Amazon FBA Peak Season Charges: How to Manage Your Storage Costs

As an Amazon FBA seller, you know the importance of inventory management. However, monitoring your storage costs is crucial during peak season.

This post will discuss Amazon’s peak season charges and how you can effectively manage your inventory to avoid unnecessary costs. First, let’s clarify what we mean by peak season. For Amazon, this is typically the period between October and December when sales are at their highest due to the holiday season. During this time, Amazon enforces peak-season storage fees to ensure that their warehouses are not overflowing with excess inventory and that their space is being utilised efficiently.

So, what are the peak season charges and what can I do?

Amazon’s storage fees are based on how much space your inventory takes up in their warehouses. During peak season, fees increase to encourage sellers to move their inventory faster. The peak period itself is between October and the end of December.

Staying on top of your inventory and ensuring it’s moving quickly is essential to avoid these peak season charges. One option to lessen the burden is to contact us. If you have overstock or ageing inventory (stock over 26 weeks) that includes bulky (oversized) items you need help managing, you can contact us at WD Global Stock. We will handle the entire process and ensure you get the desired return on the goods.

We offer a fast and straightforward solution to liquidate your stock, allowing you to free up space for new peak-season costs and avoid these hefty fees being placed on businesses like yours.

Other Options

Another way is to create a sales plan and forecast your inventory needs. This means you should know how much inventory you’ll need for the peak season and when you’ll need it. By doing this, you can avoid storing excess inventory that will incur additional fees.

Another way to avoid peak season charges is to use Amazon’s FBA inventory storage limits. Amazon sets storage limits for all FBA sellers; if you exceed those limits, you’ll incur additional fees. To avoid this, monitor your inventory levels and adjust your sales plan accordingly.

A third option is to consider using Amazon’s Removal Order service. This service allows you to remove inventory from Amazon’s warehouses if you no longer need it. By doing this, you can avoid storage fees altogether, but it can come at a cost depending on whether you choose to have them shipped to you or disposed of, where Amazon will charge you per item on the latter.

Summary

In conclusion, managing your inventory during Amazon’s peak season is crucial to avoid unnecessary storage fees. By using WD Global stock to help you avoid these fees, you can effectively manage your inventory, avoid peak season charges and get a return on stock that didn’t perform as well as you think.