Amazon's first Inventory Performance Index (IPI) assessment in the third quarter has been completed the week of May 9 , and the last IPI assessment will be conducted the week of June 20 ! How should sellers improve their store's IPI score in the coming week?

Inventory management is related to various aspects such as cost control, capital utilization efficiency, and cargo flow rate. In order to help sellers view inventory more intuitively, Amazon has launched Inventory Performance Indicators ( IPI ) to measure sellers' sales, inventory levels and expenses. to reflect overall inventory performance. Amazon will evaluate the seller's IPI score every quarter, and adjust the seller's inventory capacity for the next quarter based on the evaluated IPI score.

According to official requirements, sellers on Amazon's US, UK, Europe (Germany / Italy / France / Spain) and Japan sites, if the store's inventory performance indicator score is lower than the site's inventory performance indicator threshold in both rounds of assessment, will Warehousing restrictions in the third quarter. Amazon currently recommends that sellers maintain an Inventory Performance Indicator score above 400 .

There are many factors that affect the IPI score, such as redundant and over-aged inventory in the store, sell-through rate within 90 consecutive days, Amazon inventory with no information on sale, etc. Therefore, you can start to improve your IPI score in these areas:

1. Reduce over-age storage capacity. Screening out products older than 365 days, which incur long-term storage fees, reducing such products will not only help improve the IPI score, but also help reduce storage fees.

2. Fix the Amazon inventory with no information on sale. "Unavailable Amazon inventory" refers to inventory that is not available for buyers to purchase due to problematic product information, resulting in lower sales and storage costs.

3. Increase the sell-through rate. If a store has a sell-through rate of <2 or is in a "fair" rating, it is recommended to at least try to achieve a good rating to help improve the store's IPI score. It is worth mentioning that the FBA sell rate is 2 , which is the minimum requirement to represent a good sell rate. It does not mean that after the sell rate is increased to 2 , the IPI score of the store will definitely increase. influencing factors.

4. Timely replenishment of production and sales products. FBA in-stock ratios indicate how much value a store can add to ensuring that restockable ASINs are in stock. If a store’s best-selling item is out of stock, you face lost sales, causing sellers to miss out on an opportunity to improve their inventory performance metrics.

The above are the four suggestions for improving the IPI score. As the assessment is approaching, everyone should not be restricted by the storage capacity because the score does not meet the standard, which will affect the operation of the store. Sellers can click "Inventory > FBA Inventory" in the Speedyite erp system to view the store's current storage capacity and inventory performance index scores.