Amazon is making this change to better manage their fulfillment centers, receive products faster, and deliver products faster. Storage limits are based on volume, measured in cubic feet. You can check your storage limit status on the Storage Monitor display, where you can view your Inventory performance dashboard and Shipping Queue.
Individual selling accounts have a storage limit of 10 cubic feet and are not subject to change with the incoming changes.
Professional selling accounts are subject to change depending on whether they meet the new criteria.
Sellers who have an Inventory Performance Index (IPI) greater than 500 on either of the two checkpoint dates will not receive storage limits for standard-size, oversize, apparel, and footwear items.
The two checkpoint dates are July 12, 2020, and August 10, 2020. So, if you have an IPI score greater than 500 on either of these dates, you are not subject to storage limits.
New sellers that have been active for less than 26 weeks or sellers without enough sales data to generate an IPI score during both of the two checkpoint dates will not receive storage limits either.
The new storage limits being enforced are calculated using three factors:
Your sales volume (including sales’ seasonality periods)
Your historical IPI scores
Amazon’s available fulfillment center capacity
Sellers that have a consistently high IPI score will receive higher storage limits, adjusted for their sales volume and Amazon’s available capacity. Amazon will consider a seller’s recent sales volume and seasonal volume from the previous year when calculating the storage limits.
Professional seller accounts that receive storage limits will be no lower than 25 cubic feet for standard, over-size, apparel, or footwear storage types.
Storage limits are applicable for six storage types: standard-size, oversize, apparel, footwear, flammable, and aerosol. You can see which storage types your products are categorized as and how much cubic feet they occupy using the FBA Inventory Age page and the Inventory Age report.
What happens if you exceed your FBA storage limit?
You will not be able to create a new shipment to Amazon for that storage type until your inventory drops below your limit. However, you will be able to create shipments for other storage categories if you are below your storage limit in that category.
Amazon may refuse excess inventory at the fulfillment center if you order more inventory than your storage limit permits.
Amazon will also charge storage overage fees if your existing inventory exceeds your storage limit for any storage type.
You can avoid exceeding your storage limit by creating removal orders.
Ready to start building an Amazon Business right now? Enroll in our New 20-hour course that will show you exactly how to start and scale your Amazon business:
Want to learn exactly how to Start and Scale your Amazon business? Our team will be hosting a FREE online workshop within the next 7 days!