As early as March 1 of this year, Amazon gave new sellers a great deal — the New Seller Starter Package. The discount was unprecedented, providing new sellers with up to 50,000 US dollars in real money! Recently, the return method and progress of various benefits have also received widespread attention from seller friends:

Maybe the seller's friends aren't sure, how expensive is the storage fee required when the inventory is overloaded?When inventory planning is improper or products do not sell as well as expected, inventory may become overstocked or stored in Amazon fulfillment centers for a long time. There is a long-term inventory backlog. First, inventory will slowly exceed the limit, and second, some inventory will become overage inventory.

See the chart for a detailed explanation of the three types of fees:

Products that have been stored in Amazon fulfillment centers for more than 271 days will be charged an overage inventory surcharge. Compared to the monthly inventory storage fee, the surcharge for overage inventory is very high. Among them, the charge for overage inventory over 365 days is higher, possibly up to 13 times higher.

At the same time, during the peak season in the fourth quarter, monthly storage fees will also rise sharply. Once this account is calculated, the seller's friends are racking their brains and wondering how to clean up inventory to reduce inventory storage costs?

When it comes to cleaning up inventory, sellers can try the “four-step” combo: expand the market, sell for promotions, reserve inventory, and clean up redundancy.

Facing a backlog of inventory, maybe you should try expanding into other markets before selling at a reduced price?Amazon has set up a complete and convenient logistics system to help sellers sell products to other sites. Sellers only need to manage this site and leave complicated operations such as cross-border delivery management to Amazon Logistics!

Sellers in the US can use Amazon's remote delivery program to explore market opportunities in Canada and Mexico. With this program, you can ship inventory stored in Amazon fulfillment centers in the US to customers in Canada and Mexico.

European sellers can use the European Fulfilment Network (EFN) and Amazon Logistics Europe Integration Service (Pan-EU) to explore other European markets.

Amazon Logistics Europe Integration Service (Pan-EU) supports placing sellers' inventory closer to buyers. By registering VAT numbers in more countries/regions or manually opening more storage countries, sellers can easily sell or store products within Europe at a lower cost, which according to statistics has increased sales of Amazon Logistics products by up to 30% *.

Therefore, sellers can use MCF to ship your orders on third-party sales channels. Sellers only need to enter the delivery information for third-party orders, and Amazon will sort, package, and directly deliver the inventory you have stored in the Amazon fulfillment center to the customer, and provide order shipping tracking information.

In addition to expanding the market, the second step in removing inventory can be solved by reducing the price and clearing the inventory. Sellers are advised to use promotional methods with a relatively low entry threshold, such as coupons, Prime exclusive discounts, and deals. These widely used daily promotion methods can increase product traffic, reach customers accurately and efficiently, and even stimulate purchases to increase sales, which is very helpful for quickly removing inventory.

Professional sellers in the US, the five European countries, Japan, and India can also set business prices or quantity discounts to attract business buyers on Amazon.

This is a discount promotion for Prime members. After setting up, the product page will display discount information and Prime badges, which can steadily attract high-quality customers, thereby increasing exposure and increasing sales.

This is to create a discount for a single product or group of products. The product search results will display a coupon badge, get an exclusive Amazon Coupon traffic portal, and you can also set up customer-specific coupons to accurately reach target groups.

This is a pricing promotion tool that can additionally set lower prices, one ASIN, two prices visible only to business buyers, to increase the willingness of enterprises to purchase. It is also possible to set corresponding tiered prices according to the purchase quantity to meet the needs of enterprise buyers to purchase multiple items.

Every year, Amazon's special holiday sales are an excellent time for high sales. Sellers can take advantage of the big sales in the fourth quarter to select and prepare products and greatly clean up a wave of inventory!The following is a detailed introduction to the time points and popular categories of major websites:

Additionally, sellers can keep an eye on whether they are invited to limited-time outlet promotions. Amazon Outlet Limited Time Sale is a promotion channel for customers to reduce prices, clear inventory, and handle overstocked inventory products. The purpose is to help FBA sellers solve the problem of overstocked inventory. Products participating in the limited-time outlet sale will offer buyers at least 20% (20% off) discount. Currently, the channel has reached customers on almost all Amazon sites.

As a promotional channel for exposure, Amazon Outlets is a good helper for cross-border e-commerce sellers. Currently, Amazon has outlet entrances on both the computer and mobile terminals, which has attracted huge traffic, effectively increasing sales and optimizing inventory for sellers!

Even with the price reduction promotion, it is still impossible to reduce the inventory backlog, and you don't want to remove the inventory, so if Amazon's storage capacity is insufficient, you can try cooperating with an overseas warehouse service provider to move some of the inventory to a third party's overseas warehouse for storage and sale. How to choose an overseas warehouse service provider?You can check it out using the Amazon SPN service provider network.

The Amazon SPN Service Provider Network conducted a comprehensive evaluation and review of local service providers based on the service provider's reputation, service capability, and brand influence, and finally selected more than 90 local service providers to provide sellers with 6 major categories of services, including overseas warehouse services.

Automatic removal does not directly dispose of inventory; it automatically helps you dispose of your inventory in order of value recovery from largest to smallest. No manual action is required from the seller. After that, sellers do not want to continue using the automatic removal function and can opt out of automatic removal at any time in Seller Central.

● If the seller has a return address on the “Automatic settings for sellable inventory” page and chooses to return the item, the inventory will be returned to the address provided by the seller by default.
●If there is no return address, the seller's inventory will be automatically cleaned through the Amazon Logistics Bulk Clearance Program (FBA Liquidations) to recover value.

This means selling inventory to liquidators cooperating with Amazon. This not only helps sellers absorb excess inventory and returned products, avoid paying disposal fees, but also recover 5-20% of the value of the product.
Amazon has now further expanded its team of contract clearance agents in the UK to provide more reliable buyers for your inventory ready to be cleared, process bulk clearance orders more efficiently, and reduce the cancellation rate of bulk clearance orders.