The Inventory Performance Index (IPI) is a metric Amazon uses to measure how efficiently you manage your FBA inventory. Your score reflects how well you maintain healthy inventory levels and avoid excess or stranded inventory.
Why It Matters
A strong IPI score may help you:
Maintain sufficient FBA storage capacity.
Reduce excess inventory.
Improve inventory turnover.
Lower long-term storage costs.
A low IPI score may result in storage capacity restrictions.
Factors That Affect Your IPI
Amazon considers several inventory management factors, including:
Excess inventory.
Sell-through rate.
Stranded inventory.
In-stock inventory levels.
Regularly monitoring your inventory health can help improve your IPI over time.