Storage Fees

Storage fees on Amazon are monthly costs for storing inventory in fulfillment centers, varying by season and volume. Effective management of these fees is essential for profitability, requiring sellers to optimize inventory levels and utilize the Inventory Performance Index (IPI) for better decision-making.

Inventory Performance Index (IPI)

The Inventory Performance Index (IPI) is essential for Amazon sellers, reflecting inventory management efficiency. A higher IPI score leads to better stock levels, increased sales, and improved visibility, while a low score risks storage limits and penalties. Regular monitoring is key.

Restock Limits

Restock Limits are the maximum inventory quantities Amazon sellers can send to fulfillment centers, influenced by account performance and sales history. Managing these limits is essential to avoid stockouts and ensure optimal sales and cash flow.

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