Detailed explanation of Amazon inventory management strategy and update frequency
Inventory management, as one of the core aspects of Amazon store operations, plays a vital role in improving operational efficiency, reducing costs and enhancing customer satisfaction. Effective inventory management can not only ensure adequate supply of goods, but also help sellers Optimize inventory structure to avoid increased costs caused by slow sales or excessive hoarding.
Importance of inventory management
In Amazon’s product operations, inventory management is a crucial task. Inventory capacity limits are directly related to the number of goods that sellers can store and ship, so reasonable and efficient inventory management is crucial to improving sellers’ sales performance. In order to ensure that customers do not wait too long due to insufficient inventory during the shopping process, the impact In terms of consumer experience, Amazon sellers need to reduce inventory backlog and waste through reasonable inventory planning and management, thereby reducing inventory costs. At the same time, through effective control measures, speeding up inventory turnover and increasing financial returns is also one of the important goals of inventory management. one. In addition, it is also necessary to prevent issues such as inventory expiration, damage or theft to ensure inventory quality.
Inventory capacity management strategy
Remove unsaleable products
Clear unsalable or unsalable products in a timely manner to release storage capacity constraints. This can be accomplished by selling the product, moving it to Amazon’s long-term warehouse, or picking it up from an Amazon warehouse.
Optimize inventory
Ensure good inventory rotation, reduce the risk of slow sales, and increase inventory turnover. Improve inventory management, ensure good inventory rotation, and reduce the risk of slow sales.
Use Amazon FBA multi-channel inventory
Reasonably allocate inventory to different Amazon international markets to maximize the use of storage capacity.
Planned inventory
Use sales data and seasonal trends to reasonably plan inventory to ensure sufficient inventory during peak demand periods. Based on forecast needs, formulate corresponding inventory plans, including inventory type, quantity, time, etc.
Application for storage capacity limit increase
If necessary, you can apply to Amazon to increase the storage capacity limit. This usually requires meeting a few conditions, such as maintaining good account performance.
Inventory capacity limit update frequency
According to Amazon’s new storage capacity policy, the third Monday of every month is the time when storage capacity limits are updated. Amazon will announce new storage capacity limits within a week, and sellers can check it through the “Capacity Monitor” in the Amazon logistics control panel. Currently, Amazon’s backend storage capacity has been updated successively in March, April and May.
Analysis of Amazon’s New Storage Capacity Policy
According to Amazon’s official statement, the original inventory limits and quarterly storage limits will be replaced by unified Amazon storage capacity, which determines the merchant’s delivery limits and storage limits. This change means that additional replenishment is eliminated Limits, unified use of Amazon storage capacity. Sellers are no longer limited by the number of shipments, but divided storage capacity limits based on the type of storage required for the goods. In addition, in addition to knowing the storage capacity limits clearly stated for the next month, Amazon can also See estimated storage capacity for the next two months.
Through the above measures, sellers can respond to the storage capacity needs of different types of goods through reasonable storage capacity management based on actual conditions, thereby better adapting to market changes and sellers’ needs.