Amazon sellers preparing for peak season now confront a significant operational challenge as the e-commerce giant implements stricter inventory management policies. The platform has substantially reduced the automatic removal period for unsellable inventory, placing greater pressure on merchants' stock management capabilities.
According to an official Amazon announcement effective October 14, 2022, the system will automatically remove unsellable inventory stored in fulfillment centers for more than 14 days. This marks a dramatic reduction from the previous 30-day window and doubles the removal frequency from monthly to twice per month, significantly compressing sellers' response time.
Operational Impact
Under the new policy, products deemed unsellable due to various reasons must be addressed within two weeks. If sellers fail to manually remove or dispose of such inventory within this period, Amazon's system will automatically execute removal actions. This adjustment directly impacts sellers' operational strategies, particularly during high-volume seasons when inventory turnover pressures intensify.
The policy change carries particular significance for merchants dealing with high-value products. Previously, sellers typically transferred unsellable premium items to overseas warehouses or after-service facilities for processing. The compressed timeline now requires constant inventory monitoring to prevent costly automatic removals.
Recommended Countermeasures
Industry experts advise sellers to implement the following strategic adjustments:
- Enhance inventory efficiency: Optimize management processes to minimize unsellable stock through improved demand forecasting, stricter quality control, and more frequent inventory audits.
- Strengthen monitoring: Conduct weekly checks of unsellable inventory status and establish alert systems for timely intervention.
- Strategic disposition: Evaluate removal options based on product value, remaining lifespan, and processing costs—choosing between overseas warehouse transfers, local returns, or direct disposal.
- Operational recalibration: Reassess inventory planning, pricing strategies, and post-sale service protocols to align with the new requirements.
- Maintain platform communication: Regularly monitor Amazon policy updates and engage support teams for clarification when needed.
This policy revision serves as a wake-up call for Amazon's third-party sellers, signaling that refined operations and sophisticated inventory management will become critical competitive differentiators. The adjustment aims to improve Amazon's operational efficiency and optimize warehouse resource utilization—presenting both challenges and opportunities for marketplace participants.