News Today: Amazon Controlling FBA Warehouse System by Dropping Inventory Performance Index Score
Amazon is dropping the IPI to 400. And if you know what I’m talking about, or you don’t, this video is for you.
Breaking News with CJ Rosenbaum:
So first, what is Amazon’s IPI? It stands for “Inventory Performance Index.” If you are an advanced seller, you know exactly what I’m talking about. If you’re a little bit of a newer seller, it has to do with how much your inventory is turning over, and it also affects how much shelf space you’re going to get over at Amazon’s FBA warehouses.
The Amazon Inventory Performance Index score is being dropped to 400. It used to be at 450.
Now it’s going down to 400. And while we don’t know why Amazon is doing this change, it does seem to dovetail in Amazon’s ever-increasing control over the supply chain and distribution. Everyone’s having problems getting products made in China, getting them from Chinese factories to the Chinese ports, into containers, shipped across the world, into the port of Long Beach or New York or wherever it’s got to go; then getting offloaded, then getting truckers to remove it.
So, we know that Amazon has leased its own ships. We know Amazon has leased planes. We know Amazon is building its own containers. We know that Amazon has purchased up a lot of the bandwidth at the smaller ports. We also know that Amazon has a boatload of trucks and has basically taken over the last mile distribution. So, I believe this is just another method to assert more control over Amazon’s FBA warehouse system. But time will tell.
At the beginning of the year, a lot of sellers selling oversized items, lost a ton of shelf space. We’ve been able to get you back some of your shelf space. But with this change in the IPI, we’ll see what happens.
I want to let you know that if you’re having a problem, there’s no better team on earth than my team. If you have an issue, whether it’s based upon the IPI or some other issue on Amazon, please don’t hesitate to contact us.