Amazon Drastically Slashes FBA Restock Limits Ahead of Christmas Season

Last week, thousands of third party Amazon Sellers with pristine IPI score metrics accessed their accounts to discover that Amazon suddenly reduced their storage allowances by up to 50% or even more!

Those, who were patiently watching their restocking limits for months and anticipating an increase prior to Chtistmas were left in a shock, seeing that while their storage limits were already low, now there is no prospect of them being able to restock by the end of the year.

Here is an example of a storage allowance given to an established Amazon Seller of more than 10 years, who had his overall restocking limit reduced from green and availability to ship thousands of units to being almost 100% over their allowance:

Here you can view a screenshot of e-mail announcement regarding the matter:

Here is a copy of the wording in English:

Restock limit changes to prepare for the 2022 holiday season – US standard and apparel storage types

Hello,

We want to ensure that we can receive, store, and fulfill products in a timely manner for all sellers using FBA. One of the ways we do this is through restock limits that enable all sellers to be able to send sufficient inventory to meet future customer demand. 

As we prepare for the busy holiday season, those demand patterns naturally change. To ensure a successful holiday season, including accounting for seasonality and scheduled deals, we are updating our restock limits to allow all sellers to have at least four months of inventory in FBA. While all sellers using FBA will see their limits updated, this updated limit will currently restrict about 5% of sellers using FBA from being able to restock additional products due to their already having high levels of inventory. 

Our records show that you already have higher levels of inventory (including open shipments), and therefore may be limited from restocking products until you have reduced your utilization. You can review your current restock limits and maximum shipment quantity on the Inventory Performance dashboard (https://sellercentral.amazon.com/inventory-performance/dashboard).

Your restock limits are determined by a range of factors, including seasonal and peak selling periods for your products, forecasts for your ASINs, the new selection you carry, deals you have scheduled and fulfillment center capacity. For more information on restock limits, go to Restock limits by storage type: Frequently asked questions (https://sellercentral.amazon.com/gp/help/external/GUWWC8QVAF8TFVFR).

You can create more room for products within your limits by selling through your inventory, creating removal orders for products that are unlikely to sell, or canceling non-urgent shipments to fulfillment centers. For more recommendations, go to FBA Inventory (https://sellercentral.amazon.com/inventoryplanning/manageinventoryhealth).

We thank you for choosing to sell on Amazon and for all you do to provide an excellent experience for customers by maintaining healthy levels of inventory. 

The Fulfillment by Amazon team   

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