Low Inventory question

I currently manufacture and sell a bunch of both FBM and FBA items. Once genre I do ONLY FBM, I am thinking about moving it to FBA.

My item is a monthly item and is has a very short selling period. My FBM history tells me that these items start to sell 45 days before the start of that month/
.
Example, my item for MAY will start to sell April 8th, there might be a few sales before that date and they will normally stop May 15th.

Based on what I am reading, I will not be selling this item FBA for 90 days to create a 90 days historical history therefore I will not get a low-inventory fee. Do I read this correctly?

I will be selling FBM outside of this 45-60 day span.

I typically sell this FBM but I did a trial over the last 2 months and my sales doubled, with FBA, so I might start do to this going forward.

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Perhaps; the published policy as currently written certainly states that the ‘below 28’ trigger will only be in effect if both the 30-day and 90-day window illustrate that figure - something that several of the members of the FMT-CMT have been running around stating in multiple NSFE discussions for the past few weeks.

That being said, the policy announced in the 19Dec2023 News Headline Plan FBA inventory levels using a new metric (link, Seller Central) also stipulates that the program will not be implemented until 1Apr2024 - but there are already multiple reports (many of which have been credibly substantiated in related discussion venues) of 3P Sellers having already been assessed this new fee in February.

I wouldn’t hang my hat on what published policy currently states, in this instance, without conducting a trial run guaranteed to minimize exposure to damaging hits to the bottom line as Amazon twists in the wind, for your proposed course of action.

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With very few exceptions, FBA will probably cost you less than FBM regardless, so just factor in that you may be assessed the fee as a potential cost and as long as that’s OK just let the cards fall where they will with the fee.

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True, its a small 5.9 oz item.

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I sell both FBA and FBM (books; depends on sales rate and pricing as to how I list it); from what you’ve stated about your product, I would advise probably not selling it FBA, regardless of this fee.

In many cases, a shipment to FBA may take a week or more to receive (usually faster, but sometimes has been over 10 days). Then once received, some or all of the inventory might be transferred to other FCs. It is not at all uncommon for me to ship in a book, wait for it to be received, then finally see it listed with a “Receive by” date to the customer as much as 6 weeks after I shipped it in. This usually ends up being quite a bit less, but is hard to predict. For an item with a short selling window like you mention, this could potentially kill all of your sales.

Then you are left with the next problem; removal fees. Gone are the days of Amazon disposing of inventory for 15 cents; it’s now over $1 PER ITEM, so if sales tank a bit, or there are problems with timing, you could be stuck with a significant charge for removal of what, based on your description, I assume is “dead inventory” if it doesn’t sell in a month.

Perhaps it would still work well for you, but be aware of those issues.

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If I plan correctly like I have for the last few months, I get products there in time and allowing for the FC transfers. I typically sell out them and just finish the time FBM. My sales have doubled FBA on this particular item.
I think lime some one mentioned before IF I got hit with it it’ll be minimal.
I’m really trying to bebsure I understand this new policy correctly.

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Good to hear you figured it out. Planning on selling out and finishing FBM sounds like a good way to do it.

Aren’t we all??? :person_shrugging:

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