FBA inventory stuck? Here are the reasons and solutions

FBA inventory stuck? Here are the reasons and solutions


Managing inventory is a daily task for sellers when operating on Amazon. Frequently checking for stranded inventory can avoid unnecessary storage fees and inventory performance issues.

 


What is stranded inventory?


Products stored in Amazon's logistics center, if they are not available for sale (not active offer), are considered "Stranded Inventory". And Amazon will continue to charge you for inventory storage fees every month.

 

If you don’t regularly check for stranded inventory issues, you could be incurring a variety of costly fees, including monthly inventory storage fees, FBA long-term storage fees, and overage fees.

 

Stranded inventory can also negatively impact your IPI (Inventory Performance Index). IPI is a system Amazon uses to ensure that sellers have optimized inventory. Stranded inventory takes up space in Amazon FBA, which is something Amazon doesn’t want to see.

 

According to the notice issued by Amazon, from August 16 this year to the end of the year, if your IPI score is lower than 500, your storage space will be restricted.

 


Causes of stranded inventory

There are many reasons why inventory is stranded, the most common ones include:

1. Wrong pricing

If the price is too high or too low, Amazon will block your listing. This problem is relatively easy to solve. Just set the minimum and maximum prices in the inventory management.


2. Listing is frozen

When a listing lacks required information, such as pictures, bullet points, etc., or there are too many product returns, the listing will be frozen.


3. Listing Errors

Listing errors refer to inventory that does not match an existing active ASIN, such as when the product sent to the FBA warehouse does not match the listing, or the listing is deleted. Relisting can resolve this issue. In some cases, you may need to contact seller support.


4. Product Expiration

If a product is expired, Amazon will mark it as stranded inventory, in which case the inventory needs to be removed.


5. Close or delete your listing

If the seller deletes the listing immediately after the inventory is sold out, all subsequent returns will become stranded inventory.


6. Bulk upload template error

When filling out the bulk upload template, if you enter data in the quantity column, the listing will change from FBA to FBM, causing the inventory to be stranded in the Amazon warehouse.



How to Find Stranded Inventory


Sellers can check whether there is any stranded inventory in the backend's Manage Inventory section.

             

If there is stranded inventory, Fixed stranded inventory will appear at the top:

             

After clicking into the page, you can see the stranded inventory and the reasons for the stranded inventory.

             

The above picture shows that the reason for the inventory retention is the listing error, and the solution proposed by Amazon is to remove the inventory. What if you don’t want to remove the inventory?

             

Amazon also provides another solution, contact seller support. The process of contacting seller support is as follows:


1. Click Help in the background, and then select Get Support under Need more help:

             

2. Select Selling on Amazon > Fulfillment by Amazon > Investigate Other FBA Issues > Stranded Inventory or FBA No Listing Error in What service can we help you with?.


3. Finally, enter the ASIN or FNSKU, click next, and Amazon will tell you how to solve it.

             

4. If the problem still cannot be solved, you can click Need more help with this issue? Contact Us to contact the seller support team in the United States. It is recommended that sellers check their inventory once a week.

 


New regulations on stranded inventory


Amazon will send a notification to remind you that the inventory is stranded, and the seller should take action within 30 days of receiving the notification.


Previously, after the inventory was stranded for 30 days, Amazon would mark it as "unsellable" and remind the seller to remove the inventory. However, starting from June 30, 2020, if the seller does not take action within 30 days, Amazon will automatically remove the inventory that has been stranded for 30 days.

             

To stop Amazon from automatically removing inventory, sellers need to click into Fix stranded inventory and then click the Edit automatic-action settings button:

             

After clicking in, there are two options:

·   Automatic fixes – Amazon will automatically relist your inventory.

·   Automatic removal – Amazon will automatically remove the inventory.


There are four reasons why Amazon will automatically relist your inventory:

The listing is closed;

Product discontinuation;

· Listing closed, inventory error;

FBA listings are changed to FBM.


For inventory backlogs caused by the above four reasons, even if the seller does not take any action within 30 days, Amazon will automatically re-list the listing.


In the second option, Amazon’s default setting is to automatically remove the inventory:

             

Sellers can change the settings and choose to send the products back. If they do not change the settings, they may suffer heavy losses.

 


How to Prevent Stranded Inventory


Sellers can take the following steps to prevent stranded inventory:


1. Do some research before shipping to FBA
Before purchasing inventory, make sure Amazon allows your product to be listed, especially if you are a dropshipping seller.

2. Before delivery, please fill in the listing information
Doing so will help prevent listing errors. When creating a new listing for the first time, Amazon allows sellers to skip adding pictures, product features, etc. However, before sending inventory to FBA, sellers must add complete information, otherwise the product is likely to become stranded inventory.


3. Create FBA shipments correctly
Another possible reason for inventory backlog is that the FBA warehouse receives more inventory than the quantity specified in the seller's shipping plan, or the products sent are not in the shipping plan. When creating an FBA shipment, be sure to fill in the information accurately.


4. The price should not be higher or lower than the set maximum and minimum prices.
Some sellers set maximum and minimum prices for their products when managing inventory. If the price when the seller lists the product is lower or higher than the set price, the listing will be disabled.


5. Don’t delete your listing right away
If you run out of inventory and don’t plan to restock, don’t immediately remove the product from your managed inventory. Any potential inventory loss or customer returns will become stranded inventory without a listing.


Compiled by ✎ Mary/

Statement: When reprinting this article, the title and original text must not be modified, and the source and original link must be retained.

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