Inventory Management Strategies for Amazon Sellers

I just watched a DTC brand lose $1.2M in Amazon sales. Their crime? Running out of stock for 3 weeks. Here's what most sellers don't understand about Amazon: It's a MOMENTUM game. When you run out of stock: ✎ Your organic rankings plummet ✎ Amazon's algorithm penalizes you ✎ Competitors steal your customers ✎ Rebuilding takes 3-5× longer than the stockout period The math is brutal: ✎ 3 weeks out of stock ✎ 3-4 months to recover ✎ $1.2M in lost sales This isn't theory. I've seen it happen repeatedly. The solution? A proper inventory management system: ✔ AWD (Amazon Warehousing & Distribution) as a buffer ✔ Maintain 60-90 days in AWD, 30-60 days in FBA ✔ Create FBM backup listings for emergencies ✔ Set reorder points based on lead time + buffer When we implemented this for our clients, stockouts became a thing of the past. One client went from 6 stockouts per year to ZERO. Their sales increased 43% year-over-year just from consistent inventory. No marketing genius required. Just boring, effective systems. Is your inventory management leaving money on the table?

From $2M to $24M: The Power of Strategic Inventory Management and Optimization Let me tell you about a company that came to me with solid sales—around $2 million—but they were hitting a major wall. The issue? Constantly running out of stock and an “it’s okay to be out of stock for a few months” mindset. 🚫 Here’s the reality: if you’re serious about growth on Amazon, that approach is a recipe for failure. We flipped the script immediately. 📦 First, we optimized every listing—targeting the right keywords, upgrading visuals, and ensuring every high-demand variation was consistently in stock. We even brought in air shipping for faster restocks, despite the cost. Why? Because the price of missing prime search rankings is far greater. When a best-seller sells out, you don’t just lose sales—you risk tanking your ranking altogether. Beyond that, we refined their inventory strategy. No more overstocking slow-movers that were tying up cash flow. Instead, we focused on high-demand items, broke up case packs, and used every advantage Amazon’s algorithm could offer. It’s all about keeping what sells, selling, and freeing up cash for reinvestment. The result? This $2 million operation scaled to $24 million in two years. 🚀 No gimmicks, just disciplined management and a laser focus on strategy. That’s the reality of winning on Amazon. You can’t just list and hope for the best. It’s about optimizing every detail, staying ahead, and never letting your momentum slip. #amazonppc #AmazonSellers #AmazonAdvertising #AmazonFBA #AmazonSeller

Inventory will make, or break, your Amazon FBA business.   You can take all the right actions with your marketing to scale your sales on Amazon.   And your sales grow, let's say, 37%. 🤑   And your listing rank went from 4,372 to 2,371 organically. 🎉   But if you forget to ship your product in on time…   In just one week your organic rank will revert from 2,371 to 4,372+. 🙁   Organic rank comes slowly.   It goes quickly.   Staying in-stock is critical if you want to succeed on Amazon.   Start with ABC classification.   Break your products into three tiers:   A Tier: Greater than 5%   B Tier: 1-4.99%   C Tier: Less than .99%   Next, identify your lead time - how many days does it take to get product in?   Finally, identify your unit sales velocity.   Combine these three together, ABC classification, lead time, sales velocity.   Build an excel & run the report weekly to identify what is running low based on your recent sales velocity, & how soon you need to ship accounting for lead time.   Analyze your excel every Monday.   Never let you’re A tier go OOS.   Always keep up with B tier products, trying to get the lead time just right.   For C tier, do your best, but if cash is tight, or time is thin, it's okay to go OOS on C tier's occasionally as it will be low impact on your sales.   #Amazon #Inventory #ecommerce #digitalmarketing #sales

Amazon Sellers, managing inventory in 2024 isn’t just about staying stocked; it’s about keeping the right products available without drowning in unnecessary variations. “Never go out of stock.” This is Commandment #1 and #2 for a reason. Run out of inventory, and your rankings and sales take a dive. 👉 Reconnect Excluded Listings: For international sellers, ensure your listings are live in each region. Use Amazon’s “Build International Listings” feature to reconnect any excluded offers in target marketplaces. 👉 Limit Variations to Avoid Cannibalization: Adding too many variations might spread your sales thin. Focus on top-performing versions to strengthen SEO and protect your ranking. 👉 Download Monthly Inventory Reports: Regularly download Amazon Fulfilled Inventory Reports to track stock levels and spot issues early. Stranded inventory or incorrect stock levels hurt performance, so get ahead with a monthly check. These proactive steps keep inventory streamlined, prevent missed sales, and reduce last-minute restocking panic. Start with solid product knowledge and build inventory routines to stay agile in Amazon’s ever-shifting marketplace. P.S. Staying stocked isn’t just strategy; it’s survival. With a routine in place, you'll keep your listings sharp and your sales steady.

Amazon Sellers: Inventory limits are back, and they’re already affecting Prime Day for many Brands. Here’s what I’m doing. At GNO Partners we’re working with over 200 Brands. Lately, many brands discovered their FBA limits were cut, blocking them from creating new shipments. This creates a big problem for many brands before Prime Day. If this is affecting you too, here’s what we recommend… 1. Buy more FBA space • Go to FBA Dashboard → Capacity Monitor • Click “Create a new request” and bid for more space • If it’s denied, increase the bid and resubmit • Once approved for July, June will unlock under “Early Release” • Open your shipments Tip: Request at least 50% more space than your current limits 2. Use AWD (Amazon Warehousing & Distribution) For long-term stability, start integrating AWD into your logistics. Amazon is prioritizing AWD, so aligning with them is a wise idea. • Ship more inventory to AWD. • As limits free up, transfer units from AWD to FBA • Save your buffer stocks there, as close to FBA as possible. This will come in VERY handy in Q4 to save on the crazy storage fees of FBA. If you're stuck with inventory, don't wait. Don’t let your brand lose momentum over inventory… Want a VA-ready, step-by-step guide to buying more FBA space? Comment "Inventory" below and I’ll send it to you.

"My company is afraid to spend, but they're losing money by running out of stock." The irony is real: Amazon sellers know the pain of achieving high rankings only to see them plummet from inventory issues. I spoke with a seller facing this frustrating cycle—they hit their highest revenue and then ran out of stock, causing a drop in rank that could take weeks (and major ad dollars) to recover. Sellers trying to scale can learn a lot from this common challenge. If you're managing inventory in-house, here are some critical steps to protect your hard-earned momentum: 1. Forecast Conservatively for Surges - Track sales velocity and stay proactive. Stock at least 60 days of top sellers to handle peaks without crashing into zero inventory. 2. Consider Dual Fulfillment - If you’re only using FBM, having some inventory on FBA can stabilize your rankings. Running both can help buffer those inevitable stockouts. 3. Re-evaluate Your Margins Regularly - Recalculate margins every few months—particularly if inventory fees were keeping you FBM-only. Demand and cost structures shift, and so should your strategy. Get on Top of A+ Content and Image Quality - Content sells. "Old-school" product images don’t cut it anymore. Invest in A+ content and conversion-focused images, especially if there are high-margin products in your catalog with untapped potential. For any Amazon seller wanting to break the stockout cycle and keep scaling, the key is creating a proactive strategy—not a reactive one. What’s been your biggest inventory challenge? Let’s chat in the comments. Follow me for more tips on how sellers can scale smartly on Amazon.