SIPP Replaces Frustration-Free Packaging: How to Stay Compliant & Cut Costs

Did you know that 82% of consumers across various age groups are willing to pay more for products with sustainable packaging?

As sustainability becomes a bigger factor in consumer purchasing decisions, Amazon has adapted by replacing its Frustration-Free Packaging (FFP) program with Ships in Product Packaging (SIPP). Launched in late 2023, SIPP is now the standard for eco-friendly and cost-effective packaging, helping sellers reduce excess materials while improving fulfillment efficiency.

If you’re an Amazon seller, understanding and complying with SIPP is crucial to avoiding penalties, reducing costs, and meeting consumer expectations in 2025.

What is Ships in Product Packaging (SIPP)?

SIPP is Amazon’s updated sustainable packaging initiative, ensuring that products are shipped in their original packaging without unnecessary Amazon-added materials.

The goal is to:

• Reduce packaging waste.
• Lower fulfillment and shipping costs.
• Improve product protection and customer experience.

Since its launch, Amazon has tightened compliance requirements and introduced stronger incentives for sellers who meet SIPP certification.

How SIPP Has Evolved Since Its Launch

1. Stronger Emphasis on Compliance – Amazon is actively enforcing SIPP requirements, ensuring more sellers adopt sustainable and protective packaging.
2. Refined Packaging Guidelines – Requirements have been updated, especially for large and fragile items that need extra protection.
3. Cost Savings for Certified Sellers – Many sellers are seeing lower fulfillment fees for SIPP-compliant products as Amazon prioritizes more efficient shipping.

Why Sellers Should Prioritize SIPP in 2025

• Lower Fulfillment Costs – Optimized packaging reduces Amazon FBA fees.
• Better Customer Experience – Minimalist, easy-to-open packaging leads to fewer returns and complaints.
• Consumer Demand for Sustainability – With 82% of consumers willing to pay more for sustainable packaging, aligning with SIPP can enhance brand perception and sales.
• Amazon’s Environmental Goals – Since 2015, Amazon has reduced per-shipment packaging weight by 43%, preventing over 3 million metric tons of waste (Amazon Sustainability Report).

What Happens If You Don’t Comply with SIPP?

Failing to meet SIPP requirements can directly impact your bottom line.

Non-compliant sellers may face:

• Higher Amazon fulfillment fees for inefficient packaging.
• Increased return rates due to damaged products.
• Repackaging fees if Amazon decides to repackage your products.
• Possible listing restrictions for products that repeatedly fail compliance checks.

With Amazon actively monitoring packaging compliance, sellers who fail to update their packaging may face competitive disadvantages.

How to Ensure Your Packaging Meets SIPP Standards

If your packaging hasn’t been updated since SIPP’s launch, now is the time to take action.

Follow these steps:

1. Check Amazon’s Latest SIPP Guidelines – Stay up-to-date with the latest certification criteria on Amazon’s official page.
2. Run Durability & Drop Tests – Products must pass ISTA-6 standards to ensure damage-free delivery.
3. Submit for Amazon Certification – SIPP-compliant packaging must be approved before you qualify for fulfillment savings.
4. Monitor Customer Feedback & Return Rates – Packaging plays a huge role in customer satisfaction—track complaints related to damage or poor packaging.

Final Thoughts

With Amazon doubling down on sustainability and compliance, adopting SIPP-certified packaging is no longer optional—it’s a smart business move. Sellers who meet SIPP standards can lower fulfillment costs, attract eco-conscious buyers, and improve customer experience.

If you haven’t updated your packaging yet, now is the time to act.

Stay ahead of Amazon’s evolving packaging requirements—check the latest SIPP certification guidelines and make sure your packaging is compliant.

Frequently Asked Questions (FAQ)