Published On: 17. November 2025|5 min read|
Amazon Warehouse AI generated - lang hall with high shelfs stuffed with packages

How to fix Amazon inventory mismanagement

If you're selling on Amazon as a 1P Vendor, chances are you're losing money and not because your products aren’t great or your brand isn’t strong. You're bleeding profit because your inventory strategy is reactive, fragmented, or simply outpaced by Amazon’s machine. Stockouts during peak weeks. Aging inventory costs you storage fees. Auto-reorders you didn’t ask for or the wrong ASINs are being prioritized. And let’s not even talk about stranded stocks two weeks before Black Friday. Sound familiar? You're not alone. And the good news? It’s fixable.

Inventory isn’t ops it’s strategy

Most vendors still treat inventory like an operations problem. But your inventory decisions determine your ad ROI, sell-through velocity, and even how Amazon perceives your reliability.
Here’s what you can do differently:

  • Track net received vs. open POs weekly, not quarterly
  • Pause ads spent on low-stock ASINs and double down on high-velocity winners
  • Build your own predictive layer of reordering logic and automate it internally
  • Regularly audit your MoM and YoY as well as Prime event performance to act on demand

KPIs that matter most for inventory management

Metric Why it matters
Vendor Confirmation Rate Amazon’s trust in your supply chain. Low score = fewer POs.
Net Received Units vs. Open POs Reveals fulfillment gaps and potential downstream oos risks.
Aged 90+ Inventory Silent profit killer. Watch this especially post-Q4.
Unhealthy ASINs Often overlooked, but they flag listing/content/fulfillment issues early.
Sell-through Rate (STR) Your single most important metric to optimize FBA + Ads synergy.

Weekly forecasting is important

Amazon doesn’t wait for your next planning cycle. Weekly forecasting will help you stay on track and build up a routine and deeper understanding of how your assortment is moving and shifting. Plus it’ll help to stay on top when Prime Day, Prime Big Deal Days or Black Week and other Amazon high roller events are coming in.

Sync your ads to your stock and content

When Christmas or any other season comes around where you have distinctive imagery – go make use of this iconic imagery. This might entail greens, reds, candles Christmas lights or any other typical decoration to make your content fit the occasion. In Summer you might switch it up with more light blue, orange and yellow tones and iconic imageries like lemons, the sea, flowers.

Additionally use keywords that take on that role of the specific event. In the examples below you’ll find “Christmas”,  “cozy”, “girls gift” e.g. in the product title and description. This way you will catch specific consumer intent as well as pushing your products in the right direction for the holiday season.

Aligning your content (imagery and keywords) with ads and stock is going to  create conclusive and clear communication for your end customers.
And in the end, it’ll act like your revenue’s life support.

  • An Amazon product detail page of soft comfy socks. Made of super soft coral velvet, very soft, warm and durable. Perfect for christmas and as a gift for girls and women. A women sits on a window wearing lounge wear and the fuzzy socks in light blue. The landscape view is snowy and in winter wonderland style.
  • Amazon product detail page of an christmas offer. Air dry clay for Kids in Christmas modeling optic. Clay kit with 6 molding designs. It is for creative sculpting activity including little tools and tutorials. Perfect DIY gift for Girls and Boys
  • A screenshot of a an Amazon product detail page. Holiday 6-Piece Salad Plates Dinenrware Set. Porcelain, Round plates for gatherings, hosting, christmas. They are assembled on a brown table with a christmas tree in the backgound.

Seasonal peaks are inventory prime times

Let’s talk peak season – Q4 – the moment where 40% of your annual sales are on the table.
What can you do to prevent leaving inventory behind or not having enough stock to conquer these seasons?

  • Begin weekly ASIN performance audits in early October
  • Bundle slow movers with high runners (clever, not desperate)
  • Align ads, listing content, and SEO with holiday buyer intent
  • Pause spent on borderline ASINs to avoid wasted clicks
  • Use Alerts to stay updated through the event

Q4 isn’t “just busier.” It’s a stress test for your entire system and I get that. The key is preparation. When you show up prepared and you know how your stock usually behaves as well as how your end customers behave you are on the bright side of inventory management.

Prime events follow a distinctive pattern

Start understanding the Amazon Prime event pattern.
Download the report now:

  • Category benchmarks
  • Sales and traffic analytics
  • Ad efficiency data
  • The Prime readiness scorecard

Automation = Faster decisions = Higher margins

Here’s the kicker: Most teams know what to do but they can’t move fast enough.
Here are three ways you can automate the hustle

  • Automate Vendor Central data extraction via SP-API
  • Build BI dashboards (Power BI, Looker, AMVisor) to surface lead time gaps, PO mismatch, aged stock, etc.
  • Use an operating system like AMVisor to stay alerted the whole time

Stop waiting for your team to “pull the report.” Make the report pull them.

Stop reacting and start controlling

Then treat inventory management like a growth lever not a cleanup crew.
Use the following checklist for 1P Vendor Inventory Management

  • 1
    Weekly forecast with sell-in/sell-out alignment
  • 2
    Review aging + unhealthy ASINs
  • 3
    Sync ads to stock — no stock, no spend
  • 4
    Run weekly stranded inventory cleanups
  • 5
    Get Q4 visibility in September, not November
  • 6
    Automate everything possible

Conclusion

Amazon 1P Vendors often lose margin not because of weak products but due to poor inventory planning, slow forecasting cycles, and a lack of visibility in Vendor Central.
To fix this, 1Ps must treat inventory not as operations but as strategy: forecast weekly, track essential KPIs like Vendor Confirmation Rate and Aged 90+ Inventory, sync ads to stock levels, and prepare early for Q4 where up to 40% of annual sales occur.
Seasonal demand alignment, proactive stranded inventory fixes, and category-specific adjustments further reduce revenue leakage.
Automation through SP-API or tools like AMVisor enables faster decisions and prevents stockouts, overstocks, and aged inventory issues.

The result: more reliable Amazon ordering behavior, better profitability, and a scalable Vendor business due to a unified and enabled team.

FAQs

Weekly. Amazon’s ordering system moves too fast for monthly or quarterly planning. Weekly forecasting allows you to adjust for YoY trends, promo lifts, rising return rates (10–20% in Q4), and sudden demand shifts. It also keeps your reorder points, stockout windows, and ad strategy aligned in real time.

Focus on KPI combinations rather than single metrics. The most critical ones include:

  • Vendor Confirmation Rate (Amazon’s trust in your supply chain)
  • Net Received Units vs. Open POs (predicts upcoming stockouts)
  • Aged 90+ Inventory (post-Q4 profit killer)
  • Unhealthy Units (flags listing or fulfillment issues early)
  • Sell-Through Rate (core to balancing FBA, ads, and profitability)

Revenue drops are typically caused by stockouts, stranded inventory, high FBA fees, and elevated return rates. Vendors should set proper ROPs, run weekly stranded inventory audits, forecast weekly with seasonal adjustments, and sync ads tightly to stock levels.

Start monitoring ASIN performance in early October. Ensure listing content, keywords, visuals, and ads reflect holiday shopper intent (“gifts for gamers,” “cozy winter essentials”). Push high-stock high-velocity ASINs, bundle slow movers with bestsellers, and pause ads on low-stock listings.

Manual reporting is too slow and reactive. Automation (SP-API, BI dashboards, tools like AMVisor) surfaces lead-time gaps, PO mismatches, unhealthy stock, and aging inventory instantly. Faster insights lead to faster decisions, better stock availability, and higher margins.
  • Über uns - Robert Laskowski Head of Sales @AMVisor

    PhD. Robert Laskowski

    CSO

    Since 2017, Robert focuses on driving sales strategy, business development, team leadership, and revenue growth at AMVisor.

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