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IPI threshold change for FBA storage limits and new overage fee

by News_Amazon

As we continue to manage our available capacity, we are announcing two changes to the FBA storage policy that will help us more efficiently receive inventory and deliver products to customers.

We have raised the IPI threshold requirement for storage limits from 350 to 400 as of May 14, 2020 (week 20). If you had an IPI score of 400 or more as of week 20, you will receive unlimited storage for Q3. If you had an IPI score of less than 400 as of week 20, you may have Q3 storage limits if your score does not improve.

As we have done in the past, we are notifying you now so that you can improve your score, if needed, to avoid the limits and associated storage fees. If you have an IPI score of less than 400 as of week 26 (June 21), your potential storage limits will apply from July 1 through Sept. 30.

You can see your potential storage limits on the storage monitor at the bottom of the Inventory performance dashboard, or during the shipment-creation workflow. For more information, including how you can improve your IPI score, visit Inventory performance and IPI frequently asked questions.

Starting August 1, 2020, we will introduce a monthly overage fee of £7.80 per cubic foot (excluding taxes). If your IPI score needs to improve but does not, and your inventory in Amazon’s fulfilment centres exceeds your storage limit during any day of the month, you will be charged a monthly inventory storage overage fee for the extra inventory. This is in addition to monthly inventory storage fees and, if applicable, long-term storage fees.

For more information, visit FBA overage fee FAQ.

Tags: News and announcements
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