Update: Credit for FBA low-inventory-level fees incurred during April 2024
As announced in December 2023, the FBA low-inventory-level fee will go into effect on April 1, 2024. This fee applies to products with consistently low levels of inventory relative to their unit sales, which is also referred to as your historical days of supply. Maintaining sufficient inventory levels allows Amazon to effectively distribute products across our fulfillment network, which improves shipping speeds for customers and helps drive more sales for you.
We have heard feedback from a number of sellers that they are still uncertain what the exact effect of this fee will be on their business. To help you better see how this affects your business in real time, we will provide a transition period during the month of April.
We will still charge the FBA low-inventory-level fees incurred between April 1 and April 30, but after the end of the month, we will credit your account for all low-inventory-level fees charged during this period. Our goal is for you to see the end-to-end experience, and understand how this may affect your business so you can further update your inventory management to maintain sufficient inventory levels, drive greater sales, and avoid the fee in the future.
How it will work
Starting April 1, the transition period will begin. You will still be charged the fee on eligible products shipped with historical days of supply below 28 days. Then, we will credit back any charged low-inventory-level fees for units shipped between April 1 and April 30. You can expect to see this credit in May.
Starting May 1, the fee will be charged without a credit back. You can avoid the fee by ensuring that either the long-term historical days of supply (last 90 days) or short-term historical days of supply (last 30 days) are above 28 days (4 weeks). April will give you an opportunity to understand if your current inventory management actions will effectively avoid the fee, or if there are adjustments you can make to avoid this fee so you're prepared going forward.
For more information on the low-inventory-level fee and what qualifies, go to Low-inventory-level fee.
Thank you for your continued partnership.
116 replies
Seller_tzb0Adb4whsRu
This is absolutely ridiculous.
Sellers are trying to avoid long term storage fees, aged inventory fees, and maintain monthly storage fee costs.
Now we're being charged for low inventory fees. How in the heck are we suppose to find that "sweet spot" of inventory when sales vary from month to month?!?
FBA fulfillment centers are taking 2-3 months to even complete/check-in a shipment which makes it even harder for sellers to keep track of their inventory.
How about Amazon fix their part of these problems before making sellers pay for them.
Do the historical days include units that are inbound?
Looking forward to an answer :)
Seller_XJ5fPXK82lIHl
THIS ^,
The stock has been stagnant and they need to keep shareholders happy somehow
Seller_XJ5fPXK82lIHl
Let's not forget about all the packages that get sent into the AMZ warehouse and when it gets checked in they say there are 0 units in the box. LOL This has happened so much recently
Seller_MkgNcaF9FKJlz
Interesting, isn't it? One of the MANY reasons I refuse to do FBA. We are about to sell our 20 years FBM Amazon store because we are sick of the nickel and diming... and we don't even do FBA! Amazon will be changing a LOT in the years to come. Time will tell if they are doing right by their company, or running it into the ground. Regardless, it will not be the same, and will not have the same caliber of sellers.
Seller_Xm9ZXdbDd6NZw
Inbound is not counted but transferring should be.
"Average daily inventory units is sellable FBA inventory units in our US fulfillment network only. It is calculated by adding up inventory units available for sales, units that are being transferred between fulfillment centers, and units reserved that are not currently needed to meet immediate customer demands."
"How is the historical days of supply affected by inbound delay (for example, a delay in receiving inbound units)?
The low-inventory-level fee considers a product’s long-term (last 90 days) inventory performance, and a minor inbound delay is not likely to affect your long-term (last 90 days) historical days of supply metric. We recommend that you manage your product’s long-term (last 90 days) historical days of supply to prevent the fee."
Given how bad delays can be at some centers this is another stick in the cogs. Especially come holiday time. I don't even want to think about my seasonal products, especially since it's calculated at parent level. My seasonal are different variations that sell vastly differently.
Seller_7rNklHYkq1IwY
Why would any of us pay UPS to ship a large, empty box? And somehow providing an invoice magically proves what was or was not included in that shipment. Where is the logic in any of this?
Jim_Amazon
@Seller_tzb0Adb4whsRu
Historical Days of Supply only takes into account the on hand inventory that is available for purchase.
-Jim
Seller_xKmAfN5CVK9Kf
Jim does your team know that the calculation method for Historical days of supply is not correct?
"Average daily shipped units " it looks like this number is being pulled from the ASIN overall, not from the individual seller. So while the ASIN might have sold 100 units over the course of the month, if there are 3 sellers on the listing the actual amount being sold by each seller might be closer to 20-30/units a month. I've noticed this on countless number of ASIN that the average daily shipped units is overestimated this is resulting in a lower historical days of supply. In a number of cases it would result in overstocking fees if I sent more units to get my historical days of supply higher.
Jim_Amazon
Hello @Seller_xKmAfN5CVK9Kf
Thank you for reaching out! Average daily shipped units is all units shipped from our US fulfillment network, regardless of customer location. For example, units shipped to customers outside of the US through Remote fulfillment with FBA are included if the units ship from our US fulfillment network.
If you're seeing something else, I would appreciate further information from you that I can take to the team. A screenshot would help!
-Jim
Seller_xKmAfN5CVK9Kf
Absolutely, again this is just one example. But I have many like this.
Stating I am selling 4.53 units/day. But if you do the math I am actually selling far lower, closer to 2.06/units a day. I have 80 units on hand, and my inventory is showing as healthy, based on my actual sell rate I would have roughly 40 days of supply.
I can provide more examples if you like but I notice the "Average daily shipped units" is not accurate on listings especially with multiple sellers and can vary quite a lot. In any given month there can be 2 sellers up to 7 sellers for this same product, obviously with 7 sellers the amount being sold per seller will drop dramatically and can also increase dramatically if a seller runs out of stock.
Jim_Amazon
Thank you for sending this!
I've sent this off to the team to look into. They've let me know that this product is part of a variation family as the second image has the Parent ASIN within it and the the low-inventory-level fee is done at the parent product level. Everything seems to be showing correctly.
Also, I'll be removing these screenshots to ensure your information is protected!
-Jim
Seller_xKmAfN5CVK9Kf
The problem is why are you using parent level data, when you have more accurate individual ASIN sell data? Every other part of your website is stating I have healthy and enough inventory for 40+ days.
This is resulting in inaccurate sell-rates and inaccurate inventory levels. It is asking me to send more inventory when I know I have enough inventory. Over the long term is it going to result in unnecessarily high inventory levels using this method.
Seller_XJ5fPXK82lIHl
This fee needs to be done away with completely. There is no reason to have this fee when you are already charging us for placement fees.
The idea behind the "low inventory level fee" is that if you don't keep up with supply, Amazon may need to ship something from a warehouse in FL to a customer in CA because low inventory and units can't be spread around the US correctly.
However, with the new placement fees, Amazon is telling us where to ship our items based on historical data and consumer trends and we are now paying the burden of this. Then on the back end, when we don't keep up with 28+ days of supply we get hit with a fee.
Not only that, but some units are seasonal and do better certain times of the year which change the level of items needed in the warehouse. Of course Amazon isn't going to take this into account and the fees will keep on rolling in.
Nothing about any of this makes any sense other than to collect more fees. Mods can't even explain it.
Seller_FM4TuZBO1GUDh
This fee is a joke. It factors nothing into consideration like meltable products, sales surges, expiration products which can not sit in warehouses for months, supply chain issues and so much more. Then someone clueless to how amazon actually functions tied it to the parent asin. Really?
This is only going to allow knock off competitors like Temu to gain market share over amazon with their crazy low prices while amazon sellers will need to raise prices.
You will also see many brands pull out of FBA completely leaving less need for customers to have prime accounts.
Usually, I understand small fee increases as the economy dictates but this one is a joke. I hope Amazon continues to hear feedback on this and adjusts accordingly.
At least make it something realistic like 7 days of supply. Almost all of us can deal with that if we are buying direct from brands/wholesalers and have a steady supply. 28 days for some products means a crazy investment into one sku.
Seller_FM4TuZBO1GUDh
This is going to hurt them in the long run. Rising prices is not good when you have Temu and others chipping away. Wal-mart is slowly becoming a competitor to Amazon and is not ripping off sellers like this with asinine fees.
Seller_C9TzOxTwGSFUQ
How about stop with the shell game and just be very clear with the fees. But you don't want that. You want people to be clueless as to what there true operational cost is. As of three days ago I quit being an SCAMazon seller. There are only three people that make good money on Amazon, Chinese sellers. those with STOLEN merchandise. and the actual manufactures who have there listings on lock down and only do FBM.
[Moderator Edit: Removed inappropriate language]
Seller_ez4zOmd2trXR9
We have an ASIN that sells close to 30,000 units in May and June (peak) and 10,000 for March, but our inventory space only allows us about 10,000 units. We have another 30 ASINs as well. Will we be charged a low inventory fee if we're not allowed to send enough units to get over the 28-day setpoint?
Side Note: isn't the inbound placement fee supposed to be for the same reason as this fee? Seems like double dipping for the same reason.
Update: Credit for FBA low-inventory-level fees incurred during April 2024
As announced in December 2023, the FBA low-inventory-level fee will go into effect on April 1, 2024. This fee applies to products with consistently low levels of inventory relative to their unit sales, which is also referred to as your historical days of supply. Maintaining sufficient inventory levels allows Amazon to effectively distribute products across our fulfillment network, which improves shipping speeds for customers and helps drive more sales for you.
We have heard feedback from a number of sellers that they are still uncertain what the exact effect of this fee will be on their business. To help you better see how this affects your business in real time, we will provide a transition period during the month of April.
We will still charge the FBA low-inventory-level fees incurred between April 1 and April 30, but after the end of the month, we will credit your account for all low-inventory-level fees charged during this period. Our goal is for you to see the end-to-end experience, and understand how this may affect your business so you can further update your inventory management to maintain sufficient inventory levels, drive greater sales, and avoid the fee in the future.
How it will work
Starting April 1, the transition period will begin. You will still be charged the fee on eligible products shipped with historical days of supply below 28 days. Then, we will credit back any charged low-inventory-level fees for units shipped between April 1 and April 30. You can expect to see this credit in May.
Starting May 1, the fee will be charged without a credit back. You can avoid the fee by ensuring that either the long-term historical days of supply (last 90 days) or short-term historical days of supply (last 30 days) are above 28 days (4 weeks). April will give you an opportunity to understand if your current inventory management actions will effectively avoid the fee, or if there are adjustments you can make to avoid this fee so you're prepared going forward.
For more information on the low-inventory-level fee and what qualifies, go to Low-inventory-level fee.
Thank you for your continued partnership.
Update: Credit for FBA low-inventory-level fees incurred during April 2024
As announced in December 2023, the FBA low-inventory-level fee will go into effect on April 1, 2024. This fee applies to products with consistently low levels of inventory relative to their unit sales, which is also referred to as your historical days of supply. Maintaining sufficient inventory levels allows Amazon to effectively distribute products across our fulfillment network, which improves shipping speeds for customers and helps drive more sales for you.
We have heard feedback from a number of sellers that they are still uncertain what the exact effect of this fee will be on their business. To help you better see how this affects your business in real time, we will provide a transition period during the month of April.
We will still charge the FBA low-inventory-level fees incurred between April 1 and April 30, but after the end of the month, we will credit your account for all low-inventory-level fees charged during this period. Our goal is for you to see the end-to-end experience, and understand how this may affect your business so you can further update your inventory management to maintain sufficient inventory levels, drive greater sales, and avoid the fee in the future.
How it will work
Starting April 1, the transition period will begin. You will still be charged the fee on eligible products shipped with historical days of supply below 28 days. Then, we will credit back any charged low-inventory-level fees for units shipped between April 1 and April 30. You can expect to see this credit in May.
Starting May 1, the fee will be charged without a credit back. You can avoid the fee by ensuring that either the long-term historical days of supply (last 90 days) or short-term historical days of supply (last 30 days) are above 28 days (4 weeks). April will give you an opportunity to understand if your current inventory management actions will effectively avoid the fee, or if there are adjustments you can make to avoid this fee so you're prepared going forward.
For more information on the low-inventory-level fee and what qualifies, go to Low-inventory-level fee.
Thank you for your continued partnership.
116 replies
116 replies
Seller_tzb0Adb4whsRu
This is absolutely ridiculous.
Sellers are trying to avoid long term storage fees, aged inventory fees, and maintain monthly storage fee costs.
Now we're being charged for low inventory fees. How in the heck are we suppose to find that "sweet spot" of inventory when sales vary from month to month?!?
FBA fulfillment centers are taking 2-3 months to even complete/check-in a shipment which makes it even harder for sellers to keep track of their inventory.
How about Amazon fix their part of these problems before making sellers pay for them.
Do the historical days include units that are inbound?
Looking forward to an answer :)
Seller_XJ5fPXK82lIHl
THIS ^,
The stock has been stagnant and they need to keep shareholders happy somehow
Seller_XJ5fPXK82lIHl
Let's not forget about all the packages that get sent into the AMZ warehouse and when it gets checked in they say there are 0 units in the box. LOL This has happened so much recently
Seller_MkgNcaF9FKJlz
Interesting, isn't it? One of the MANY reasons I refuse to do FBA. We are about to sell our 20 years FBM Amazon store because we are sick of the nickel and diming... and we don't even do FBA! Amazon will be changing a LOT in the years to come. Time will tell if they are doing right by their company, or running it into the ground. Regardless, it will not be the same, and will not have the same caliber of sellers.
Seller_Xm9ZXdbDd6NZw
Inbound is not counted but transferring should be.
"Average daily inventory units is sellable FBA inventory units in our US fulfillment network only. It is calculated by adding up inventory units available for sales, units that are being transferred between fulfillment centers, and units reserved that are not currently needed to meet immediate customer demands."
"How is the historical days of supply affected by inbound delay (for example, a delay in receiving inbound units)?
The low-inventory-level fee considers a product’s long-term (last 90 days) inventory performance, and a minor inbound delay is not likely to affect your long-term (last 90 days) historical days of supply metric. We recommend that you manage your product’s long-term (last 90 days) historical days of supply to prevent the fee."
Given how bad delays can be at some centers this is another stick in the cogs. Especially come holiday time. I don't even want to think about my seasonal products, especially since it's calculated at parent level. My seasonal are different variations that sell vastly differently.
Seller_7rNklHYkq1IwY
Why would any of us pay UPS to ship a large, empty box? And somehow providing an invoice magically proves what was or was not included in that shipment. Where is the logic in any of this?
Jim_Amazon
@Seller_tzb0Adb4whsRu
Historical Days of Supply only takes into account the on hand inventory that is available for purchase.
-Jim
Seller_xKmAfN5CVK9Kf
Jim does your team know that the calculation method for Historical days of supply is not correct?
"Average daily shipped units " it looks like this number is being pulled from the ASIN overall, not from the individual seller. So while the ASIN might have sold 100 units over the course of the month, if there are 3 sellers on the listing the actual amount being sold by each seller might be closer to 20-30/units a month. I've noticed this on countless number of ASIN that the average daily shipped units is overestimated this is resulting in a lower historical days of supply. In a number of cases it would result in overstocking fees if I sent more units to get my historical days of supply higher.
Jim_Amazon
Hello @Seller_xKmAfN5CVK9Kf
Thank you for reaching out! Average daily shipped units is all units shipped from our US fulfillment network, regardless of customer location. For example, units shipped to customers outside of the US through Remote fulfillment with FBA are included if the units ship from our US fulfillment network.
If you're seeing something else, I would appreciate further information from you that I can take to the team. A screenshot would help!
-Jim
Seller_xKmAfN5CVK9Kf
Absolutely, again this is just one example. But I have many like this.
Stating I am selling 4.53 units/day. But if you do the math I am actually selling far lower, closer to 2.06/units a day. I have 80 units on hand, and my inventory is showing as healthy, based on my actual sell rate I would have roughly 40 days of supply.
I can provide more examples if you like but I notice the "Average daily shipped units" is not accurate on listings especially with multiple sellers and can vary quite a lot. In any given month there can be 2 sellers up to 7 sellers for this same product, obviously with 7 sellers the amount being sold per seller will drop dramatically and can also increase dramatically if a seller runs out of stock.
Jim_Amazon
Thank you for sending this!
I've sent this off to the team to look into. They've let me know that this product is part of a variation family as the second image has the Parent ASIN within it and the the low-inventory-level fee is done at the parent product level. Everything seems to be showing correctly.
Also, I'll be removing these screenshots to ensure your information is protected!
-Jim
Seller_xKmAfN5CVK9Kf
The problem is why are you using parent level data, when you have more accurate individual ASIN sell data? Every other part of your website is stating I have healthy and enough inventory for 40+ days.
This is resulting in inaccurate sell-rates and inaccurate inventory levels. It is asking me to send more inventory when I know I have enough inventory. Over the long term is it going to result in unnecessarily high inventory levels using this method.
Seller_XJ5fPXK82lIHl
This fee needs to be done away with completely. There is no reason to have this fee when you are already charging us for placement fees.
The idea behind the "low inventory level fee" is that if you don't keep up with supply, Amazon may need to ship something from a warehouse in FL to a customer in CA because low inventory and units can't be spread around the US correctly.
However, with the new placement fees, Amazon is telling us where to ship our items based on historical data and consumer trends and we are now paying the burden of this. Then on the back end, when we don't keep up with 28+ days of supply we get hit with a fee.
Not only that, but some units are seasonal and do better certain times of the year which change the level of items needed in the warehouse. Of course Amazon isn't going to take this into account and the fees will keep on rolling in.
Nothing about any of this makes any sense other than to collect more fees. Mods can't even explain it.
Seller_FM4TuZBO1GUDh
This fee is a joke. It factors nothing into consideration like meltable products, sales surges, expiration products which can not sit in warehouses for months, supply chain issues and so much more. Then someone clueless to how amazon actually functions tied it to the parent asin. Really?
This is only going to allow knock off competitors like Temu to gain market share over amazon with their crazy low prices while amazon sellers will need to raise prices.
You will also see many brands pull out of FBA completely leaving less need for customers to have prime accounts.
Usually, I understand small fee increases as the economy dictates but this one is a joke. I hope Amazon continues to hear feedback on this and adjusts accordingly.
At least make it something realistic like 7 days of supply. Almost all of us can deal with that if we are buying direct from brands/wholesalers and have a steady supply. 28 days for some products means a crazy investment into one sku.
Seller_FM4TuZBO1GUDh
This is going to hurt them in the long run. Rising prices is not good when you have Temu and others chipping away. Wal-mart is slowly becoming a competitor to Amazon and is not ripping off sellers like this with asinine fees.
Seller_C9TzOxTwGSFUQ
How about stop with the shell game and just be very clear with the fees. But you don't want that. You want people to be clueless as to what there true operational cost is. As of three days ago I quit being an SCAMazon seller. There are only three people that make good money on Amazon, Chinese sellers. those with STOLEN merchandise. and the actual manufactures who have there listings on lock down and only do FBM.
[Moderator Edit: Removed inappropriate language]
Seller_ez4zOmd2trXR9
We have an ASIN that sells close to 30,000 units in May and June (peak) and 10,000 for March, but our inventory space only allows us about 10,000 units. We have another 30 ASINs as well. Will we be charged a low inventory fee if we're not allowed to send enough units to get over the 28-day setpoint?
Side Note: isn't the inbound placement fee supposed to be for the same reason as this fee? Seems like double dipping for the same reason.
Seller_tzb0Adb4whsRu
This is absolutely ridiculous.
Sellers are trying to avoid long term storage fees, aged inventory fees, and maintain monthly storage fee costs.
Now we're being charged for low inventory fees. How in the heck are we suppose to find that "sweet spot" of inventory when sales vary from month to month?!?
FBA fulfillment centers are taking 2-3 months to even complete/check-in a shipment which makes it even harder for sellers to keep track of their inventory.
How about Amazon fix their part of these problems before making sellers pay for them.
Do the historical days include units that are inbound?
Looking forward to an answer :)
Seller_tzb0Adb4whsRu
This is absolutely ridiculous.
Sellers are trying to avoid long term storage fees, aged inventory fees, and maintain monthly storage fee costs.
Now we're being charged for low inventory fees. How in the heck are we suppose to find that "sweet spot" of inventory when sales vary from month to month?!?
FBA fulfillment centers are taking 2-3 months to even complete/check-in a shipment which makes it even harder for sellers to keep track of their inventory.
How about Amazon fix their part of these problems before making sellers pay for them.
Do the historical days include units that are inbound?
Looking forward to an answer :)
Seller_XJ5fPXK82lIHl
THIS ^,
The stock has been stagnant and they need to keep shareholders happy somehow
Seller_XJ5fPXK82lIHl
THIS ^,
The stock has been stagnant and they need to keep shareholders happy somehow
Seller_XJ5fPXK82lIHl
Let's not forget about all the packages that get sent into the AMZ warehouse and when it gets checked in they say there are 0 units in the box. LOL This has happened so much recently
Seller_XJ5fPXK82lIHl
Let's not forget about all the packages that get sent into the AMZ warehouse and when it gets checked in they say there are 0 units in the box. LOL This has happened so much recently
Seller_MkgNcaF9FKJlz
Interesting, isn't it? One of the MANY reasons I refuse to do FBA. We are about to sell our 20 years FBM Amazon store because we are sick of the nickel and diming... and we don't even do FBA! Amazon will be changing a LOT in the years to come. Time will tell if they are doing right by their company, or running it into the ground. Regardless, it will not be the same, and will not have the same caliber of sellers.
Seller_MkgNcaF9FKJlz
Interesting, isn't it? One of the MANY reasons I refuse to do FBA. We are about to sell our 20 years FBM Amazon store because we are sick of the nickel and diming... and we don't even do FBA! Amazon will be changing a LOT in the years to come. Time will tell if they are doing right by their company, or running it into the ground. Regardless, it will not be the same, and will not have the same caliber of sellers.
Seller_Xm9ZXdbDd6NZw
Inbound is not counted but transferring should be.
"Average daily inventory units is sellable FBA inventory units in our US fulfillment network only. It is calculated by adding up inventory units available for sales, units that are being transferred between fulfillment centers, and units reserved that are not currently needed to meet immediate customer demands."
"How is the historical days of supply affected by inbound delay (for example, a delay in receiving inbound units)?
The low-inventory-level fee considers a product’s long-term (last 90 days) inventory performance, and a minor inbound delay is not likely to affect your long-term (last 90 days) historical days of supply metric. We recommend that you manage your product’s long-term (last 90 days) historical days of supply to prevent the fee."
Given how bad delays can be at some centers this is another stick in the cogs. Especially come holiday time. I don't even want to think about my seasonal products, especially since it's calculated at parent level. My seasonal are different variations that sell vastly differently.
Seller_Xm9ZXdbDd6NZw
Inbound is not counted but transferring should be.
"Average daily inventory units is sellable FBA inventory units in our US fulfillment network only. It is calculated by adding up inventory units available for sales, units that are being transferred between fulfillment centers, and units reserved that are not currently needed to meet immediate customer demands."
"How is the historical days of supply affected by inbound delay (for example, a delay in receiving inbound units)?
The low-inventory-level fee considers a product’s long-term (last 90 days) inventory performance, and a minor inbound delay is not likely to affect your long-term (last 90 days) historical days of supply metric. We recommend that you manage your product’s long-term (last 90 days) historical days of supply to prevent the fee."
Given how bad delays can be at some centers this is another stick in the cogs. Especially come holiday time. I don't even want to think about my seasonal products, especially since it's calculated at parent level. My seasonal are different variations that sell vastly differently.
Seller_7rNklHYkq1IwY
Why would any of us pay UPS to ship a large, empty box? And somehow providing an invoice magically proves what was or was not included in that shipment. Where is the logic in any of this?
Seller_7rNklHYkq1IwY
Why would any of us pay UPS to ship a large, empty box? And somehow providing an invoice magically proves what was or was not included in that shipment. Where is the logic in any of this?
Jim_Amazon
@Seller_tzb0Adb4whsRu
Historical Days of Supply only takes into account the on hand inventory that is available for purchase.
-Jim
Jim_Amazon
@Seller_tzb0Adb4whsRu
Historical Days of Supply only takes into account the on hand inventory that is available for purchase.
-Jim
Seller_xKmAfN5CVK9Kf
Jim does your team know that the calculation method for Historical days of supply is not correct?
"Average daily shipped units " it looks like this number is being pulled from the ASIN overall, not from the individual seller. So while the ASIN might have sold 100 units over the course of the month, if there are 3 sellers on the listing the actual amount being sold by each seller might be closer to 20-30/units a month. I've noticed this on countless number of ASIN that the average daily shipped units is overestimated this is resulting in a lower historical days of supply. In a number of cases it would result in overstocking fees if I sent more units to get my historical days of supply higher.
Seller_xKmAfN5CVK9Kf
Jim does your team know that the calculation method for Historical days of supply is not correct?
"Average daily shipped units " it looks like this number is being pulled from the ASIN overall, not from the individual seller. So while the ASIN might have sold 100 units over the course of the month, if there are 3 sellers on the listing the actual amount being sold by each seller might be closer to 20-30/units a month. I've noticed this on countless number of ASIN that the average daily shipped units is overestimated this is resulting in a lower historical days of supply. In a number of cases it would result in overstocking fees if I sent more units to get my historical days of supply higher.
Jim_Amazon
Hello @Seller_xKmAfN5CVK9Kf
Thank you for reaching out! Average daily shipped units is all units shipped from our US fulfillment network, regardless of customer location. For example, units shipped to customers outside of the US through Remote fulfillment with FBA are included if the units ship from our US fulfillment network.
If you're seeing something else, I would appreciate further information from you that I can take to the team. A screenshot would help!
-Jim
Jim_Amazon
Hello @Seller_xKmAfN5CVK9Kf
Thank you for reaching out! Average daily shipped units is all units shipped from our US fulfillment network, regardless of customer location. For example, units shipped to customers outside of the US through Remote fulfillment with FBA are included if the units ship from our US fulfillment network.
If you're seeing something else, I would appreciate further information from you that I can take to the team. A screenshot would help!
-Jim
Seller_xKmAfN5CVK9Kf
Absolutely, again this is just one example. But I have many like this.
Stating I am selling 4.53 units/day. But if you do the math I am actually selling far lower, closer to 2.06/units a day. I have 80 units on hand, and my inventory is showing as healthy, based on my actual sell rate I would have roughly 40 days of supply.
I can provide more examples if you like but I notice the "Average daily shipped units" is not accurate on listings especially with multiple sellers and can vary quite a lot. In any given month there can be 2 sellers up to 7 sellers for this same product, obviously with 7 sellers the amount being sold per seller will drop dramatically and can also increase dramatically if a seller runs out of stock.
Seller_xKmAfN5CVK9Kf
Absolutely, again this is just one example. But I have many like this.
Stating I am selling 4.53 units/day. But if you do the math I am actually selling far lower, closer to 2.06/units a day. I have 80 units on hand, and my inventory is showing as healthy, based on my actual sell rate I would have roughly 40 days of supply.
I can provide more examples if you like but I notice the "Average daily shipped units" is not accurate on listings especially with multiple sellers and can vary quite a lot. In any given month there can be 2 sellers up to 7 sellers for this same product, obviously with 7 sellers the amount being sold per seller will drop dramatically and can also increase dramatically if a seller runs out of stock.
Jim_Amazon
Thank you for sending this!
I've sent this off to the team to look into. They've let me know that this product is part of a variation family as the second image has the Parent ASIN within it and the the low-inventory-level fee is done at the parent product level. Everything seems to be showing correctly.
Also, I'll be removing these screenshots to ensure your information is protected!
-Jim
Jim_Amazon
Thank you for sending this!
I've sent this off to the team to look into. They've let me know that this product is part of a variation family as the second image has the Parent ASIN within it and the the low-inventory-level fee is done at the parent product level. Everything seems to be showing correctly.
Also, I'll be removing these screenshots to ensure your information is protected!
-Jim
Seller_xKmAfN5CVK9Kf
The problem is why are you using parent level data, when you have more accurate individual ASIN sell data? Every other part of your website is stating I have healthy and enough inventory for 40+ days.
This is resulting in inaccurate sell-rates and inaccurate inventory levels. It is asking me to send more inventory when I know I have enough inventory. Over the long term is it going to result in unnecessarily high inventory levels using this method.
Seller_xKmAfN5CVK9Kf
The problem is why are you using parent level data, when you have more accurate individual ASIN sell data? Every other part of your website is stating I have healthy and enough inventory for 40+ days.
This is resulting in inaccurate sell-rates and inaccurate inventory levels. It is asking me to send more inventory when I know I have enough inventory. Over the long term is it going to result in unnecessarily high inventory levels using this method.
Seller_XJ5fPXK82lIHl
This fee needs to be done away with completely. There is no reason to have this fee when you are already charging us for placement fees.
The idea behind the "low inventory level fee" is that if you don't keep up with supply, Amazon may need to ship something from a warehouse in FL to a customer in CA because low inventory and units can't be spread around the US correctly.
However, with the new placement fees, Amazon is telling us where to ship our items based on historical data and consumer trends and we are now paying the burden of this. Then on the back end, when we don't keep up with 28+ days of supply we get hit with a fee.
Not only that, but some units are seasonal and do better certain times of the year which change the level of items needed in the warehouse. Of course Amazon isn't going to take this into account and the fees will keep on rolling in.
Nothing about any of this makes any sense other than to collect more fees. Mods can't even explain it.
Seller_XJ5fPXK82lIHl
This fee needs to be done away with completely. There is no reason to have this fee when you are already charging us for placement fees.
The idea behind the "low inventory level fee" is that if you don't keep up with supply, Amazon may need to ship something from a warehouse in FL to a customer in CA because low inventory and units can't be spread around the US correctly.
However, with the new placement fees, Amazon is telling us where to ship our items based on historical data and consumer trends and we are now paying the burden of this. Then on the back end, when we don't keep up with 28+ days of supply we get hit with a fee.
Not only that, but some units are seasonal and do better certain times of the year which change the level of items needed in the warehouse. Of course Amazon isn't going to take this into account and the fees will keep on rolling in.
Nothing about any of this makes any sense other than to collect more fees. Mods can't even explain it.
Seller_FM4TuZBO1GUDh
This fee is a joke. It factors nothing into consideration like meltable products, sales surges, expiration products which can not sit in warehouses for months, supply chain issues and so much more. Then someone clueless to how amazon actually functions tied it to the parent asin. Really?
This is only going to allow knock off competitors like Temu to gain market share over amazon with their crazy low prices while amazon sellers will need to raise prices.
You will also see many brands pull out of FBA completely leaving less need for customers to have prime accounts.
Usually, I understand small fee increases as the economy dictates but this one is a joke. I hope Amazon continues to hear feedback on this and adjusts accordingly.
At least make it something realistic like 7 days of supply. Almost all of us can deal with that if we are buying direct from brands/wholesalers and have a steady supply. 28 days for some products means a crazy investment into one sku.
Seller_FM4TuZBO1GUDh
This fee is a joke. It factors nothing into consideration like meltable products, sales surges, expiration products which can not sit in warehouses for months, supply chain issues and so much more. Then someone clueless to how amazon actually functions tied it to the parent asin. Really?
This is only going to allow knock off competitors like Temu to gain market share over amazon with their crazy low prices while amazon sellers will need to raise prices.
You will also see many brands pull out of FBA completely leaving less need for customers to have prime accounts.
Usually, I understand small fee increases as the economy dictates but this one is a joke. I hope Amazon continues to hear feedback on this and adjusts accordingly.
At least make it something realistic like 7 days of supply. Almost all of us can deal with that if we are buying direct from brands/wholesalers and have a steady supply. 28 days for some products means a crazy investment into one sku.
Seller_FM4TuZBO1GUDh
This is going to hurt them in the long run. Rising prices is not good when you have Temu and others chipping away. Wal-mart is slowly becoming a competitor to Amazon and is not ripping off sellers like this with asinine fees.
Seller_FM4TuZBO1GUDh
This is going to hurt them in the long run. Rising prices is not good when you have Temu and others chipping away. Wal-mart is slowly becoming a competitor to Amazon and is not ripping off sellers like this with asinine fees.
Seller_C9TzOxTwGSFUQ
How about stop with the shell game and just be very clear with the fees. But you don't want that. You want people to be clueless as to what there true operational cost is. As of three days ago I quit being an SCAMazon seller. There are only three people that make good money on Amazon, Chinese sellers. those with STOLEN merchandise. and the actual manufactures who have there listings on lock down and only do FBM.
[Moderator Edit: Removed inappropriate language]
Seller_C9TzOxTwGSFUQ
How about stop with the shell game and just be very clear with the fees. But you don't want that. You want people to be clueless as to what there true operational cost is. As of three days ago I quit being an SCAMazon seller. There are only three people that make good money on Amazon, Chinese sellers. those with STOLEN merchandise. and the actual manufactures who have there listings on lock down and only do FBM.
[Moderator Edit: Removed inappropriate language]
Seller_ez4zOmd2trXR9
We have an ASIN that sells close to 30,000 units in May and June (peak) and 10,000 for March, but our inventory space only allows us about 10,000 units. We have another 30 ASINs as well. Will we be charged a low inventory fee if we're not allowed to send enough units to get over the 28-day setpoint?
Side Note: isn't the inbound placement fee supposed to be for the same reason as this fee? Seems like double dipping for the same reason.
Seller_ez4zOmd2trXR9
We have an ASIN that sells close to 30,000 units in May and June (peak) and 10,000 for March, but our inventory space only allows us about 10,000 units. We have another 30 ASINs as well. Will we be charged a low inventory fee if we're not allowed to send enough units to get over the 28-day setpoint?
Side Note: isn't the inbound placement fee supposed to be for the same reason as this fee? Seems like double dipping for the same reason.
