accurate measurements for each handling unit
The hierarchical structure deserves special attention. Amazon needs to know which items are in which cartons, which cartons are on which pallets, and which pallets are on which shipment. If your warehouse operations don’t capture this data accurately, your ASN will fail compliance checks.
SSCC-18 label compliance trips up many vendors. Each label must be unique, properly formatted according to GS1 standards, and scannable. The number printed on the label must exactly match the number transmitted in your ASN. Any mismatch – even a single digit – causes receiving problems and potential chargebacks.
EDI 810 Specifications (Invoice)
The 810 invoice enables Amazon to process your payment. Required elements include:
- Invoice number (unique within your vendor account)
- PO reference (must match original 850)
- Line item detail matching the 856 quantities shipped
- Unit pricing consistent with your vendor agreement
- Payment terms code
- Remit-to information
Invoice quantities must match what you shipped (per your 856), not what Amazon ordered (per the 850). If you shipped 95 units instead of 100 ordered, invoice for 95. Mismatches delay payment processing and may trigger disputes.
EDI 846 Specifications (Inventory)
The 846 provides inventory visibility to Amazon’s planning systems. While not as time-sensitive as the 856, accurate inventory data helps Amazon make better purchasing decisions, which benefits both parties.
Required elements include:
- Product identifiers (ASIN and/or vendor SKU)
- Quantity available for sale
- Location information (if multiple warehouses)
- Date/time of inventory snapshot
Many vendors transmit 846 data daily or weekly depending on their agreement with Amazon. Accurate inventory reporting supports better demand forecasting and can improve your PO flow and order patterns over time.
Moving Forward with Amazon EDI
Amazon EDI integration doesn’t have to be complex or risky. With the right preparation, proper document setup, and ongoing compliance monitoring, you can avoid costly chargebacks and operate efficiently as an Amazon vendor. The vendors who succeed are those who treat EDI as a core operational capability rather than a technical afterthought.
Key points to remember as you implement or improve your Amazon EDI:
- Amazon requires EDI version 4010+ and strongly prefers AS2 connectivity
- The five core documents (850, 855, 856, 810, 846) each have specific timing and format requirements
- The 856 ASN causes the most compliance issues – invest time in getting your carton structure and SSCC-18 labeling right
- Chargebacks for late or non-compliant EDI range from 1% for late acknowledgments to 6% for ASN errors
- Automated compliance monitoring catches problems before they become financial penalties
The difference between vendors who struggle with Amazon chargebacks and those who operate smoothly often comes down to integration quality. When your warehouse systems, order management, and EDI platform work together smoothly, compliance happens automatically. When they don’t, your team spends time fixing errors instead of growing your Amazon business.
Ready to simplify your Amazon EDI integration? Learn how managed EDI platforms handle Amazon’s requirements so you can focus on growing your business. If you’re evaluating options or troubleshooting existing compliance issues, contact our team to discuss your specific situation and find the right approach for your operations.
Frequently Asked Questions
Does Amazon require EDI for all vendors?
Amazon requires EDI for Vendor Central (1P) suppliers who sell wholesale to Amazon. Seller Central (3P) merchants who sell directly to consumers through Amazon Marketplace can use EDI optionally, but it’s not mandatory for marketplace selling.
What EDI version does Amazon use?
Amazon requires ANSI X12 version 4010 or higher. Most trading partners use version 4010 or 5010. Check your specific trading partner agreement in Vendor Central for the exact version Amazon specifies for your account.
How do I get Amazon EDI documentation?
EDI specifications and implementation guides are available in Vendor Central under the EDI setup section after you complete the self-service survey. Amazon provides detailed field-level documentation for each required transaction type once you begin the formal setup process.
What are Amazon EDI payments?
Amazon processes vendor payments based on EDI 810 invoices you submit. Payment timing depends on your vendor terms (Net 30, Net 60, etc.). EDI doesn’t change your payment terms – it’s simply the method for submitting invoices electronically rather than paper or portal entry.
How long does Amazon EDI setup take?
Most vendors complete EDI setup in 4-8 weeks from starting the self-service survey to going live with production transactions. Timeline depends on your technical readiness, testing performance, and Amazon’s availability for certification. Build buffer time into your project plan for testing iterations.
Can I use my existing EDI setup for Amazon?
If you have EDI relationships with other retailers, you likely have infrastructure that can support Amazon. However, you’ll need Amazon-specific maps and configurations because Amazon’s requirements differ from other trading partners. Your EDI provider or in-house team will need to develop Amazon-specific translations and establish the AS2 or SFTP connection Amazon requires.
What happens if my EDI transmission fails?
Failed transmissions that aren’t corrected within timing windows result in chargebacks. This is why monitoring is essential – you need to know about failures immediately so you can resolve them before deadlines pass. Most EDI platforms provide alerts for failed transmissions; make sure someone is responsible for monitoring and responding to these alerts.
Frequently Asked Questions
What is Amazon EDI integration?
Amazon EDI integration is the automated exchange of business documents between Amazon and vendors. It streamlines processes like order entry and invoice processing by using standardized formats for documents such as purchase orders and shipping notices. This automation reduces manual errors and improves efficiency, which is crucial for maintaining profitability. Vendors must implement EDI to meet Amazon’s stringent requirements and avoid costly chargebacks.
How does Amazon EDI integration reduce chargebacks?
Amazon EDI integration reduces chargebacks by ensuring timely and accurate document exchanges. By automating processes like sending Advance Ship Notices (ASNs) and ensuring compliance with Amazon’s document standards, vendors can avoid penalties associated with late or incorrect submissions. This precision helps maintain a positive vendor scorecard and protects profit margins. For example, a missing SSCC-18 label can lead to a 3% penalty, which EDI can help prevent.
Why is EDI mandatory for Vendor Central suppliers?
EDI is mandatory for Vendor Central suppliers because it facilitates efficient and accurate order processing at scale. As Amazon owns the inventory and handles customer service, EDI ensures smooth transactions by automating document exchanges like purchase orders and invoices. This requirement helps vendors meet Amazon’s operational standards and avoid disruptions. Without EDI, managing large volumes of transactions manually would be impractical and error-prone.
What documents are essential for Amazon EDI integration?
Essential documents for Amazon EDI integration include purchase orders, Advance Ship Notices (ASNs), and invoices. These documents must follow Amazon’s specified formats and timing requirements to ensure smooth transactions. Proper document handling prevents chargebacks and maintains vendor compliance. For instance, an ASN must be sent before shipping to avoid penalties. Understanding these requirements is crucial for vendors to operate efficiently and profitably with Amazon.
How do you set up Amazon EDI integration?
Setting up Amazon EDI integration involves several steps, starting with a survey and ending with a go-live process. Vendors must establish connections, configure software to handle Amazon’s document formats, and ensure compliance with transmission protocols. This setup is critical to automate transactions and avoid costly chargebacks. Proper implementation allows vendors to meet Amazon’s stringent requirements, improving efficiency and protecting profit margins in the competitive retail environment.