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by Refundget

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Categories: Blog

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5 Key FBA Performance Metrics to Monitor

Using the Fulfillment by Amazon (FBA) program can help you save a lot of time, but costs can add up quickly. FBA fees, tariffs, higher shipping costs, and other factors make it harder to run your business profitably. This article explains which key Amazon FBA performance metrics you should review regularly to keep your business on track and save on FBA costs.

1) FBA Inventory and Fulfillment Metrics

One of the most important FBA performance metrics to monitor is your Inventory Performance Index (IPI) score. This is available on your Seller Central Dashboard with a more in-depth view on the Inventory Performance page.

IPI is measured based on sell-through rate, stranded inventory, excess inventory, and FBA in-stock rate. You should be able to maintain a strong IPI score by following general FBA inventory management best practices – stay in stock, avoid overstocking, and sell steadily when possible. You might need to improve your product detail page, offer a coupon, or advertise your product to drive more sales if the sell-through rate is low. You can manage excess inventory by having Amazon dispose of/remove it, donate it, or return it to you. If you have stranded inventory, fix your listings to ensure that the products are once again available for shoppers.

You’ll also want to monitor your late shipment rate, on-time delivery rate, and tracking rate on the Account Health dashboard in Seller Central. Amazon provides targets in the dashboard so you can understand how your business is performing. You can also see policy and customer service performance metrics on this dashboard. Adhering to Amazon policies and providing good customer service help you avoid account suspension.

2) Buy Box Win Rate

If you’re not the only seller of your product, you need to be paying careful attention to the Buy Box. You can see the Featured Offer percentage on your Seller Central Dashboard. This metric shows how often your products win the Buy Box as a percentage of time. There are many factors that impact who wins the Buy Box, but we know that having enough inventory in stock offering fast fulfillment, pricing, and your seller feedback rating all impact the algorithm.

If you need more Buy Box wins, look at the competition to get an idea of how you measure up. SellerPulse includes a detailed Buy Box report with winning and losing offer details such as seller name, feedback percentage, fulfillment method, and more to help you get the competitive intel you need to make faster Buy Box decisions.

3) FBA Fees

Amazon introduced several new FBA fees in 2025. The Low-Inventory Level Fee, FBA Inbound Placement Fee, and Returns Processing Fee are all worth noting, as they may be reduced or avoided. The low-inventory-level fee applies when Amazon estimates less than 28 days of supply remaining for your product. This number is based on historical sales from the last 90 and 30 days, and the fee will be charged if your inventory falls below 28 historical days of supply according to both. Keeping enough inventory in stock at FBA can help you avoid this charge.

You may be able to save on the FBA Inbound Placement Fee by sending your shipments to multiple inbound locations. Check your options when creating your shipping plan. The returns processing fee is charged if your product’s return rate exceeds the average for your category, so if you have a high return rate (outside of exempted categories such as apparel and shoes), it might be time to make some changes.

Changing your packaging is another way to potentially reduce FBA fees. Consider enrolling your products in the Ships in Product Packaging (SIPP) program to reduce packaging and fulfillment costs.

4) FBA Return Rate 

Ecommerce returns are common, but too many returns can eat into your bottom line. Regularly analyzing your FBA return rate helps you identify what’s working and what could be killing your profits. Although the average ecommerce return rates varies by category, it is typically between 5-15%. Check the FBA Returns report in Seller Central or drill down into trends by ASIN, return reason, and disposition by week with SellerPulse. Certain categories such as apparel tend to get more returns due to fit issues. Ensure your listing is well-optimized and includes detailed information and images to set the correct customer expectations for your product.

5) Amazon Reviews, Feedback, and ODR

Your customers provide insights into what they enjoy and dislike about your product by leaving Amazon reviews. Set up a process to monitor your reviews or regularly check them manually to identify any trends that could signal a need to update your listing details or product to provide a better customer experience.

Reviewing your Amazon seller feedback rating can help you identify any issues with packaging, shipping, or customer service. Your Order Defect Rate (ODR) is composed of negative feedback, A-to-Z claims, and chargebacks. You’re required to maintain an ODR below 1% to continue selling on Amazon.

Strategies for Monitoring FBA Performance Metrics

Seller Central provides several features to help you monitor your Amazon performance. The main dashboard gives you a quick overview of how things are going. Check it at least once a day and resolve any listing issues right away.

Ready for more detailed insights? Check out SellerPulse for FBA analytics that allow you to drill down by ASIN and time for more in-depth analysis. You can also opt to receive a weekly email with key insights regarding the Buy Box, returns, FBA fees, and other FBA performance metrics.

Having a process in place to regularly review your FBA metrics is a smart way to identify challenges before they become major issues. Set a reminder on your calendar or build it into other business processes to ensure you’re staying on top of your business performance.

 

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