June 28, 2023
How To Ensure Your Inventory Is Primed for Amazon Prime Day 2023
This blog post was originally published by Deliverr, which is now Flexport. The content has been adjusted to fit the Flexport brand voice and tone, but all other information remains unchanged. With the merging of Deliverr’s services (DTC fulfillment, B2B distribution, and Last Mile delivery) into Flexport’s existing international freight and technology services, we’re now able to provide merchants with true end-to-end logistics solutions spanning from the factory floor to the customer’s door.
Is your ecommerce business ready for peak season?
Kicking things off is Amazon’s most popular event, Prime Day. The first of the three biggest ecommerce retail holidays, Amazon Prime Day 2023 is taking place across two full days this year; beginning on Tuesday, July 11, and continuing throughout Wednesday, July 12.
Last year, global Amazon Prime Day sales reached a new record high amounting to 12 billion U.S. dollars (up almost $1 billion from 2021) as customers took advantage of deep discounts and steep deals. While there’s much excitement around the potential to one-up that record sales high, many Amazon sellers are scrambling to organize their inventory in time. This is especially true since a recently enforced policy allows Amazon to automatically remove FBA inventory that has been in a fulfillment center for more than 365 days.
With no time to waste, here’s how to sell on Amazon Prime Day 2023, ensuring the right products are in stock and ready to meet the influx of customer demand without the headache.
Transport Excess FBA Inventory to Storage for Automatic Replenishment
On top of worrying about the potential for inventory removals ahead of Amazon Prime Day 2023, many merchants are simultaneously facing penalties in the form of low inventory performance index scores on excess inventory levels. When a business falls below the minimum threshold score, storage limits are placed on the account until it can improve its inventory health (e.g., removing excess inventory). This makes proper inventory management crucial.
But having extra inventory on hand to meet near-term customer demand is sometimes an advantage in disguise, especially for Amazon Prime Day sellers. In 2022, 25% of shoppers stated that everything on their purchase wishlist was out of stock. Amazon FBA sellers can easily avoid losing customers this year by holding excess inventory in a nearby storage facility that auto-replenishes stock levels well before they reach zero. Don’t be forced to surrender your excess inventory; it can be a major benefit during Peak season.
Maximize your inventory and capture every Amazon sale this Prime Day with timely product restocking. Integrated Amazon FBA replenishment lets you keep prime-ready fulfillment centers in stock while honoring storage limits. Getting started is easy: Connect your Seller Central account to see automatic replenishment recommendations.
Want even fewer headaches during Amazon Prime Day 2023? In addition to automatic inventory replenishment on low-stock SKUs, tap into a trucking service to transport inventory between each storage facility and FBA in time.
Avoid Non-Compliant Inventory With a Hassle-Free, Affordable FBA Prep Alternative
Amazon’s FBA prep services have extensive receiving requirements that increase expenses before sending products to the marketplace. Some examples include:
- Hangers are removed from apparel and placed in a transparent poly bag to protect from damage or dust.
- Baby products placed in a transparent poly bag, have a suffocation warning, be in a secured bag (if not self-adhesive), and include a scannable barcode.
- Fragile/glass items placed in bubble wrap or a bubble bag with the box secured or taped, pass a drop test on a hard surface without breaking, and include a scannable barcode.
Keeping up with a laundry list of inventory prep to-dos is time-consuming and expensive when done on your own. Moreover, properly preparing your inventory for Prime Day 2023, and avoiding rejection and non-compliance, is overwhelming.
Have peace of mind that your inventory will be sales-ready for Amazon Prime Day 2023. Use an affordable FBA prep alternative with compliance expertise for any situation, including:
- Quality assurance for inventory previously rejected by another provider. We provide high levels of accuracy and quality assurance to ensure that your inventory is always compliant and sales-ready.
- Seamless process for first-time FBA inventory senders. If it's your first time sending inventory to FBA, we're here to help you navigate the process and ensure a smooth experience from start to finish.
- Reduced pricing for prep services and standardization of your network for veteran FBA merchants. As a veteran FBA merchant, you can enjoy our reduced pricing options for prep services that offer standardization of your network.
- Standard services: FBA carton labeling, Palletizing, Pallet labeling
- Vale-added services: SKU labeling (including barcodes and 'Sold as Sets' labels, bagging, damage protection
Integrate With a Returns Management Tool To Plan For Increased Returns
Online shoppers return purchases three times more often than shoppers who buy in-store. On Amazon, the average return rate is between 5 and 15%. This fluctuates more or less following an impulsive shopping event like Prime Day.
Amazon’s seller-fulfilled return policies are extensive and hard to adhere to when handling a large influx of returns. For example, the marketplace states, "You must respond to return requests that require manual authorization within 24 hours.” These tight-grip rules are hard to follow when you have hundreds of return requests following a major shopping event like Prime Day. Having a strategic partner that integrates directly with your Amazon account to sync returns information will be a crucial alternative.
Seamlessly integrate your Amazon returns information with a Returns Management Tool before the post-Prime Day returns pour in. This will help avoid being among the 20% of retailers that can’t manage their returns efficiently and effectively.
Find a Partner That Can Help You Do It All for Amazon Prime Day 2023
Want an all-in-one solution to take control of your inventory? In addition to our storage, freight, prep, and returns services, Flexport can also fulfill your Prime Day 2023 orders.
Our vast physical infrastructure and unique inventory management algorithms allow you to:
- Sell more with faster delivery: Offer lightning-fast, reliable delivery to your customers with Shop Promise and Fast Tags, wherever you sell, at no extra cost. We’ll make sure your inventory is always near your customers for fast, affordable delivery.
- Customize your logistics: Create the exact logistics solution you need using open APIs and review our help docs to assist you through the development process.
- Avoid costly investment: Rely on our vast network of distribution hubs, warehouses, and fulfillment centers outfitted with state-of-the-art technology. Only pay for the services you use, and change your usage as your business grows.
We have you covered for whatever you need to prepare for a successful Amazon Prime Day 2023.
The contents of this blog are made available for informational purposes only and should not be relied upon for any legal, business, or financial decisions. We do not guarantee, represent, or warrant the accuracy or reliability of any of the contents of this blog because they are based on Flexport’s current beliefs, expectations, and assumptions, about which there can be no assurance due to various anticipated and unanticipated events that may occur. This blog has been prepared to the best of Flexport’s knowledge and research; however, the information presented in this blog herein may not reflect the most current regulatory or industry developments. Neither Flexport nor its advisors or affiliates shall be liable for any losses that arise in any way due to the reliance on the contents contained in this blog.