In recent years, more and more sellers have chosen to open stores on Amazon, but sellers often encounter various problems during operations, such as low inventory performance. So what should we do if Amazon’s inventory performance is too low? This will be introduced in detail below.
Amazon’s inventory performance can be used to measure seller inventory management and can also identify sellers with slow inventory turnover. Generally speaking, if Amazon’s inventory performance is too low, the platform will implement storage limits, and in severe cases, sellers will need to pay overage. The main solutions to Amazon’s low inventory performance are as follows:
1. Replenish inventory in a timely manner to avoid out of stock. The spot rate is one of the main factors affecting inventory performance, so sellers need to ensure that Listing inventory is sufficient to ensure a sustained and stable order rate and avoid stock outs. Because if the seller has insufficient inventory, it will lead to loss of sales, high logistics costs caused by temporary replenishment, and negative customer reviews.
2. Make sure that the product listing does not have infringement or other status. If a seller’s product listing appears to be infringing, is reviewed by the Amazon platform, or the product is removed from the shelves, the product will remain in the warehouse and cannot be moved, which will in turn lead to an increase in FBA storage fees. When sellers have listing problems, inventory will be stranded. Therefore, sellers need to check Amazon notifications in a timely manner and respond according to the instructions of the Amazon platform to solve the problem.
3. Increase sales rate. The sales rate will also affect the seller’s inventory performance. The sales rate is mainly calculated as sales rate = sales volume ÷ total inventory (within a certain period of time). If the seller wants to increase the sales rate, it can be achieved by increasing the sales of hot-selling models. Not all products in the seller’s store can sell well, so the seller needs to increase the sales of the store’s traffic-generating or hot-selling items before the evaluation period begins, so as to improve inventory performance.
The above content has introduced in detail the solution to Amazon’s low inventory performance. In order to improve inventory performance, sellers need to avoid redundant and overage inventory. As long as the number of redundant products is reduced, it can generally be directly Improve sellers’ inventory performance. At the same time, sellers need to maintain sufficient inventory to meet expected sales within 30-60 days.