Running a successful Amazon FBA business means tracking the right metrics to improve performance and avoid costly mistakes. Here are 10 essential KPIs every Amazon seller should monitor:

1. Inventory Performance Index (IPI): Measures how well you manage inventory. Keep your score above 400 to avoid storage restrictions.

2. Order Defect Rate (ODR): Tracks customer dissatisfaction. Stay below 1% to avoid account suspension.

3. FBA Sell-Through Rate (STR): Shows how efficiently your inventory sells. Aim for a rate above 2.0 for healthy turnover.

4. Excess Inventory Percentage: Measures overstock levels. Keep it under 10% to reduce storage fees.

5. Stranded Inventory Percentage: Tracks unsellable inventory due to listing issues. Fix errors quickly to avoid fees.

6. FBA In-Stock Rate: Reflects how often products are available for purchase. Stay stocked to maximize sales.

7. Conversion Rate: The percentage of visitors who buy. Optimize listings to improve this metric.

8. Total Advertising Cost of Sale (TACoS): Ad spend as a percentage of total sales. Aim for 5%-15% for balanced growth.

9. Return on Advertising Spend (RoAS): Revenue earned per dollar spent on ads. Optimize campaigns for higher returns.

10. On-Time Delivery Rate (OTDR): Measures timely delivery for seller-fulfilled orders. Keep it above 90% to maintain privileges.

Quick Tip: Regularly monitor these KPIs in Amazon Seller Central to spot issues early and make data-driven decisions. Managing these metrics ensures steady growth, better customer satisfaction, and higher profitability.

KPI Mastery 20 Metrics Every Amazon FBA Seller Needs to Track!

1. Inventory Performance Index (IPI)

The Inventory Performance Index (IPI) is Amazon's way of evaluating how well you manage your FBA inventory. This score ranges from 0 to 1,000, with higher scores reflecting better management. It’s not just a number - your IPI directly affects your storage privileges and costs.

Here’s how it works: Amazon uses your IPI score to determine how much storage space you’ll have in its fulfillment centers. For 2025, the minimum score to avoid restrictions is 400 points. If your score stays below this threshold for more than eight consecutive weeks, Amazon will limit your storage volume. This could mean you won’t be able to send in new inventory when you need it most - a clear reminder of how closely inventory management ties into your overall operations.

Your IPI score is based on four main factors:

• Excess inventory percentage

• Sell-through rate

• Stranded inventory percentage

• In-stock rate

While the overall score updates every Monday morning, these individual components refresh daily, so changes in your inventory can have an immediate impact.

Amazon prioritizes efficient warehouse operations, favoring sellers who maintain a steady inventory turnover. To keep storage fees low and avoid tying up cash in unsold stock, aim for a balanced supply of 30 to 60 days per product. Sellers with scores above 600 enjoy more flexibility and reduced storage costs.

A low IPI score can hurt your business in multiple ways. Stockouts mean lost sales, while stranded inventory drags down your score and eats into revenue. To stay ahead, treat your IPI score as a critical business metric. Regularly check the Inventory Performance Dashboard in Seller Central for signs of trouble, like excess inventory or stranded listings. Keeping your IPI in check also helps you better manage other important FBA metrics.

2. Order Defect Rate (ODR)

The Order Defect Rate (ODR) is a key metric Amazon uses to measure how well you deliver a satisfying customer experience. It reflects the percentage of your orders that result in customer dissatisfaction through three main factors: negative feedback (ratings of 1 or 2 stars), A-to-z Guarantee claims, and credit card chargebacks.

Amazon requires sellers to keep their ODR below 1%. Exceeding this threshold over a 60-day rolling period can lead to account restrictions or even suspension. So, staying on top of your ODR is critical for maintaining your seller privileges.

"To meet customer expectations, we require sellers to maintain an ODR under 1% to sell on the Amazon Store." - Amazon

To calculate your ODR, use this formula:
(Number of defective orders ÷ Total orders) × 100

Several issues can push your ODR higher, including poor product quality, delayed shipping, misleading product descriptions, and subpar customer service. Mistakes like shipping the wrong item or using damaged packaging can also contribute to a higher defect rate.

Keeping your ODR low is about more than just compliance. It also boosts your chances of winning the Buy Box and earning customer trust. Amazon uses this metric to assess seller performance and decide eligibility for perks.

Regularly monitoring your ODR is a must. Set up alerts to catch potential problems before they escalate. Quick responses to customer inquiries - ideally within 24 hours - can prevent minor issues from turning into formal complaints.

"Amazon places a heavy emphasis on the ODR to ensure that customers are receiving quality service. If you're a seller looking to stay competitive and scale your business, managing your ODR is non-negotiable." - Sumeet Bose, Content Marketing Manager, Saras Analytics

When problems arise, act immediately. Address customer concerns, propose solutions, and follow up to ensure satisfaction. If you encounter unfair negative feedback, you can use Amazon's feedback removal process to request its removal.

3. FBA Sell-Through Rate

The FBA Sell-Through Rate (STR) is a key metric that tracks how efficiently your inventory is selling. It calculates the percentage of products sold within a specific period, helping you understand whether your stock levels are well-managed or if you're holding onto excess inventory that could lead to costly storage fees.

Amazon calculates STR by comparing the number of units shipped over the past 90 days with the average inventory levels during that same period. Here's how Amazon defines it:

"Your FBA sell-through rate is your sold and shipped units over the past 90 days divided by the average number of units in stock in our fulfillment centers during that period. We calculate your available average units by taking a snapshot of your inventory levels today and 30, 60, and 90 days ago." - Amazon

For example:

• If you shipped 120 units and your average inventory was 80 units, your STR would be 1.5.

• If you shipped 150 units with an average inventory of 120 units, your STR would be 1.25.

Amazon groups STR into three performance levels to help sellers gauge their inventory health:

An STR below 2.0 indicates potential issues, such as overstocking, which can lead to high storage costs. Rates between 2.0 and 7.0 reflect a balanced inventory turnover, while rates above 7.0 highlight fast-moving products and efficient stock management.

This metric doesn't just measure inventory turnover - it also impacts your Inventory Performance Index (IPI) score and storage limits. A low STR, especially below 1.0, suggests you're holding more inventory than you're selling, which can hurt cash flow and limit reinvestment opportunities.

Challenges that affect STR often include inventory fluctuations, delayed sales reporting, seasonal demand changes, and returns. These factors can distort your STR if not properly accounted for.

Beyond inventory management, STR has a direct effect on your cash flow and product visibility on Amazon. Poor sell-through rates not only lead to higher storage fees but also tie up money that could be better spent on faster-moving products. Additionally, Amazon’s algorithm favors items with higher STRs, improving their visibility in search results and increasing their chances of winning the Buy Box.

To stay on top of your STR, check the Inventory Performance Dashboard in Amazon Seller Central. It updates daily, giving you the insights you need to adjust pricing, plan promotions, and time inventory replenishments effectively.

4. Excess Inventory Percentage

Excess Inventory Percentage measures how much of your stock Amazon considers surplus compared to your total inventory. This metric plays a key role in your storage costs and cash flow, making it essential for running a profitable FBA business. Knowing how excess inventory impacts these areas is the first step toward optimizing your stock levels.

Amazon calculates this percentage by comparing the number of overstocked units - typically those older than 90 days or exceeding a 90-day supply - to your total inventory. Their system evaluates several factors, such as unit cost, recovery rate, sales trends (including demand forecasts and price elasticity), and other economic data. This thorough analysis identifies products taking up valuable warehouse space and driving up unnecessary costs.

Excess inventory can lead to more than just higher storage fees - especially during peak seasons, when rates can skyrocket up to six times higher. Older stock also faces hefty surcharges, further eating into your profits. Beyond fees, excess stock ties up funds that could be better spent on marketing, advertising, or restocking faster-moving products. It also negatively affects your Inventory Performance Index (IPI), which can limit your available storage space.

Several common issues contribute to excess inventory: inaccurate demand forecasts, seasonal shifts, changes in consumer behavior, and product life cycle transitions. Many sellers struggle to strike the right balance between having enough stock to avoid running out and not overstocking items that don’t move quickly. Tackling these challenges requires a proactive approach to reduce overstock and improve your FBA efficiency.

A good rule of thumb is to aim for an excess inventory rate of 10% or less. Amazon’s Manage Excess Inventory page can help by flagging listings that might be overstocked. To address these issues, you can try strategies like running promotions or offering discounts on slower-moving items to boost sales and reduce storage fees. Another option is Amazon’s FBA Liquidations program, which lets sellers recover 5% to 10% of a product’s average selling price - often a better alternative than paying removal fees.

To prevent excess inventory, aim to maintain about 60 days’ worth of stock. Bundling slower-moving products with top sellers can make them more appealing, and building strong relationships with suppliers can give you more flexibility with order sizes and delivery schedules.

Staying on top of your inventory is crucial. Regularly check stock levels - ideally on a weekly basis - and review sales trends to spot potential overstock before it becomes a costly problem. This consistent monitoring can help you keep your FBA operations running smoothly and profitably.

5. Stranded Inventory Percentage

Stranded Inventory Percentage tracks the share of your FBA inventory stored in Amazon's fulfillment centers that can't be sold due to listing issues. Unlike excess inventory, stranded inventory happens because of listing errors - not overstocking. These errors can lead to storage fees for products that aren't generating sales. Keeping an eye on this metric is just as important as managing excess stock.

Amazon calculates this percentage by comparing the number of stranded units to your total FBA inventory. If there’s an issue, Amazon flags it in your Inventory Dashboard and offers a "Fix listings" button to help resolve the problem. Ignoring these issues can be costly since you're paying storage fees for items that can't be sold.

Several common reasons for stranded inventory include:

• Restricted ASINs: Items blocked due to Amazon restrictions.

• Listing errors: Missing or non-compliant product information.

• Pricing errors: Prices set too high, too low, or removed entirely.

• Account or listing suspensions: Immediate halts on sales due to policy violations.

Stranded inventory not only racks up unnecessary fees but also hurts your Inventory Performance Index (IPI) score and storage privileges. To make matters worse, Amazon removes stranded inventory after 90 days if the issue isn’t resolved.

To avoid these problems, it’s important to act quickly. Check your Inventory Dashboard weekly for alerts and use the "Fix listings" button to address flagged issues. Common fixes include updating product details, adjusting prices to fall within acceptable ranges, or contacting Seller Support for restricted ASINs.

Preventing stranded inventory starts with preparation. Before sending products to Amazon, ensure you have all necessary approvals and that your product category isn’t restricted. Double-check that your listings are complete with accurate descriptions, images, and features. Also, avoid deleting listings immediately after selling out - customer returns could otherwise become stranded.

Consistency is key. By reviewing your stranded inventory report weekly, you can catch and fix problems early. This keeps your products available for purchase and ensures your FBA operations run smoothly.

6. FBA In-Stock Rate

The FBA In-Stock Rate reflects how effectively you're meeting customer demand by tracking the availability of your restockable items over a 30-day period. Amazon calculates this metric with extra weight on your best-selling products, using their sales velocity from the past 60 days. In other words, items that sell faster have a bigger impact on your overall score.

Here’s how it works: Amazon calculates each product's in-stock percentage over 30 days, multiplies it by its 60-day sales velocity, and divides that by the total sales velocity of all your products. For example, if Product A is in stock 50% of the time and sells 2 units, while Product B is in stock 100% of the time and sells 3 units, the formula would look like this: [(2×50%) + (3×100%)] / (2+3) = 80%. This metric is essential because it highlights how stock availability influences your sales performance.

Why This Metric Matters for Your Business

Your in-stock rate has a direct impact on both sales and customer satisfaction. If a popular product goes out of stock, you lose immediate sales, harm your organic ranking, and risk losing Buy Box eligibility. Stockouts not only frustrate customers but also limit your ability to boost your Inventory Performance Index (IPI) score.

"The FBA in-stock rate indicates how much value you are getting out of your products by keeping replenishable ASINs in stock. A low FBA in-stock rate doesn't lower your IPI score, but if you go out of stock on a popular product, your lost sales represent a missed opportunity to increase your IPI score." - Amazon

Maintaining a high in-stock rate can lead to higher sales volumes and faster sales velocity, which in turn increases your FBA inventory allowance. It’s a cycle that rewards consistent stock management.

Common Stock Management Challenges

Several factors can disrupt your in-stock rate. Long production cycles, shipping delays, seasonal demand spikes, and supply chain issues are common culprits. On top of that, cash flow limitations can make it hard to maintain a 30-60 day sales buffer.

The challenge lies in finding the right balance - stocking enough to avoid running out while not overloading FBA, which could hurt your IPI score. Backup stock is essential, but so is closely monitoring your current inventory levels.

Practical Solutions for Better Stock Management

• Leverage Amazon's Restock Inventory Tool: This tool offers demand-based recommendations for when and how much to reorder.

• Review the FBA Lost Sales Report: This report shows how much revenue you’ve missed due to stockouts in the past 30 days, helping you identify problem areas.

• Set Automatic Reorder Points: Base these on lead times and daily sales averages. For instance, if a product has a 14-day lead time and sells 10 units daily, reorder when inventory falls to 200 units to maintain a buffer.

• Plan for Big Events: Use historical data to prepare for high-demand periods like Prime Day or Black Friday.

• Mark Non-Replenishable Items: For limited-edition or non-restockable products, mark them as "non-replenishable" in your inventory settings. This ensures they don’t negatively affect your in-stock rate calculations.

Weekly monitoring of restock reports is also crucial, especially for products with longer lead times. Staying proactive and organized can help you avoid stockouts and maintain smooth operations.

7. Conversion Rate

Your conversion rate shows the percentage of visitors who make a purchase after visiting your listing. It’s calculated as: (Orders ÷ Page Visits) × 100.

This metric helps you understand if your product appeals to your audience and how effective your listing is at convincing them to buy.

Why Conversion Rate Matters on Amazon

Amazon listings often outperform standard e-commerce sites in conversion rates. Thanks to Prime membership, conversions can soar, with top-performing listings exceeding 30%. Even small improvements in this area can lead to noticeable sales growth.

Factors That Influence Conversion Rate

Several elements can directly impact your conversion rate:

• Product Listing Quality: Your listing should clearly communicate the value of your product. High-quality images, a strong title, and well-written bullet points and descriptions are essential. Images that show multiple angles help customers imagine owning the product.

• Pricing Strategy: Competitive pricing is key, but it’s a delicate balance. Pricing too low might suggest poor quality, while pricing too high could push buyers away. Discounts and coupons can also play a role in attracting customers.

• Customer Reviews and Ratings: Positive reviews build trust and reduce hesitation, while negative reviews can do the opposite. Actively managing reviews and responding to feedback is crucial for maintaining trust.

• Fulfillment Options: Using Fulfillment by Amazon (FBA) to offer Prime shipping can make a big difference. Customers value fast shipping and easy returns, which FBA provides.

How to Improve Your Conversion Rate

Here are some actionable strategies to boost conversions:

• Optimize Your Listing: Write persuasive, benefit-focused content. Include relevant keywords in your title, and use bullet points and descriptions to address customer concerns and highlight key features.

• Leverage A+ Content: Enhanced content options allow you to add extra images and detailed explanations, helping to build trust and grab attention.

• Adjust Your Pricing: Regularly analyze competitor pricing and experiment with strategies like promotional discounts, lightning deals, and coupons to find the sweet spot between affordability and profitability.

• Manage Reviews Effectively: Encourage satisfied customers to leave reviews and handle negative feedback quickly. Programs like Amazon Vine can be especially helpful for new product launches, with some reports showing sales increases of up to 30%.

• Use A/B Testing: Experiment with different elements of your listing, such as images, bullet points, and pricing, to see what resonates most with your audience.

Next, let’s explore how advertising metrics can further impact your performance.

8. Total Advertising Cost of Sale (TACoS)

Total Advertising Cost of Sale (TACoS) is a key metric that compares your ad spend to your total sales revenue. The formula is straightforward: (Advertising Spend ÷ Total Revenue) × 100. Unlike metrics that focus only on paid sales, TACoS gives you a complete picture by including both paid and organic sales performance.

Why TACoS Deserves Your Attention

TACoS isn’t just another advertising metric - it’s a window into the sustainability of your growth strategy. If your TACoS decreases over time while your sales grow, it’s a sign that your ads are doing more than just driving immediate sales. They’re also boosting your product’s organic visibility and rankings. In other words, your advertising is working to build a stronger foundation for future growth.

For most businesses, a healthy TACoS falls between 5% and 15%, with many aiming for the 6%–10% range. A TACoS between 10% and 20% might be acceptable for newer products or aggressive growth strategies. But if your TACoS climbs above 20%, it could mean you’re leaning too heavily on paid advertising to sustain your sales.

Finding the Right Balance Between Paid and Organic Growth

One common mistake sellers make is focusing only on short-term ad returns. The real challenge lies in understanding how your ad spend contributes to long-term organic growth. Ideally, your advertising campaigns should not only drive immediate sales but also help lower your TACoS over time by improving your organic rankings and visibility.

Tips to Improve Your TACoS

Getting your TACoS under control is essential for balancing short-term gains with long-term growth. Here are a few strategies to help:

• Use Long-Tail Keywords: These keywords are less competitive, target specific customer needs, and usually deliver better conversion rates at a lower cost. This approach helps maintain sales while keeping ad spend in check.

• Enhance Your Product Listings: Make sure your titles, descriptions, images, and reviews are top-notch. A well-optimized listing converts more traffic - both paid and organic - into sales.

• Analyze Campaign Performance: Compare your TACoS to product margins at the campaign level. This helps you identify which campaigns are profitable and which ones are wasting resources.

• Bundle Products: Offering product bundles can increase the average order value, effectively reducing the overall impact of ad costs.

9. Return on Advertising Spend (RoAS)

Return on Advertising Spend (RoAS) tells you how much revenue you earn for every dollar you invest in advertising. To calculate it, divide your total revenue from ads by your total ad spend. While TACoS provides a big-picture view of your business, RoAS zeroes in on the direct results of your ad campaigns.

RoAS: Your Guide to Ad Performance

RoAS gives you a straightforward way to measure how effective your advertising is. For example, a RoAS of 4:1 means you’re making $4 in revenue for every $1 spent on ads.

"ROAS is important because it's a good indicator of what a brand should expect to earn from an ad campaign. It's an early KPI that can help guide the efficiency of a campaign and set expectations for that campaign's success." - Amazon Ads

While 4:1 is often considered a standard benchmark, the ideal RoAS varies depending on the type of product and your business model.

Benchmarks Across Industries

Different industries have different RoAS norms. Electronics often fall in the 3-4x range, while apparel and fashion typically see 2-3x. Some businesses might need a 10:1 RoAS to turn a profit, while others can thrive with a 3:1 ratio. Your target RoAS should reflect your profit margins and overall business strategy.

Jungle Scout's Amazon Advertising Report highlights that Sponsored Products ads offer the best RoAS, outperforming Sponsored Brands and Sponsored Display ads. On average, sellers earned $3.67 in revenue for every $1 spent on Sponsored Products, giving them a 3.67 RoAS. These insights provide a benchmark for tackling common challenges in RoAS optimization.

Challenges in Optimizing RoAS

As with TACoS, inefficiencies in ad spend can hurt your RoAS. High advertising costs, especially in competitive categories, combined with low profit margins, can quickly eat into your returns. Poor keyword targeting and unoptimized product listings further reduce your RoAS by wasting ad dollars and lowering conversions.

Competitor activity also plays a big role. When multiple sellers bid on the same keywords, costs rise, and RoAS can drop. Seasonal trends and market changes add another layer of complexity, requiring constant adjustments to your strategy.

How to Improve Your RoAS

Boosting your RoAS takes a well-rounded approach. Start by refining your keyword strategy - focus on high-performing keywords and use negative keywords to cut out irrelevant traffic. Make sure your product listings are top-notch, with strong descriptions, sharp images, and clear bullet points that encourage purchases.

Targeting the right audience is another game-changer. Use Amazon’s tools to reach shoppers who are likely to buy your products instead of casting an overly broad net. Regular campaign audits are essential - adjust bids, budgets, and targeting based on performance data.

Experimentation also helps. Run A/B tests on your ad creatives to identify what resonates most with your audience. Keep an eye on competitors’ strategies so you can adapt as needed. Don’t forget that great customer service - like smooth order fulfillment and handling returns professionally - can improve conversion rates and, in turn, your RoAS.

Ultimately, improving RoAS isn’t a one-and-done task. It’s an ongoing process of monitoring, tweaking, and aligning your ad efforts with your business goals. By staying focused on data and making informed adjustments, you’ll maximize the return on your advertising investment over time.

10. On-Time Delivery Rate

On-Time Delivery Rate (OTDR) tracks the percentage of seller-fulfilled shipments that arrive by their promised delivery date. This metric excludes FBA (Fulfilled by Amazon) orders and focuses solely on those shipped directly by sellers.

Why OTDR Matters for Your Business

Amazon places high importance on delivery reliability. To maintain seller-fulfilled privileges, you must keep an OTDR of at least 90%. However, Amazon suggests aiming for 95% or higher to ensure a smooth customer experience. Falling below this benchmark can result in losing the ability to offer seller-fulfilled products. For example, Amazon has observed that tracked orders experience 60% fewer defects, highlighting the importance of dependable shipping.

"Customers tell us that receiving their orders on time and having the ability to track their packages are important factors in their overall satisfaction with an order." – Amazon

Failing to meet delivery expectations can lead to unhappy customers, lower search rankings, and negative feedback. Knowing how OTDR is calculated can help you pinpoint issues and improve your shipping performance.

How Amazon Calculates Your OTDR

Amazon calculates OTDR using a 14-day window. The metric considers shipments with promised delivery dates in the past 21 days, excluding the most recent 7 days (to account for packages still in transit). The formula is simple: divide the number of packages delivered on or before the promised date by the total number of packages due for delivery during that timeframe.

It’s worth noting that the "Deliver by" date is based on your handling and transit time settings before any extensions are applied. This internal date might differ from the delivery date shown to customers if Amazon adjusts the window.

Common Challenges That Hurt OTDR

Several factors can negatively impact OTDR. Delays in order handling, often caused by inefficient workflows or disorganized inventory, can push shipments past carrier deadlines. Carrier reliability is another critical aspect - issues like weather delays, sorting mistakes, or last-mile delivery problems can disrupt timelines, particularly during busy seasons or in hard-to-reach locations.

Scaling up can also introduce challenges. Processes that work for smaller order volumes may falter under increased demand, leading to slower handling times and missed delivery promises. Addressing these bottlenecks is essential before implementing automation or other process upgrades.

Improving Your On-Time Delivery Performance

Timely delivery is key to earning customer trust and maintaining a positive shopping experience. Automating tasks like label printing and tracking updates can streamline order processing. Tools like Amazon’s Shipping Settings Automation (SSA) help set accurate delivery dates based on your warehouse location and shipping methods.

Using Automated Handling Time (AHT) can further refine your processing times by analyzing past performance for each SKU, ensuring your estimates are realistic. Additionally, opting for Amazon Buy Shipping provides access to reliable shipping options with strong on-time records.

Warehouse efficiency also plays a big role. Organize your layout so frequently ordered items are easy to access, and ensure packing stations are stocked with all necessary supplies to avoid delays.

Finally, choose dependable carriers and monitor their performance through the Account Health dashboard. This can help you address recurring issues, such as delays in specific ZIP codes.

Amazon recently updated transit time requirements for sellers shipping within the contiguous United States. As of August 2024, standard shipping transit times are capped at five days (down from eight), while free economy shipping is capped at eight days (down from 10). Adjust your shipping methods accordingly to stay compliant with these updated standards.

Comparison Table

Here’s a breakdown of key FBA KPIs, explaining what each one measures, why it’s important, and the challenges you might face when managing them.

Use this table to pinpoint the KPIs that align with your business priorities and address specific challenges effectively.

Conclusion

Keeping a close eye on these 10 FBA KPIs lays the groundwork for steady growth and profitability on Amazon. Sellers who base their decisions on data tend to outpace those who rely only on gut feelings.

For instance, fine-tuning your ACoS strategies can increase profits by 18%. Improving your BSR by just 1% could lead to a 4.2% boost in daily sales, while cutting return rates by 5% might enhance your margins by 9%.

Success comes from consistent monitoring, setting SMART goals, and acting on clear, targeted thresholds. These habits ensure you're always moving in the right direction.

Of course, managing these KPIs every day can feel overwhelming. That’s where expert guidance makes all the difference. eStore Factory provides Amazon consulting services that cover everything from PPC and SEO to inventory optimization and performance tracking. Their all-in-one account management approach has delivered impressive results - like helping Foam Party Supplies achieve a 53% sales increase in just one month.

FAQs

What steps can I take to improve my Amazon IPI score and avoid storage limits?

To improve your Inventory Performance Index (IPI) score and avoid storage restrictions, focus on these four key strategies:

• Resolve stranded inventory: Address any issues with stock that can’t be sold, ensuring it becomes available for purchase.

• Boost your sell-through rate: Adjust pricing, run targeted promotions, and enhance product visibility to move inventory more efficiently.

• Cut down on excess inventory: Identify slow-moving items and adapt stock levels to avoid overstocking.

• Balance your stock levels: Maintain an adequate supply of popular items to meet customer demand without going overboard.

Keep a close eye on your IPI score, clear out older inventory, and plan purchases with seasonal trends in mind. Staying ahead of these factors can help you avoid hefty storage fees and keep your inventory performance on track.

How can I keep my Order Defect Rate (ODR) low and avoid Amazon account suspension?

To keep your Order Defect Rate (ODR) below 1% and avoid the risk of Amazon account suspension, you’ll need to focus on three main areas:

• Limit negative feedback: Deliver top-notch customer service, respond to buyer concerns quickly, and make sure your product descriptions are accurate to align with customer expectations.

• Cut down on returns and complaints: Prioritize high-quality products, use proper packaging, and include clear instructions to minimize dissatisfaction.

• Maintain reliable shipping: Ship orders on time, provide accurate tracking details, and resolve any delivery issues promptly.

Keep a close eye on your seller metrics and address any concerns as soon as they arise. Regular performance reviews can help you spot trends, tackle potential problems early, and keep your account in good standing.

What’s the difference between Total Advertising Cost of Sale (TACoS) and Return on Advertising Spend (RoAS), and how can I improve them to boost profitability?

TACoS (Total Advertising Cost of Sale) shows the percentage of your total sales - organic and paid - that goes toward advertising. It's a helpful way to assess your overall business health. RoAS (Return on Advertising Spend), on the other hand, zeroes in on how much revenue your ads are directly bringing in, making it a key measure of your ad campaign's efficiency.

If you're looking to boost profitability, focus on reducing TACoS by driving more organic sales. You can do this by refining product listings, using competitive pricing strategies, and building a strong brand presence. To achieve a higher RoAS, work on sharpening your ad targeting, improving the quality of your ad creatives, and fine-tuning your bidding strategy. Regularly tracking and tweaking these metrics can lead to a more profitable and steady Amazon business.

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