The Inventory Performance dashboard helps you identify opportunities to grow your sales, reduce costs, and track key performance metrics.
The Inventory Performance Index, or IPI, is a metric to gauge your inventory performance over time.
Your IPI score is based on how well you drive sales by stocking popular products and efficiently managing on-hand inventory.
For answers to common questions, go to IPI frequently asked questions.
There are four categories of recommendations to help improve your IPI score:
The IPI dashboard displays a performance bar for each of the four categories:
This symbol means that your current performance in the influencing factor is in the bottom tier of sellers and may affect your IPI score if you do not take steps immediately to improve your performance.
This symbol means that your current performance in the influencing factor is in the top tier of sellers. You're doing an excellent job.
The Inventory Performance page also provides additional metrics within each factor, which you can see by selecting Show more details. Clicking the Show more details box associated with each category will take you to related inventory management tools that provide recommendations to improve your performance.
Carrying too much inventory decreases profitability due to storage fees and holding costs. Track your performance in this category and identify opportunities to improve profitability using Excess inventory percentage, which is the percentage of your FBA inventory units that have been identified as excess.
In addition to the performance bar, three related metrics are displayed with the excess inventory percentage on the Inventory Performance dashboard:
When inventory is not available for purchase due to a listing problem, it results in lost sales and storage costs. This inventory is referred to as stranded inventory. Your stranded inventory percentage is the percentage of your FBA inventory units that are currently not available for purchase on Amazon.
In addition to the performance bar, two related metrics are displayed with the stranded inventory percentage on the Inventory Performance dashboard:
Tracking the ratio between your units sold and how much inventory you hold on average can be a good indicator of your inventory health over time. Even if you just sent a shipment to Amazon a few weeks ago, you can track how much traffic your product detail pages are getting as well as your conversion rates in your Business Reports. Giving your products a sales boost by advertising with Sponsored Products, improving keywords, or creating a sale can have a lasting effect on your overall business and the popularity of your products. Track your FBA inventory levels relative to your sales and identify opportunities to improve traffic and conversion by viewing your sell-through rate, which is your units sold (across all listings) and shipped over the past 90 days divided by the average number of units available at fulfillment centers during that time period.
In addition to the performance bar, two related metrics are displayed with your FBA sell-through rate on the Inventory Performance dashboard:
Keeping popular, replenishable products in stock helps maximize your sales. You can track your performance in this category using the FBA in-stock rate, which is the percent of time your replenishable FBA ASINs have been in stock during the last 30 days, weighted by the number of units sold for each SKU in the last 60 days.
You can indicate that a SKU is non-replenishable in Restock inventory by going to the drop-down menu in the Action column and selecting Hide recommendation. Hiding all SKUs associated with an ASIN will exclude the ASIN from your FBA in-stock rate and estimated FBA lost sales.
In addition to the performance bar, two related metrics are displayed under the replenishable FBA in-stock rate percentage on the Inventory Performance dashboard: