--- title: "Amazon CRaP: How to Avoid Selling Unprofitable Items" description: No one wants to sell Amazon CRaP (Can't Realize a Profit) items. Learn how to avoid selling unprofitable products on Amazon. image: https://www.ecomengine.com/hubfs/images/featured/blog/amazon-crap.jpg --- [![eComEngine Logo](https://www.ecomengine.com/hubfs/Style%20Guide/Logos%20(svg)/%5BeComEngine%5DLogo-2019-linear.svg "eComEngine Logo")](https://www.ecomengine.com) [Demo](https://www.ecomengine.com/demo) [Free Trial](https://www.ecomengine.com/trial) ** ** ** [Free Trial](https://www.ecomengine.com/trial) ** ** ** [![FeedbackFive icon](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-star-svg.svg "FeedbackFive icon") FeedbackFive Request Amazon Reviews and Feedback ](https://www.ecomengine.com/feedbackfive) [![sellerpulse-menu-icon(teal)](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/sellerpulse-pulse-svg.svg "sellerpulse-menu-icon(teal)") SellerPulse Get FBA Insights and Alerts ](https://www.ecomengine.com/sellerpulse) [![RestockPro 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](https://www.ecomengine.com/amazon-brand-registry) [Making the Most of Amazon FBA ](https://www.ecomengine.com/amazon-fba) Social Connect with eComEngine [**](https://twitter.com/intent/user?screen_name=eComEngine) Join Our Email List - Receive our monthly newsletter. - Stay up to date on Amazon policies. - Get tips to grow your business. Search **Menu** ** ** [Log In](https://www.ecomengine.com/login) [Free Trial](https://www.ecomengine.com/trial) --- Join Our Email List - Receive our monthly newsletter. - Stay up to date on Amazon policies. - Get tips to grow your business. # Amazon CRaP: How to Avoid Selling Unprofitable Items [![Carina McLeod](https://www.ecomengine.com/hubfs/images/headshots/external/carina-mcleod.jpg)](https://www.ecomengine.com/blog/author/carina-mcleod) By [Carina McLeod](https://www.ecomengine.com/blog/author/carina-mcleod) CRaP is one of the best Amazon acronyms to date. It actually stands for “Can’t Realize a Profit” and refers to products that do not make a profit. This is a term Amazon uses when reviewing the profitability of vendor products. For many years, Amazon’s focus was on gaining market share across numerous product categories, even if this meant sacrificing their bottom line. Now that Amazon is more established with large market shares in major retail industries, the focus has naturally shifted to profitability. Amazon is focusing on profit margins. If a product can’t provide a profitable margin, Amazon doesn't want it. ## What Makes an Amazon CRaP Item? Below I have listed the most common reasons an item may not realize a profit on Amazon. ### Low Margins If the vendor did not offer Amazon good margins or allowances from the beginning, the product may be unprofitable from day one. While vendors don’t want to give Amazon their best price, they do need to offer a good enough margin for both parties to be profitable. ### Heavy Discounting If there is lots of price matching on an item and resellers are engaging in price wars to win the Buy Box, Amazon may no longer be willing to compete and sacrifice margin. ### Short Expiration Period Once an expiration period comes close to an end, the products are disposed of. This happens when demand drops and inventory becomes aged and overstocked. ### High Customer Returns There are costs involved when handling returns. While Amazon often builds this into its allowances, if returns are high Amazon may end up having to fund more than agreed upon by the vendor. ### Low Retail Price Points Items that typically retail under the $10 mark will often be unprofitable due to the cost of shipping, even if the profit percentage is high. ### Heavy/Bulky Products Items that are heavy to ship, large, or an odd shape can be costly to ship. These can often cost more to ship than the product is worth. ## Managing Unprofitable ASINs Once you have identified why items are or could be unprofitable, you need a solution. Here are some suggestions to consider. 1. Offer competitive prices: Make sure you offer Amazon competitive pricing, factoring in the market price when reviewing your product costs. Find the right balance for both parties, but don’t forget that Amazon will come knocking each year for improvements so keep some margin in your back pocket. 2. Manage assortment: Review your range and decide which items make sense to sell to Amazon via Vendor Central and which items should be removed. Look into customizing products solely for Amazon or selling products in multi-packs or bundles. 3. Review a hybrid (vendor/seller) strategy: If you remove certain items from the vendor side, look into listing these via Seller Central or work with a third-party seller or distributor to sell these items on your behalf. 4. Use direct fulfillment: If items are expensive to ship, look into shipping the product directly to the end consumer and bypassing Amazon’s Fulfillment Center to cut down on shipping costs. 5. Monitor customer returns: If items have a high customer returns rate, investigate the reason for this. It might be a simple fix, such as when the product pages have inaccurate data or images. 6. Tighten up your distribution channels: If the products are being aggressively priced in the market, you may want to start implementing strategies to tighten up your distribution channels, such as introducing distribution agreements or a MAP policy. ![Infographic that contains six causes of and six suggestions for avoiding Amazon crap](https://www.ecomengine.com/hs-fs/hubfs/images/decorative/detail/amazon-crap-infographic.jpg?width=794&name=amazon-crap-infographic.jpg) Always review your products before listing them on Amazon and make sure they have a good chance of being profitable for both your business and Amazon. While there are some scenarios you cannot plan for, there are some more obvious cases where you know the items aren’t going to be profitable from day one. Select your products wisely and avoid wasting time on items that are just not suited for the vendor platform. [![Illustration of mobile phone with text, "Don't miss Amazon updates" above button with text, "Get newsletter"](https://no-cache.hubspot.com/cta/default/5147382/af233769-2b79-46b3-a47f-7cb9bde3c660.png)](https://cta-redirect.hubspot.com/cta/redirect/5147382/af233769-2b79-46b3-a47f-7cb9bde3c660) ![newsletter-email-laptop](https://no-cache.hubspot.com/cta/default/5147382/interactive-177527396632.png) ![newsletter-email-laptop](https://no-cache.hubspot.com/cta/default/5147382/interactive-177527396632.png) Originally published on February 11, 2020, updated November 29, 2022 This post is accurate as of the date of publication. Some features and information may have changed due to product updates or Amazon policy changes. ## You May Also Like These Stories on Amazon [![12:53 AMClaude responded: Illustration of an upward graph with a magnifying glass, with the text "Prime Day Profit Scorecard"Illustration of an upward graph with a magnifying glass, with the text "Prime Day Profit Scorecard"](https://www.ecomengine.com/hubfs/images/featured/blog/prime-day-profit-scorecard.png) ](https://www.ecomengine.com/blog/prime-day-metrics-amazon-sellers) ### [The Prime Day Profit Scorecard: 10 Metrics Amazon Sellers Should Watch Daily](https://www.ecomengine.com/blog/prime-day-metrics-amazon-sellers) June 24, 2026 | [![Illustration of an upward trend chart and reviews, with text reading "Prime Day Review Strategy"](https://www.ecomengine.com/hubfs/images/featured/blog/prime-day-review-strategy.png) ](https://www.ecomengine.com/blog/prime-day-review-strategy) ### [Prime Day Review Strategy: Turn the Traffic Spike Into Long-Term Trust](https://www.ecomengine.com/blog/prime-day-review-strategy) June 22, 2026 | [![Downloadable PDF cover with title "Prime Day Profit Protection Checklist"](https://www.ecomengine.com/hubfs/images/featured/blog/prime-day-profit-protection-checklist.png) ](https://www.ecomengine.com/blog/prime-day-readiness-plan-amazon-sellers) ### [Prime Day Is in June: The Last-Mile Readiness Plan Amazon Sellers Need Now](https://www.ecomengine.com/blog/prime-day-readiness-plan-amazon-sellers) June 8, 2026 | ## No Comments Yet Let us know what you think ### eComEngine 14321 Winter Breeze Drive Suite 121 Midlothian, VA 23113 Call us: [800-757-6840](tel:800-757-6840) Company Legal Software Resources [![GS1 US Channel Partner](https://www.ecomengine.com/hubfs/images/partners/logos/gs1-us-channel-partner.png "GS1 US Channel Partner")](https://www.ecomengine.com/get-gtin-amazon) ![Amazon Marketplace Developer Council Founding Member](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-marketplace-developer-council-optimized.png "Amazon Marketplace Developer Council Founding Member") ![Amazon Web Services](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-web-services.svg "Amazon Web Services") ![Amazon Selling Partner Appstore Software Partner badge](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-software_partners-badge.png "Amazon Selling Partner Appstore Software Partner badge") ![Amazon Marketplace Developer Council Founding Member](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-marketplace-developer-council-optimized.png "Amazon Marketplace Developer Council Founding Member") ![Amazon Web Services](https://www.ecomengine.com/hubfs/brand-identity/amazon-web-services.svg "Amazon Web Services") Copyright© 2007-2026 eComEngine, LLC. 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Our [privacy policy](https://www.ecomengine.com/privacy-policy) has more details.* ```json { "@context" : "http://schema.org", "@type" : "Organization", "address" : { "@type" : "PostalAddress", "addressCountry" : "US", "addressLocality" : "Midlothian", "addressRegion" : "VA", "postalCode" : "23113", "streetAddress" : "14321 Winter Breeze Drive Suite 121" }, "alternateName" : "eComEngine, LLC", "description" : "Amazon Seller Tools", "email" : "info@ecomengine.com", "image" : "https://www.ecomengine.com/hubfs/images/decorative/illustrations/amazon-seller-tools.png", "logo" : "https://www.ecomengine.com/hubfs/brand-identity/logos/ecomengine-logos/ecomengine-logo-stacked.png", "naics" : "511210", "name" : "eComEngine, LLC", "sameAs" : [ "https://www.facebook.com/eComEngine/", "https://twitter.com/eComEngine" ], "telephone" : "800-757-6840", "url" : "https://www.ecomengine.com" } ``` ```json { "@context" : "http://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Carina McLeod" }, "dateModified" : "2022-11-29", "datePublished" : "2020-02-11", "description" : "No one wants to sell Amazon CRaP (Can't Realize a Profit) items. Learn how to avoid selling unprofitable products on Amazon.", "headline" : "Amazon CRaP: How to Avoid Selling Unprofitable Items", "image" : { "@type" : "ImageObject", "url" : "https://www.ecomengine.com/hubfs/images/featured/blog/amazon-crap.jpg" }, "mainEntityOfPage" : { "@id" : "https://www.ecomengine.com/blog/amazon-crap", "@type" : "WebPage", "description" : "No one wants to sell Amazon CRaP (Can't Realize a Profit) items. Learn how to avoid selling unprofitable products on Amazon." }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://www.ecomengine.com/hubfs/brand-identity/logos/ecomengine-logos/ecomengine-logo-stacked.png" }, "name" : "eComEngine, LLC" } } ```