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Amazon SIPP Program: Save Up to $1.32 Per Unit by Shipping

2/3/2026
5 min
Summarize with AI
M

COO at Nova Analytics

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Max leads operations at Nova Analytics, helping Amazon sellers optimize their business performance through data-driven insights and strategic automation.

Quick Summary

  • SIPP discounts range from $0.04-$1.32 per unit depending on size tier
  • ISTA-6 certification required for fragile items (cost: $300-$2,000)
  • Minimum packaging dimensions: 6" × 4" × 0.375" for label compliance
  • Critical timing: FBA Prep services ended January 1, 2026

Nova surfaces every Amazon fee, refund, and margin shift in your live P&L, across 21 marketplaces. See it in your data

What's Happening

Amazon's Ships in Product Packaging (SIPP) program is gaining urgency as an alternative to discontinued FBA Prep services. With FBA Prep ending on January 1, 2026, sellers can now save $0.04 to $1.32 per unit by shipping products in their original packaging instead of requiring Amazon to add an additional shipping box. Our team flags updates like this for cohort review because they bend the metrics our customers stare at every day. Our team flags updates like this for cohort review because they bend the metrics our customers stare at every day.

SIPP-certified products ship directly in their retail packaging with a shipping label applied to the product box. This eliminates the need for Amazon to repackage items, reducing fulfillment costs and environmental waste. Currently, about 12% of Amazon shipments use SIPP. Amazon expects significant growth as sellers seek cost savings and sustainability improvements.

SIPP Savings by Size Tier

Size TierDimensionsSIPP Discount
Small StandardUp to 15" × 12" × 0.75"$0.04/unit
Large StandardUp to 18" × 14" × 8"$0.13/unit
Large BulkyUp to 59" (longest side)$1.06/unit
Extra-Large (0-50 lb)Over 59" or 50+ lb$1.32/unit

Example Savings

A seller shipping 10,000 Large Standard units per month saves $1,300/month ($15,600/year) through SIPP. For Large Bulky items at the same volume, savings jump to $10,600/month ($127,200/year).

Eligibility Requirements

Package Must Be

  • → Minimum 6" × 4" × 0.375" for label compliance
  • → Durable enough to survive shipping without outer box
  • → Able to protect product from damage and exposure
  • → Non-transparent (contents not visible)

Not Eligible

  • → Fragile items without ISTA-6 certification
  • → Products in bags or pouches
  • → Glass containers
  • → Temperature-sensitive products

ISTA-6 Certification Process

For fragile items, Amazon requires ISTA-6 (Amazon.com-SIOC) certification to prove your packaging can survive the fulfillment network without additional protection. This testing simulates the stresses products encounter during shipping.

Certification StepDetailsCost
Find ISTA LabLocate an ISTA-certified testing laboratory,
Submit SamplesSend 10-20 packaged units for testingShipping costs
TestingDrop tests, vibration, compression$300-$2,000
CertificationReceive pass/fail report and certificateIncluded

Pro Tip

Start with your highest-volume SKUs. If certification costs $1,500 and you save $0.50/unit, you break even at 3,000 units. High-volume products recoup certification costs quickly.

How to Enroll in SIPP

  1. 1.
    Access SIPP Settings: in Seller Central, go to Settings → Fulfillment by Amazon → Ships in Product Packaging.
  2. 2.
    Review Eligible ASINs: Amazon automatically identifies products that may qualify based on packaging data. Review the list and confirm packaging meets requirements.
  3. 3.
    Opt In: Select ASINs to enroll. You can enroll individual products or use bulk actions for multiple SKUs.
  4. 4.
    Upload Certification (if required): for fragile items, upload your ISTA-6 certification document. Amazon reviews within 5-7 business days.
  5. 5.
    Update Inbound Shipments: when creating FBA shipments, products ship in their own packaging. No changes to your existing workflow.

Why This Matters Now

FBA Prep Services Ended January 1, 2026

With Amazon discontinuing FBA Prep services, sellers who relied on Amazon for labeling and packaging prep need alternatives. SIPP is one path forward for products with suitable packaging.

Review your FBA Prep transition options If you haven't already made changes.

How Nova Helps

SIPP savings directly improve your unit economics. Nova tracks your fulfillment costs and margins so you can measure the impact of SIPP enrollment on product profitability. Try Nova free for 14 days

Track SIPP Impact with Nova:

P&L Dashboard: Monitor fulfillment fee trends and margin improvements

Products Feed: Compare unit economics before and after SIPP enrollment

Daily Analytics: Track cost changes day-over-day after making operational changes

Sources & References

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Frequently Asked Questions

Common questions about this topic

SIPP allows products to ship directly in their retail packaging with a shipping label, eliminating the need for Amazon to add an additional shipping box. This reduces fulfillment costs and environmental waste.
Savings range from $0.04/unit for Small Standard items to $1.32/unit for Extra-Large items. A seller shipping 10,000 Large Bulky units monthly saves over $10,000/month through SIPP enrollment.
Products must be in packaging at least 6" × 4" × 0.375", durable enough to survive shipping without an outer box, non-transparent, and able to protect contents. Glass, bags/pouches, and temperature-sensitive products do not qualify.
ISTA-6 (Amazon.com-SIOC) certification proves your packaging can survive Amazon's fulfillment network without additional protection. It's required for fragile items and costs $300-$2,000 through certified testing laboratories.

Verified Sources

All information verified from official Amazon sources and trusted industry analysts as of publication date.

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