Amazon Seller Dictionary

This dictionary is designed to help Amazon sellers quickly understand the most important terms used inside Amazon’s ecosystem.

Inventory

Inventory (or stock) refers to all the physical products an Amazon seller has available for sale, including items currently in warehouses, in transit, or planned for future replenishment.

What is Inventory in Amazon Selling?

Inventory means the actual goods you're offering — whether they're stored in Amazon warehouses (FBA), in your own facility (FBM), or on the way to be restocked.

Why Good Inventory Management Matters

  • Prevents stockouts that kill sales and rankings
  • Avoids excess stock fees and IPI score drops
  • Keeps cash flow healthy by not tying up too much capital
  • Supports consistent Buy Box ownership
  • Reduces risk of stranded or aged inventory issues

Best Practices for Inventory Control

  • Use accurate demand forecasting tools
  • Set up restock alerts and safety stock levels
  • Monitor inbound shipments and fulfillment center transfers
  • Regularly remove or liquidate slow-moving items
  • Balance FBA and FBM based on product velocity
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