Amazon Inventory: 5 Steps to Boost Your IPI Score FAST!

For any Amazon FBA seller, the Inventory Performance Index (IPI) score is more than just a number on a dashboard—it’s the gatekeeper to your growth. This single metric, ranging from 0 to 1,000, gauges how efficiently you manage your inventory. A high score tells Amazon you’re a responsible, productive partner. A low score, however, can trigger storage limitations and mounting fees, effectively putting a ceiling on your business.

Understanding and actively managing your IPI isn’t optional; it’s a fundamental requirement for success. If your score dips below Amazon’s threshold (currently 400, but subject to change), you could be barred from sending new products to fulfillment centers, strangling your sales and momentum. Let’s break down the actionable strategies you need to implement to master your IPI score and keep your business thriving.

Tackle Your Excess Inventory

This is the single most significant factor influencing your IPI score. Amazon considers any inventory with more than 90 days of supply to be “excess.” This slow-moving stock ties up valuable warehouse space and signals inefficiency. To combat this, you must be proactive. Start by identifying your aging SKUs. From there, create a plan to move them. Consider running targeted promotions, creating compelling sales, or utilizing Amazon’s outlet deals. For products that still won’t budge, using Amazon’s liquidation options or creating a removal order is far better than letting them drag your score down and accumulate long-term storage fees.

Supercharge Your FBA Sell-Through Rate

Your sell-through rate is a direct measure of how quickly your products are selling relative to the amount you have in stock. It’s calculated by dividing your units sold in the last 90 days by the average number of units you had on hand during that time. A higher sell-through rate is a clear indicator of healthy inventory. To boost this metric, focus on driving sales velocity. Optimize your product listings with better keywords, high-quality images, and compelling copy. Invest strategically in PPC advertising to increase visibility and traffic. Finally, ensure your pricing is competitive to convert shoppers into buyers.

Eradicate Stranded Inventory

Stranded inventory is the definition of unproductive. These are your products sitting in an Amazon fulfillment center that cannot be sold because of an issue, such as a listing error, suspension, or pricing problem. While these items are unavailable for purchase, they are still taking up space and incurring storage fees, delivering a direct blow to your IPI score. Make it a regular habit to check for this. In Seller Central, navigate to the “Inventory” tab and select “Manage Inventory,” where you will find a dedicated option to “Fix Stranded Inventory.” Resolving these issues quickly gets your products back online and selling.

Maintain Your FBA In-Stock Rate

This metric measures how well you keep your popular, replenishable items in stock. While going out of stock can hurt your sales momentum, Amazon’s primary concern for the IPI score is penalizing excess inventory, not punishing you for selling out. The key is to find a healthy balance. You want enough stock to meet demand without becoming overstocked. As a best practice, Amazon recommends maintaining between four and eight weeks of inventory cover based on your sales forecast. This ensures you can satisfy customer demand without creating a new excess inventory problem.

Use Amazon Warehouse and Distribution (AWD) Strategically

For sellers managing large volumes, Amazon Warehouse and Distribution (AWD) is a game-changing service. AWD provides upstream, bulk storage that sits outside of the FBA network. The most significant benefit here is that inventory stored in AWD facilities does not count against your FBA storage limits or impact your IPI score. You can use AWD to store your bulk inventory and set it to automatically replenish your FBA stock as it gets low. This “drip-feeding” approach allows you to maintain a lean FBA inventory, which naturally improves your sell-through rate and keeps your excess inventory numbers low—all while ensuring you never miss a sale. It’s the ultimate strategy for scaling without harming your IPI health..

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Written By: Ahzel P. Miral
Email: [email protected] 
Website: http://www.ehpconsultinggroup.com
Number: 925-293-3313
Date Written: April 14, 2026