@primetime See the thread below for a more detailed explanation from OakWallet.
That is a 2018 thread, I do wonder if the factors are still computed the same now as they were then? But, because it is another secret algorithm, do any of us really know? I lost a supplier who decided to become their own Amazon seller. I am now selling down that inventory and cannot restock. I believe those sku’s, and the out of stock sku’s that have replenishment’s waiting much longer than normal for warehouse check-in, are holding my score down. I can’t prove it, I can’t calculate my own score. Changes made in the other IPI categories are not raising the score.
This link (in the thread you referenced) Inventory Performance Index
leads to this:
Categories that influence your IPI
Currently there are four categories of recommendations to help improve your IPI:
- Reducing excess inventory to increase profitability
- Increasing sell-through to balance your inventory weeks of cover
- Ensuring inventory is buyable by fixing listings that are stranded
- Increasing sales by keeping popular items in stock .
The use of influence in the title implies that the factors listed do have an impact.
Funky’s reply on that thread claims that her score improved after converting the FBA sku;s to FBM. I had the same theory and just converted many last night, it will be interesting to see if the score moves.
Things seemed fairly consistent with IPI until a few months ago. But lately I have seen metrics / IPI scores that don’t fit with the old calculations. Some sellers with bad visible metrics have high IPIs; some sellers with nearly-perfect visible metrics have low IPIs.
I believe they changed the formula to put a lot of weight on how much items sell for compared to their size. I highly doubt any change was made to use the In-stock rate.
Funky got her IPI score up over a few months, but it was by boosting the other factors (especially sell-through).
At this point I honestly don’t know what to tell anyone who is trying to increase their IPI. Mine hasn’t made sense for months.
IIRC, Funky was very confused about IPI and how to best manage inventory in the wake of its release.
In any case, the FAQs on that page still state:
"How does my FBA in-stock rate affect my IPI score?
Your FBA in-stock rate indicates how much value you’re getting out your products by staying in stock on replenishable ASINs. For example, if you go out of stock on a popular product, your lost sales represent a missed opportunity to increase your IPI score. However, IPI points are not deducted for running out of stock nor for the type of inventory you offer."
And additional FAQs at the link at the bottom of that page state:
"How does my FBA in-stock rate affect my IPI?
Your in-stock rate indicates how much value you’re getting out of your products by staying in stock on replenishable ASINs. For example, if you go out of stock on a popular product, your lost sales represent a missed opportunity to increase your IPI. However, short-term delays in restocking your replenishable ASINs will not result in IPI points being deducted for running out of stock. Over the long term, if you don’t replenish a popular product, the remainder of your inventory has low sales, or if your inventory is unproductive, your IPI score will be affected."
In those same FAQs, Amazon references the change they made in Janurary:
"Effective January 20, 2020, your IPI score considers both your recent and long-term inventory performance. Your IPI is based on the time duration that results in a higher score.
Our aim was to ensure that IPI represents your overall inventory performance. We’ve changed the IPI calculation so that scores are responsive to recent improvements and more stable for sellers with seasonal sales fluctuations or recent changes in inventory management."
I suspect that during the onset of the pandemic when they said IPI wouldn’t be affected, they tweaked something to make the score more sluggish to respond to negative factors. And I think it’s even a possibility that same tweak is still in place and might actually be making IPI scores more sluggish to respond to positive factors as well. But that is all of course just speculation.
My IPI score today 10th of August 2020, week 33 is of 507. I’m safe, right?!!.
Storage limits schedule Storage limits are set by volume. Your remaining 2020 storage limits will be determined based on your IPI during two score check weeks: the week of July 12, 2020 (Week 29) and the week of August 10, 2020 (Week 33). You are not subject to storage volume limits if your Inventory Performance Index is 500 or above on either one of these score check weeks.
Yes according to the rules they set out, you should not have storage limits.
So here is my question, we were below 500 on July 12th but our score is above 500 now, why does the expanded storage monitor still say we will have storage limits next period? Seems like that should have updated?
Congrats! The week # 33 just started. We should receive the e-mail from Fulfillment by Amazon sometime this week.
If your IPI is already updated today (as far as I remember, even though most sellers IPI was updated on Mondays, some said theirs updated another day), you should be fine. Congrats again!
I went up 19 points, 6 points before that.
Someone for goodness sake check the veracity of the IPI score. I have reported errors in IPI calculation extensively and nothing seems to be getting done about it-----basically here is what was reported----sellers should check their information because if their IPI is calculated based on same erroneous data they will be penalized for Amazon error---- I have tried everything to get my IPI over 500 and something is really wrong. When i Click on Inventory Planning, Then look at my IPI it is 440 yet the pieces do not add up—click on the IPI chart and it brings up "top influencing factors" and the ONLY one showing a problem was Inventory Sell Through. When you click on "improve sell through" it brings up the inventory with sales details and other pertinent data. The issue is that the "sales in the last 90 days" is NOT close to being correct. In one case it showed that we had sales of 1 item in 90 days and had 59 in inventory–so by that measurement i had 15 years in inventory. When i checked this report against seller central actual sales we actually sold 19 of this item in the last 30 days so i had just under 90 day inventory and NOT FIFTEEN YEARS,
Since the IPI is based upon the ASINS they show as “POOR PERFORMERS” it is no wonder the IPI is WRONG—THE IPI SELL THROUGH MEASUREMENT WHICH AMAZON IS HOLDING AGAINST US IS WRONG–THEY HAVE INCORRECT SALES DATA WHICH MATERIALLY AFFECTS SELL THROUGH PERFORMANCE AND THIS IS BEING HELD AGAINST SELLERS----COME ON YOU REALLY CANNOT HAVE TWO TOTALLY DIFFERENT SETS OF NUMBERS—IN MY CASE AMAZON SAYS I HAVE A FIFTEEN YEAR SUPPLY WHEN I ONLY HAVE A 90 DAY SUPPLY on one of the attached ASINS—DOESN’T ANYONE CHECK ANYTHING?
Especially when Amazon is holding performance against sellers which they have incorrectly calculated,
You have set a performance review date of just over a week away to improve our IPI score yet our IPI score in=s not correctly calculated as just a few of my listings show—i have scores more that are totally incorrect and are negatively impacting my IPI score because you are using incorrect data
I had included scores of screen shots supporting the conclusion that there is an error in the IPI calculation
How do you get this page? What to click? Thanks
You should. You should also get an email from Amazon about this. I got mine yesterday.
It is at the bottom of the shipping queue page.
I am wondering why I have been assigned space for Footwear storage when I don’t sell in the Footwear category. It would be nice if that space could apply to a category I do sell instead.
Will there be a possibility to appeal the IPI assignments?
How to get to shipping queue? Not Manage FBA Shipment, isn’t it?
No. I read it somewhere though don’t remember where.
Yes, manage FBA shipments link goes to the queue. There is also a link at the top of the manage inventory page.
lol read the post you replied to…FBA SHIPMENTS. bottom of the page, click expand.
You mean Inventory -> Manage FBA Shipment?
I really don’t have it. That’s ok. Maybe mine doesn’t have?
Your FBA manage inventory page doesnt display that? I dont even see how you could remove it if you wanted to.