How to Prevent Stockouts with Superior Demand Forecasting

When an Amazon seller has an item go OOS, they risk losing their page placement to competitors—throwing away months (if not years!) of hard work, time, and money.

When top-selling items are OOS, your FBA business risks hurting your IPI score, losing your page rank, diminishing your reputation, and wasting ad dollars. Meanwhile, when you overstock slow-selling products, you’re stuck paying costly long-term storage fees.

So, I should combat stockouts with high levels of safety stock, right?

Wrong. Maintaining high levels of safety stock is tantamount to overstocking. Not only does it increase storage costs, but you also risk spoiled or outdated inventory, increased operational expenses, and cash flow issues.

The bottom line? While a lot of safety stock sounds like a good idea, “too much stock…hurts profitability.” Eliminating stockouts (without overstocking) is crucial.

What are the benefits of preventing stockouts (besides the obvious)?

If you’re an Amazon seller struggling with costly fees and preventing stockouts and overstock situations, then you need precise demand forecasting that allows you to truly optimize your stock levels.

Stock level optimization reduces unnecessary Amazon fees by getting you precise restocking recommendations, negating wasteful storage costs. Plus, it requires highly accurate demand forecasting, which reduces frozen capital and prevents OOS—ensuring your top products are always available when customers need them.

How does Inventory Optimizer mitigate stockouts?

Inventory Optimizer pulls up to 4 years of your own sales data to get the most accurate inventory forecasting possible. You’ll always know exactly what and how much to order—that’s the power of our industry-leading, AI-powered, 100+ hybrid algorithms.

The easiest way to guarantee stock level optimization is by increasing the accuracy of your restocking and forecasting algorithms.

Furthermore, as most business owners are aware, the key to establishing quality relationships with suppliers and manufacturers is mutual trust. When a company accurately predicts when to place purchase orders for each SKU, suppliers can give more accurate lead times. This approach fosters trust and saves everyone money.

Here’s what real customers say about our superior forecasting.

✅ “Inventory Optimizer’s…accurate forecasting has significantly improved our demand forecasting and reduced stockouts. Its insightful analytics allow us to make confident, data-driven decisions, saving time and money.” Mark Chiang, finance manager, Ridgerock Tools
✅ “The accuracy of the forecasts has helped us optimize inventory levels, minimize excess stock, and stay ahead of demand trends.” Laura Schmidt, Founder, notes to self®
✅ “Being able to enter lead times, minimum order quantities and desired safety stock, [Inventory Optimizer] will project sales from our history and recommend what needs to be purchased. Now it’s just syncing with our accounting system, reviewing the suggested purchases and creating POs. The platform is intuitive, powerful, and consistently delivers precise insights that have boosted our efficiency, prevented stock outs while reducing excess inventory.” Jose Vazquez, Manager, Roof Depot USA

Determining the optimal stock level can be achieved through a precise approach to inventory management that utilizes your unique sales data. Inventory Optimizer takes your forecasts and provides recommendations for restocking. We also automate the process for FBA and MCF, and expedite POs for FBM D2C.

It’s time for a restocking and inventory management solution that ensures you’ll never be overstocked or out of stock again.

Schedule a demo to learn more.