Every Amazon seller will encounter issues with inventory now and then and it’s completely normal. However, the reality is that it’s just a matter of being prepared to handle any issues that arise.
Out of stocks
Insufficient items in your inventory to meet customer demands could impact your rating on your listing and directly affect the sales. The main goal should be to not run out of stock at all costs.
This is true even if you are required to decrease sales, increase prices, or be more cautious with your advertising campaigns. People who are familiar with your brand will continue to shop with you even but this will make it harder for you to make contact with new buyers.
Keep in mind: the longer your items are unavailable, the more detrimental it is for your organic keyword and your Best Sellers rank.
It’s not surprising that Amazon is a good choice. Amazon platform would like to work by promoting listings that are currently available. If you are unable to resolve the issue quickly it could take more time to get it fixed.
Inventory that is not being used
Likely, you do not wish to run out of stocks. However, the reverse is that of overstocking. This doesn’t do any good either.
In the beginning, this could be your money that you can then make use of to buy more popular products or invest it in another method. Additionally, if you’re using FBA prepare yourself for hefty storage fees through Amazon.
Amazon isn’t storage or warehouse. It’s a fulfillment center that would like to see goods move through 90 days. The quicker the more efficient.
Therefore, if at most one item is longer than the 90-day period stock The platform will consider it as surplus inventory.
This can, in turn, has an effect on the performance of your inventory index and will reduce the storage limit and also raise long- and short-term charges.
Sometimes, the fees could be greater in comparison to the price of stocks that are not sold.
To know more about Amazon Inventory management click here.
Inventory that is stranded
This is a common issue that many retailers do not know what to do about it. Stranded inventory occurs when the products stored at one warehouse at Amazon are not linked to an account on its site.
This is a form of limbo: products are sold but customers are unable to purchase them.
The biggest problem with this problem is that, even if items aren’t advertised for sale, the seller is still accountable for storage charges for each unit.
Luckily, Amazon will collect information regarding the inventory that has been stranded on the Inventory Dashboard of your account. Make sure to check this page frequently since Amazon does not notify you about it.
When it does after that, you’ll notice the Fix Stranded inventory button. To determine what you need to do next, just hover over the reason why your inventory is stuck to find directions and additional information.
Storage charges for long-term storage
Another problem you could encounter when you have excess items in the fulfillment centers is that they may get a substantial invoice from Amazon. It is contingent on the number of units that are stored Amazon considers it to be long-term.
Every 15th day of the month Amazon reviews its fulfillment networks to determine the condition of its stored inventories of the sellers.
It is calculated at the point it reaches Amazon FBA. Anything that is stored for more than one year or more is subject to storage charges in addition to the monthly fees for storage.
Recommended Guide: How to become an Amazon Seller.
