Inventory Performance Index threshold will change to 450


#21

No.

Individual SKU’s will still have a restocking limit.


#22

The restock limits in place at the beginning of Q4 were doable. The new limits that went into effect around the second week of December are draconian. You just can’t stay in stock with the current restrictive restock limits and the amount of time Amazon is taking to receive inventory and make it available.


#24

What really makes this sting is that the IPI score is a black box algorithm that Amazon is changing frequently. Today when the morning update hit my score went up 4 points from last week. Then suddenly this afternoon it jumped another 8 points. It NEVER updates outside of Monday morning. The only reason it would both update and change noticeably is if Amazon’s programmers changed the algorithm today. Things like this combined with the complete lack of notice on IPI changes make it impossible to forecast inventory or needs for Amazon and as a result make it impossible to invest in factories and growth.

Business’s need reliability, even if it’s “bad” news, consistency is so important and I get that Covid is unprecedented but we are almost a year into Covid and I know Amazon at this stage would NEVER accept us having issues because of Covid.


#25

Can you tell us when the restock quantity limits will be removed?


#26

Doesn’t Amazon usually provide two “score check weeks” for IPI? Seems like we only got one week here.


#27

Can anyone confirm if amazon is reading week 52 (last 7 days) as the IPI metric? Or week 51?

Week 51 I was above 450 IP but week 52 I was below 450 IPI and now I have a storage limit for “next period storage limit”

Just hoping it’s lagging to be updated to unlimited.


#28

I question the validity of the strategy / logic in this communication. When was it determined, declared or decided that customers were looking for low prices? I never got the sense in my circles or my world, or when observing people, friends, shoppers, etc. that the online Amazon shopper wanted low prices, or that it was in any way some kind of priority or even a consideration to them.

All this race to the bottom is doing is take millions of sellers, many who did quite well in business climates of the past and economies of the past and limit them to struggling to make minimum wage, while working too many hours, making too much of an investment, taking too much risk, - all for too little return.

Its like going to the gas station to fill up, the sign says 3.22 per gallon, and you start arguing with the attendant that you want to pay 6.50 per gallon instead. "No please mister, my family doesn’t need to eat this week, we still have a bag of white rice in the pantry, - take more for your lovely gasoline, please!

People are shopping Amazon for the convenience, so why is everyone getting squeezed along the way. The warehouse workers, the 3rd party sellers, the drivers, - all dealing with the customer who is willing to pay more, and compensate everyone, so they can have their selection and their convenience, and we are arguing with them and saying “No! Pay less, we don’t need to get paid for our efforts a comfortable wage, give us less money for that same product that you would have happily paid more for.”

I think in that one sentence we have discovered, or uncovered, the crux of the whole problem.

Thanks for listening to me,

Uncle Charlie


#29

Certainly doesn’t help if we’ve been selling since the beginning to October and still don’t have a score. LOL. But thanks.


#30

Agree this year was a nightmare in terms of restock limits. Algorithm did not consider seasonal products in Oct and Nov when we usually stock up so we could not ship. Suddenly in Dec the limits rose but it was too late to get stuff on the shelves so Amazon ran out of stock. There was plenty of stock in the parking lot of the fulfilment centers.


#31

My IPI shot up 21 points yesterday. It had been steadily declining for months about 1-3 points a week and had finally stabilized and started climbing by 1-2 weeks this month. My metrics hardly changed in the last few weeks but now it shoots up 21 points all the sudden? They obviously changed something on the back end.


#32

Wouldn’t that say “unlimited” or will change coming January 1st?

What is not clear in this sentence?

  • If your IPI is 450 or above in week 51 of 2020, starting January 1, 2021, you will not be subject to storage volume limits.

#33

This past summer didnt they increase the IPI to 500?


#35

So now FBA accepts a small quantity of a lot of different items that sell a little, but haven’t done anything to change the restock limit for bestsellers, and it keeps only accepting 200 units of a product that sells a 1000. Thank you for nothing.


#36

I have products that are 20 days of supply left and they aren’t letting me send in more units


#37

How long does it take to sell 1000 ?


#38

Depends on the product. For instance, an item that sells 200 in 1 week only receives permission for restocking when it is too late. And after you ship, it gets almost 2 weeks for FBA to process everything and make the item available. This kind of limitation is really harmful to small businesses because it requires a level of planning with logistics that requires somebody with a degree in logistics to do this work. Besides the fact that smaller and most frequent shipments are more expensive, requires more work and a lot more time. And for the Amazon’s brown noses, yeah, I know we can ship ourselves, blah blah, blah, but the transition takes time, the ASIN loses the Prime badge, etc.


#39

@Blame_the_Seller I was unable to do the math of how with a limit of 200 units you are able to sell 1000 units per month.


#40

The first day of this week is December 14 and ends on December 20 .


#41

Nothing hurt us more in 2020. The way Amazon implemented this new rules is unbelievably poor.

The way the restocking limit is updated is absolutely ridiculous and totally anti-business. During the last 3 weeks, we have been out of stock almost every other day although we did send inventory every time it was allowed (sometime even twice a day).

How can one keep a limit of 200 units for a product that sells 40 units per day, especially when it takes 7-10 days to have a product in stock since the shipment is created?

Absolutely ridiculous. Worst business experience ever.


#42

@Bruno_Isabel
…very soon I’ll be accused of defending amazon or employed by them…
But, this policy was known to sellers for few months and we had to adjust to it, by using FBM.