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Inventory Management

IPI Score (Inventory Performance Index)

Amazon's metric (0-1000) that measures how efficiently you manage FBA inventory. Scores below the threshold can result in storage limits and higher fees.

What Is the IPI Score?

The IPI (Inventory Performance Index) is a score from 0 to 1000 that grades your FBA inventory management. Amazon evaluates it quarterly and uses it to set your storage limits.

What Affects Your IPI

  • Excess inventory - Products with more than 90 days of supply
  • Sell-through rate - How quickly inventory moves
  • Stranded inventory - Items in FBA without an active listing
  • In-stock rate - How often your popular items are in stock

Target Score

Amazon's threshold changes, but generally a score above 400-450 keeps you in good standing. Below that, you face storage volume limits.

How SellerLegend Helps

SellerLegend's inventory management features help you monitor stock levels, identify aged inventory before it impacts your IPI, and calculate reorder timing from your sales velocity.

Related Terms

FBA (Fulfillment by Amazon)

Amazon's fulfillment service where sellers ship products to Amazon warehouses, and Amazon handles storage, packing, shipping, customer service, and returns.

Inventory Age

The number of days units have been stored in Amazon's FBA fulfillment centers. Aged inventory (180+ days) incurs escalating surcharges.

Aged Inventory Surcharge (Long-Term Storage Fee)

An additional fee Amazon charges for inventory stored in FBA warehouses for more than 180 days. Previously called Long-Term Storage Fee (LTSF). Increases significantly at 270+ and 365+ days.

Sell-Through Rate

The number of units sold and shipped over the past 90 days divided by the average number of units in FBA inventory during that period. Higher is better.

Track This in SellerLegend

FBA Storage & Shipment Tracking

Monitor FBA inventory across all fulfillment centers with detailed storage cost tracking and inbound shipment status. Track monthly storage fees, long-term storage charges, aged inventory, and receive shipments to avoid surprise costs and optimize warehouse placement.

Inventory Management & Forecasting

Prevent Amazon FBA stockouts and reduce excess inventory costs. Track sales velocity across multiple time periods, get a recommended purchase date, and get data-driven quantity recommendations to maintain optimal stock levels.

Want to track this metric continuously?

SellerLegend gives you a frequently-updated dashboard with all the Amazon metrics that matter.

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