Amazon has introduced a new "Shipment Performance Dashboard" for sellers in its US and European marketplaces, marking another step in the e-commerce giant's ongoing efforts to improve fulfillment center operations. The move comes amid rising concerns among third-party merchants about increasingly stringent platform requirements.
Understanding Amazon's New Shipment Performance Metrics
The newly implemented dashboard provides sellers with visibility into five key performance indicators based on their FBA (Fulfillment by Amazon) shipments over the past 120 days. While Amazon positions this as a tool to help merchants identify and correct shipment issues, many sellers view it as another compliance hurdle that could potentially restrict their FBA privileges.
The metrics join Amazon's existing performance measurements like Order Defect Rate, Cancellation Rate, and Late Shipment Rate, which already impact seller accounts when thresholds are exceeded. The Inventory Performance Index (IPI), currently set at 400 points, continues to determine FBA storage limits and fees.
Five Critical Shipment Performance Areas
Amazon's shipment performance evaluation focuses on five specific operational aspects, each with defined tolerance thresholds:
- Incorrect Labels (Product-Related): Maximum allowable rate of 0.65%
- Missing Labels (Product-Related): Maximum allowable rate of 0.69%
- Inaccurate Box Contents Count: Maximum allowable rate of 2.48%
- Other Label Issues (Product-Related): Maximum allowable rate of 1.37%
- Box Contents Mismatch: Maximum allowable rate of 1.22%
Amazon has made detailed metric explanations available through the "Inbound Performance" section in seller accounts, encouraging merchants to review the specifications thoroughly.
New "Extra-Large Products" Storage Category Introduced
Concurrently with the dashboard rollout, Amazon announced a new "Extra-Large Products" storage classification designed to help sellers manage larger inventory items more effectively. The platform indicated it would implement quantity restrictions for oversized and large products based on historical sales data, projected demand, and fulfillment center capacity.
This development presents additional challenges for sellers of bulky items, who must now navigate both the new shipment performance metrics and specialized storage requirements.
Seller Reactions and Strategic Recommendations
The marketplace changes have elicited mixed responses from Amazon merchants. Some appreciate the increased transparency in identifying shipment issues, while others express concern about past operational practices that may now negatively impact their performance scores.
To maintain compliance and avoid FBA restrictions, industry experts recommend:
- Thoroughly understanding all performance thresholds and tolerance levels
- Implementing rigorous quality control for labeling and packaging
- Minimizing unnecessary changes to shipping plans and SKUs
- Investing in staff training for fulfillment operations
- Regularly monitoring performance metrics through the seller dashboard
- Establishing reliable supply chain partnerships
As Amazon continues to refine its marketplace operations, sellers face mounting pressure to adapt to evolving requirements while maintaining competitive performance. The latest changes underscore the platform's emphasis on operational precision and highlight the growing complexity of third-party selling on Amazon's global marketplaces.