Issue 134: Master Your Margins: Fees, Prep, and Turnover Tips

Hidden inventory management costs that eat your profits

Hello, MyFBAPrep Sellers!

This week, we’re diving deep into the logistics levers that directly impact your bottom line. From spotting sneaky inventory costs to mastering FBM fees, our latest reads will help you run leaner and smarter.

Plus, we’re breaking down Amazon’s FBA prep rules and revealing the power of inventory turnover. Let’s get your operation fine-tuned for growth.

Hidden Inventory Management Costs That Eat Your Profits, And How to Cut Them

Inventory issues are one of the biggest silent profit-killers for eCommerce businesses. From surprise storage fees to labor inefficiencies and stockouts that drive customers away, these costs stack up fast, and many sellers don’t even realize where the money is leaking.

In this deep dive, we uncover the real cost of poor inventory management, including overlooked expenses and the ripple effect across your operations. Plus, you’ll learn five smart strategies to clean up your inventory processes, reduce waste, and improve profitability from the ground up.

Fix Your Inventory Leaks ➔


Understanding Amazon FBM Fees: An In-Depth Guide

Thinking of managing your fulfillment with Amazon FBM? Before you dive in, make sure you fully understand the fee structure — it’s more complex than most sellers realize. From referral rates to refund fees, these costs can sneak up on you fast!

This in-depth guide walks you through every FBM fee category, explains how to calculate your total costs, and gives actionable strategies to reduce them. Whether you’re doing FBM solo or with a 3PL like MyFBAPrep, this is your blueprint for running leaner, smarter, and more profitable FBM operations.

Decode FBM Fees Now ➔


Amazon FBA Prep Requirements: Labeling & Packaging Guide

Navigating Amazon’s FBA prep requirements can feel like a minefield; miss a labeling detail or use the wrong packaging, and you could face costly delays, rejected shipments, or unexpected fees.

Whether you’re just getting started or looking to tighten up your operations, staying compliant is non-negotiable if you want your products to move smoothly through Amazon’s fulfillment network.

In this detailed guide, we break down everything you need to know about FBA packaging, labeling, shipping prep, and even how to incorporate custom branding without breaking the rules.

Read the FBA Prep Guide ➔


Inventory Turnover Explained: Why It Matters and How to Improve It

How fast are you turning inventory into cash? If you’re not tracking this one powerful metric, you could be tying up capital, overpaying on storage, or missing out on growth opportunities. Inventory turnover tells you how efficiently your products are selling, and how well you’re managing supply versus demand.

In this guide, we break down what inventory turnover really means, how to calculate it, and how to strike the right balance between product movement and profitability.

Whether your turnover is too slow or dangerously fast, these tips will help you dial in your inventory strategy and run a tighter, more profitable operation.

Improve Your Turnover Rate ➔


Top Industry News

Importers Turn to Bonded Warehouses and FTZs to Dodge Tariff Costs (Sourcing Journal)
As U.S. brands and other importers navigate through today’s tumultuous trade environment without spending a boatload on tariff costs, bonded warehouses and foreign trade zones (FTZs) have rapidly become en vogue.

Why Retail’s eCommerce Disruption Era is Over (Supply Chain Dive)
In the last 15 years, the value of in-store sales declined just once, in 2020, amid pandemic lockdowns, according to research from two U.S. Colliers analysts, Anjee Solanki, national director of retail services and practice groups, and Nicole Larson, manager of national retail research. Physical stores still account for over 76% of core retail sales, and while e-commerce’s share continues to grow, the once-torrid pace of that growth has eased, they said.

Delivery Reliability Trumps Speed for Some eCommerce Retailers (Supply Chain Dive)
Clear communication and on-time delivery are a bigger driver of buyer satisfaction than speed, executives said at Supply Chain Dive and Retail Dive’s live event on May 7, “The state of e-commerce delivery.”

Prime Day 2025: Boost Sales with These 5 Seller Tips (SellerEngine)
Mark your calendar: July 15–16 is Prime Day 2025. For Amazon sellers, this two-day sales event is a massive opportunity to increase sales, clear inventory, and win new customers. But with fierce competition, only well-prepared sellers will truly benefit. Here’s how to get ready now—with the right strategy and the right tools.

This Game-Changing Technology Is Transforming Ecommerce — and If You’re Not Using It, Your Conversion Rates Will Suffer (Entrepreneur)
Personalization isn’t, and has never been, about slapping someone’s name in a subject line. This is about using real data to make the shopping experience feel tailored, intelligently, efficiently, and in real time. That’s where AI earns its keep.

Amazon Debuts AI-Powered ‘Enhance My Listing’ for Sellers (PYMNTS)
Enhance My Listing integrates with sellers’ existing product tools. The service is powered by Amazon Bedrock, which the company says lets it quickly evolve its generative AI models according to the latest customer activity and engagement. Amazon uses those insights to generate “timely, relevant recommendations” for product titles, attributes, descriptions, and missing details, saving sellers from needing to do that research. Sellers can review, customize, or decline those recommendations at their discretion.

Share of Units Sold on Amazon Marketplace (Statista)
Amazon not only boasts a hugely successful online retail platform but also a thriving digital marketplace, which is seamlessly integrated with the main retail shopping experience. That being said, in the first quarter of 2025, 61 percent of paid units were sold by third-party sellers.

‘Made in USA’ is Trending on Amazon, and Sellers are Leaning In (Modern Retail)
As tariffs drive up the cost of imported goods, Amazon shoppers appear to be increasingly curious about one thing: where their products are made. According to new data from e-commerce analytics firm SmartScout, discovery-oriented searches like “made in USA products only” have surged 220% year-over-year. Similarly, “made in America products only” is up 130%, while more specific terms like “American flag made in America” have jumped 250%.

Until next time,
Katherine Schneider
Marketing, MyFBAPrep