Avoiding Stock-outs and Forecasting Inventory - Chelsea Cohen - Amazon Legends - Episode #237

The guest on today’s episode is Chelsea Cohen. She is an Amazon inventory management expert and the co-founder & CEO of SoStocked.com, an Amazon inventory management software. Chelsea’s also an Amazon seller, speaker & consultant. Her regular clients include 7 & 8-figure sellers. She has been featured on AM/PM Podcast, 7-Figure Sellers Summit, Seller Events & the Prosper Show & Amazing Summit stages, among others.SoStocked is fully customizable and fully understandable so that you can trust the numbers, fine-tune your forecasts, and finally ditch your spreadsheets. In today’s episode, she discusses avoiding stock-outs and forecasting inventory.

Takeaways:

• Min-max restocking involves setting minimum and maximum inventory levels and always staying within that range. 
• The ideal inventory turnover for Amazon sellers is typically between 30 to 60 days. 
• Maintaining a good inventory level is important for factors like maintaining high IPI (Inventory Performance Index) scores, avoiding high storage rates, and maintaining a good sell-through rate. 
• Geo ranking is a factor that considers inventory dispersion throughout the country. Having enough inventory is important to maintain good rankings and supply two-day prime delivery. 
• It's advisable not to go below a 30-day minimum inventory level to account for potential issues with Amazon's inventory checking and to avoid negative effects on geo ranking. 
• Examining the size and weight of products is essential for reducing fees. Understanding Amazon's fee structure, including dimensional weight, can help optimize packaging and reduce expenses.
• Packaging plays a crucial role in creating the perception of luxury and value for a product. Elaborate and unique packaging can enhance the perceived worth of a product.

Quote of the Show:By adding an additional sales increase as a percentage to your projections for a group of SKUs for a PPC campaign you plan to run, coupon codes or lightning deals, you can be prepared to be in stock at all times. 

Links:

• Connect with Chelsea Cohen: https://www.sostocked.com/connect 
• Website: https://www.sostocked.com/ 
• Facebook: https://www.facebook.com/SoStocked 
• YouTube: https://www.youtube.com/channel/UCPcFflXM9NHbeXMIOpaexfA 
• Instagram: https://www.instagram.com/sostocked/ 
• LinkedIn: https://www.linkedin.com/company/64989371/

Ways to tune in:

• Apple Podcast
• iHeart Radio
• Spotify
• Google Podcast
• YouTube

Amazon Legends is sponsored by Argometrix, the authority on, and a leading supplier of, competitive intelligence for online retail. To learn more, head over to https://argometrix.com/