After becoming an Amazon cross-border e-commerce business and learning to select and operate products, the most important thing for sellers is logistics and delivery. Every cross-border e-commerce business may have the following question when making inventory planning for the first time: How can the first cross-border shipment save time and effort? For the first shipment, should you prepare for less inventory?

For sellers, no matter how much inventory is prepared, sellers should reasonably estimate the number of new products in stock based on the data. Generally speaking, the data we rely on is based on the sales volume of similar ASINs in the new product period, and the reference range for the estimated stocking volume for the first shipment.

"Similar" means to find ASINs that are as similar to your own products as possible, including but not limited to: site, product functional attributes; and "new product period" is to evaluate the general sales of the ASIN in the new product period. In fact, it is essentially to find a product with the same function as the product you sell, and refer to the data of this product with the same function. At the same time, sellers can locate new products according to different product attributes. For products with weak seasonality, you can refer to the recent data of the same year; for products with strong seasonality, you can refer to the data of the same period last year.

After data analysis, sellers can refer to this formula when calculating the stocking amount: estimated sales ≈ number of reviews in a period of time ÷ rate of comments. In addition, the seller should comprehensively evaluate the product inventory in combination with the supplier's MOQ and promotional quantity. Sellers should take risks and the worst results into account, and should not be blindly optimistic, otherwise it is easy to cause inventory backlog and limited capital flow.

To do the Amazon FBA model, figuring out the quantity of stock is the first step, and reasonable inventory management is a crucial part of the seller's management of the store. Amazon proposes the concept of Inventory Performance Indicator (IPI) for sellers' inventory. This indicator is mainly to help sellers view inventory more intuitively. The higher the IPI score, the more efficient the seller is in managing inventory. At the same time, IPI can reflect the seller's sales, help sellers better plan inventory, predict demand, and speed up turnover.

Finally, sellers need to remember the appropriate stocking amount + effectively manage inventory + always pay attention to the IPI score, which is the seller's best planning and management of inventory.