In-depth understanding of the application of Amazon’s general measurement method and its calculation method
On Amazon, choosing the right stocking method is crucial to boosting sales and optimizing inventory. The general measurement method is an effective stocking strategy, especially suitable for specific product categories and situations where demand fluctuates greatly.
Applicable product categories
The general measurement method is particularly applicable to the following types of goods:
- Products whose sales fluctuate significantly
- Non-standardized products
- Products that are about to be in or out of season
- Personalized and customized products
- Hot-selling products with rapid sales growth and daily sales of more than 30 pieces.
Calculation method
In order to facilitate calculation, the general measurement method uses the disassembly formula for inventory calculation. Predictions can be made by setting an intermediate variable (k), although this variable has no specific meaning in practical applications. This method develops visual calculation tools, such as Excel, so that the sales superposition method can be combined with the general measurement method for quantitative analysis.
How to use
This method pays special attention to popular products with rapid sales growth. Its calculation principle uses the growth rate of average daily sales, and uses the daily average sales changes in the past 30 days, 14 days and 7 days to predict the sales fluctuation trend in the next month to guide stocking. Through this method, merchants can adjust inventory in time to respond to potential market demand.
Method evaluation
General measurement methods have many advantages:
- Applicable to all product categories
- The calculation error is small
- Unified calculation methods
- It can effectively predict hot-selling products and hot-selling products to reduce the probability of out-of-stock products.
It should be pointed out that this method may be affected by severe evaluation fluctuations in the short term during the application process, resulting in an increase in the error between actual sales and estimated sales. In addition, when actually preparing goods, merchants need to comprehensively consider multiple factors such as business scale, product category, market conditions and costs to reduce uncertainty.
In short, the general measurement method is a flexible and powerful stocking tool that provides Amazon sellers with reliable sales forecast and inventory management support in a dynamic market environment.