Top 5 Inventory Management Tools For Amazon FBA Sellers

Inventory Management Tools For Amazon FBA Sellers
Inventory Management Tools For Amazon FBA Sellers

Globally, retailers lost over $1.8 trillion annually because of poor supply chains and inefficient stock management. 

Without proper inventory management, you may face stockouts, overstocking, lost sales, and other inventory-related issues that can negatively affect your profitability and reputation. I know you don’t want to be part of the wrong statistics. 

And in this article, we discuss the top inventory management tools that can help you optimize your stock levels and streamline your business. You might also enjoy reading: Top 5 Tools for Conducting Product Research on Amazon FBA.

Best Inventory Management Tools for Amazon FBA Sellers

Here are the most popular inventory management tools among Amazon FBA sellers.

But before we discuss these tools, here are some problems you will avoid with inventory management systems. 

Problems With Inventory Management for FBA Sellers

As an Amazon FBA seller, it is vital that you identify and correct inventory management problems that could severely affect your search ranking and sales. 

Failing to correct these issues could result in negative reviews and allow your competitors to steal your market share. 

Here are some problems inventory management tools can help you with. 

1- Poor Supply Chain Management

While the supply chain may be outside your control, suppliers are crucial to your business. You are the one who chooses which supplier to work with, so you have a measure of control.

Failure to conduct thorough supplier research could result in substandard products or delayed delivery. 

What is the solution to this problem? Establish a transparent communication channel where suppliers help you identify and fill the gaps in the supply chain. You can also set realistic lead times to avoid delivery delays, and AI-powered inventory management software can help you with this. 

2- Understocking

As I mention from the outset, inventory stockouts are one of the major causes of retail e-commerce losses. It affects your reputation as a seller, with your receiving negative reviews. Your ranking will eventually drop, and you will likely lose business to your competitors. 

What causes inventory stockouts?

  • Failure to track your sales velocity (how many units you sell in a given period). 
  • Poor forecasting- failure to factor in potential seasonal sales spikes
  • Failure to monitor sales outlets- Not monitoring other platforms besides Amazon with your products. 

Later, we will discuss how inventory management software solves this problem. But you can also increase product prices to reduce sales velocity until you sort things out. 

3- Overstocking

One global report showed retailers lost approximately $626 billion yearly from overstocking. 

Overstocking ties down capital- you can’t use the cash for revenue-generating activities, and it affects your Inventory Performance Index (IPI) score. A poor IPI score could reduce inventory storage limits and increase long-term storage fees. 

These two main problems (understocking and overstocking) can contribute to other issues, such as:

  • Poor cash flow
  • High storage costs
  • Loss of revenue
  • Manual inventory tracking errors

Read about 10 strategies to boost your e-commerce conversion rate and avoid overstocking. 

Best Inventory Management Software for Amazon FBA Sellers

Do you want to be on the 7 or 8-figure Amazon sellers list and still operate other sales channels? Are you struggling to maintain sales orders and your business finances?

You are in the right place if you’ve answered yes to any of these questions. Here are your favorite inventory management tools to boost your business to the next level. 

1- Sellbrite

Sellbrite is your one-stop inventory management solution to create, manage, and grow your product listings across online sales channels like eBay, Amazon, Etsy, Jet, Walmart, and Sears. 

This tool allows you to control your inventory from all these sales channels without experiencing stockouts from a single interface.

Sellbrite is ideal for Amazon retailers who want simple software that automatically updates inventory and speeds up shipping. Its intuitive design allows you to bulk list your products to Amazon within minutes. 

Nevertheless, it is not ideal for sellers who need advanced fulfillment options to automate dropshipping and partial fulfillment. 

Pros Of Choosing Sellbrite:

  • Multi-channel integration: It allows Amazon sellers to manage their inventory across multiple sales channels, including Amazon, eBay, Walmart, etc. 
  • Real-time inventory syncing: It syncs inventory across all sales channels, ensuring up-to-date inventory levels. 
  • Automated listing management: Sellbrite automates creating and managing product listings across all sales channels. 
  • Order management: It provides a centralized dashboard to manage orders, thus reducing losses from order fulfillment issues. 
  • Reporting and analytics: With Sellbrite, you can track sales performance and inventory levels from the data given. 

Cons Of Choosing Sellbrite:

  • It can be expensive for new sellers with lower sales volume.
  • It is relatively complex for non-tech-savvy sellers
  • It is not as customizable as other inventory management software. Therefore, sellers may not tailor it to their specific needs. 

2- Brightpearl

Brightpearl is another all-in-one inventory management system that can help solve various inventory management problems and make money with Amazon FBA

It is a Retail Operating System (ROS) designed with omnichannel merchants in mind. 

With Brightpearl, you can centralize and automate post-purchase operations and inventory management in one single place. You can track and manage your stock levels and inventory movement and reorder products across multiple sales channels.  

And since it has a robust Amazon integration, you can automatically update your sales orders and financials. In short, you can customize order-to-cash processes depending on your business needs. 

With Brightpearl, your inventory management issue like overstocking, loss of revenue, and stockouts are a thing of the past. 

Pros Of Choosing Brightpearl:

  • It is a centralized inventory management system that works well across multiple sales channels.
  • Brightpearl provides real-time inventory tracking, allowing you to know the current inventory levels and avoid under or overstocking. 
  • Its streamlined order management enables sellers to process orders quickly and efficiently.
  • You can customize its reporting to generate data on inventory levels, sales performance, and other vital metrics. 
  • Brightpearl integrates with several systems and platforms, such as accounting software, shipping carriers, and sales channels, making it easy to reduce errors from manual data entry.

Cons Of Choosing Brightpearl:

  • It can be complex to set up and use. 
  • It is relatively expensive for smaller businesses.
  • It has a steep learning curve, requiring lots of time to familiarize with functionality before they can use it effectively.

3- Orderhive

If you struggle with inventory control, order tracking, creating shipments, and raising purchases, Orderhive is worth considering. This inventory management system can help you automate and streamline your order workflow. 

And its free trial and demo options are brilliant. You can test it to learn it works as an Amazon inventory management system before you buy. 

It helps Amazon wholesalers and retailers manage their inventories, product listings, orders, returns, and shipping labels. 

Some of its valuable features include:

  • Inventory tracking with SKUs
  • Automated Order Sync 
  • International selling across Amazon 
  • Orderhive backend order management
  • Multiple channel integrations  

Pros Of Choosing Orderhive:

  • Outstanding customer service
  • It helps you manage orders and inventory from various sales channels
  • It automatically syncs your list in real time, thus providing accurate information. 
  • You can create custom reports to get insights into your Amazon sales performance.
  • It is user-friendly

Cons Of Choosing Orderhive:

  • It is not the best choice when it comes to customization options.
  • Cheaper plans are limited.
  • Orderhive does not automatically update your Amazon prices, so you’ll need to update them manually.

4- Veeqo

If you’re just starting on Amazon and other sales channels, Veeqo is a great inventory management tool you want to learn. 

Regardless of the number of channels or warehouses you operate, you can monitor stock levels and manage orders in real time from this single platform.

This software lets you pick and pack your inventory and gain product insights to grow your e-commerce store. Furthermore, you are less likely to experience stockouts because Veeqo allows you to view Amazon orders and orders from other sales channels in one platform. 

Some of Veeqo’s attractive features include:

  • Amazon inventory and order management
  • Amazon FBM shipping allows you to choose up to 21 direct carrier integrations for international orders.
  • Amazon returns management 
  • Amazon FBA integration enables you to fulfill orders from multiple channels. 

Pros Of Choosing Veeqo:

  • You can automatically manage inventory on different sales channels like Amazon, eBay, and Shopify. 
  • Real-time inventory updates
  • Integrations with multiple carriers, including UPS, FedEx, and DHL, make it suitable for international markets. 
  • Customizable reports

Cons Of Choosing Veeqo:

  • Veeqo’s interface is complex and may take some time to learn.
  • No automatic price updates, so you’ll need to update them manually.
  • Veeqo’s support options are limited, with email being the primary support channel.

5- Expandly

With Expandly, you can manage your product listing, orders, inventory, reporting, and shipping labels from one central dashboard. You can also integrate your Amazon store with eBay and monitor inventory activities from both channels in one location. 

Like Veeqo, it fits small businesses but with more competitive pricing. 

Some of its excellent features include

  • Bulk-listings
  • Centrally managed listing 
  • Multiple account integrations 
  • Integrations with major carriers
  • Major shopping carts integrations
  • Order tracking
  • Inventory management

Expandly is your inventory management software if you have a limited budget or handle low sales volume. 

Pros Of Choosing Expandly:

  • It is cheaper than most Amazon inventory management tools.
  • It allows you to sync your Amazon inventory in real-time automatically. 
  • It allows for multi-channel inventory management. 

Cons Of Choosing Expandly:

  • Limited customization
  • It may not integrate well with all the third-party and services apps.
  • No automatic price updates
Inventory Management Tools For Amazon FBA Sellers
Inventory Management Tools For Amazon FBA Sellers

Why Should You Invest In an Amazon Inventory Management Tool?

You won’t risk handling your stock manually when you run a physical sales store. If that is how you treat your business, your Amazon store isn’t different. In fact, managing inventory at your Amazon store is even more complex and will need relevant software.  

Without real-time visuals in your store, you may experience overstocking and understocking, which can cause a drop in sales ranking, increased long-term storage costs, negative reviews, loss of revenue, and sometimes account suspension. 

Amazon inventory management tools will help you avoid these problems. You could then focus on satisfying your customers and growing your business. 


How Does Amazon Inventory Management Work?

Amazon’s inventory management system involves multiple steps and strategies. Here is how it works:

  • Forecasting: These tools use various data sources and algorithms to predict demand for each product, thus allowing you to avoid overstocking or understocking. 
  • Replenishment: Based on the demand forecasts, the software places orders with suppliers to replenish inventory. 
  • Fulfillment: When a customer places an order with your store, Amazon’s fulfillment centers use their automated systems to locate the product, pack it, and ship it to the customer.
  • Inventory tracking: Amazon inventory management tools track inventory levels in real-time to identify highly-demanded products.
  • Pricing: Some inventory software uses dynamic pricing algorithms to adjust product prices in real-time depending on supply and demand, competition, and customer behavior. 

How Does Amazon FBA Manage Excess Inventory?

Amazon’s FBA (Fulfillment by Amazon) program allows sellers to store their inventory in Amazon’s fulfillment centers, with Amazon taking care of the shipping and handling of the orders.

Here is how Amazon FBA manages excess inventory:

  • It charges long-term storage fees for inventory in a fulfillment center for more than 365 days. The cost depends on the inventory volume and is assessed in February and August annually. 
  • If you have excess inventory you don’t want to keep in the fulfillment centers, you can request that Amazon dispose of it. Depending on your preference, Amazon will either dispose of the stock or return it to the seller at a fee.  
  • Amazon also offers a liquidation program for sellers with excess inventory who want to sell quickly. This program allows you to sell excess inventory in bulk to third-party buyers at a discounted price. 

What to read next:

How Much Inventory Is Required For Amazon FBA?

Amazon doesn’t dictate the minimum requirement of inventory when using FBA. This allows you to determine your inventory levels depending on your financial muscle. 


Welcome all! I am Altiné. I am SO excited you are here! I am the guy behind The Entrepreneur Journey. I am a blogger, Amazon private label seller, and I share everything I have learned along this journey with YOU

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