How to deal with Amazon's over-age inventory? What are the methods?

How to deal with Amazon's over-age inventory? What are the methods?

There are many situations that merchants do not want to see when opening a store on Amazon, such as a serious backlog of goods. This shows that the merchant’s inventory management capabilities are not good. Amazon has an assessment of inventory, so how should merchants deal with Amazon’s overaged inventory? Find out below.

How to deal with Amazon's overage inventory ?

Method 1: Many sellers will generally adopt price cuts and advertising. These two methods are very simple and crude, but the biggest disadvantage of these two methods is that they cause profit losses. For redundant products, the advertising effect is generally very poor, because the product may be unsalable due to problems with the product itself, so if you do not control advertising when clearing the stock, it is very easy to cause huge losses.

The second method: off-site promotion + large discount code. Currently, the activity price required by off-site advertising is generally 30%~40% of the product price. The prices of most off-site activities range from US$50 to US$150. If you clear the stock through off-site activities, you need to make a profit and loss balance.

The third method: Split and merge variants. Use the traffic of good models to drive the sales of slow-selling products. The main operation method is to merge the slow-selling SKUs into the hot-selling listings, and then set a minimum price for these slow-selling SKUs, using the difference between high and low prices to guide customers to buy low-priced clearance products.

The fourth method: sell the redundant inventory to FBA inventory buyers at a low price. Currently, there are many FBA inventory buyers who are actively purchasing FBA inventory. If you can find relevant inventory buyers, you can sell the redundant inventory to these inventory buyers at a low price. The general purchase price is 20% of the normal selling price of the product.

The fifth method: Participate in the outlet program of Amazon. Excess inventory that meets the requirements of outlets can sign up for such activities.

The sixth method: directly discard the redundant inventory. When the redundant inventory affects the store performance and the store cannot be replenished normally, discarding the redundant inventory is the best option.

The above 6 methods are specific methods for Amazon inventory redundancy. We can make the best choice based on actual conditions.

I have shown you how to deal with Amazon's overage inventory. Too much inventory backlog may be caused by purchasing too much, misestimating the market, or product selection problems that lead to unsalable goods and inventory backlogs. Another reason may be changes in market demand.

Recommended reading:

How does Amazon improve conversion rates? What are the methods?

Why is Amazon's automatic advertising not exposed? What is the reason?

How many SKUs can be listed on Amazon at most? What should I pay attention to when creating products?

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