How to manage Amazon inventory well in the second half of the year
Freight skyrocketing, inventory management imperative!
As of July, at least 50,000 Amazon China merchant accounts have been affected by the closure, and more than $1 billion worth of overseas inventory needs to be cleared. Preparation for the busy season in the second half of the year began, but the global congestion, 353 cargo ships motionless, 570 ships waiting for loading and unloading, cargo always floating on the sea. All kinds of uncertain factors, so that sellers of inventory management is more difficult, redundant inventory will be where to go?
This can effectively prevent the order production cycle by a number of relationships to jump the queue and elongated, resulting in a shortage of embarrassing situation. Many big brands have specialists who liaise with suppliers to ensure information about order progress is kept in sync. It is necessary for Amazon sellers to know the production, transportation and arrival time of products. Respect and proper communication will be of great help to sellers. Sellers and suppliers can further understand each other and fix the delivery time to some extent.
3. Reduce tedipus inventory
If a seller overestimates how much a product will sell, there are several ways to relieve inventory pressure:
With promotions. Sellers can reduce inventory pressure by adding coupon codes, offering two-for-one deals, or offering deep discounts. Even if the seller is making a loss, if the product is sitting in a warehouse for a long time, the effort will be much greater than selling it cheaply.
Improve keyword bidding. Whether the seller is willing to spend money on advertising, have to admit that advertising is to increase product exposure, drive product sales of the most immediate method, improve the target keyword bidding products to seize good exposure "pit", so as to better realize the purpose of inventory.
Create a removal list. If a seller has a place to store items for sale other than their Amazon FBA warehouse, the seller can choose to create a removal order at the seller center and move the inventory to that location before being charged a large storage fee. Amazon sometimes runs promotions and offers to transfer inventory for free.
Clearing inventory. Clearing inventory is usually a last resort, and if all else fails, then the seller can try to sell any remaining inventory at a deep discount. This will allow sellers to regain liquidity to invest in better products
Donating unmarketable products. Sellers can also choose to donate the product to a charitable or nonprofit organization, such as Goodwill, for a tax deduction.
4. Prepare for emergencies
The epidemic has caused delays in logistics, transportation and customs clearance of products. According to statistics, 53% of American consumers have begun to feel that their online shopping experience has declined due to the unstable status of products in stock since March 2020. That requires sellers to start stocking extra goods, or even use third-party storage centers, to avoid the embarrassment of running out of stock if orders are delayed. Of course, if sellers have limited funds, it's best to stay put.
Inventory Manager is a market demand forecasting tool designed to calculate Inventory requirements for seller Amazon's FBA business. The tool will predict future sales based on demand, which will help sellers determine inventory to avoid shortages or overstock.