> ## Documentation Index
> Fetch the complete documentation index at: https://docs.vortexiq.ai/llms.txt
> Use this file to discover all available pages before exploring further.

# Sell-Through Rate (FBA), Amazon Seller Central

> Sell-Through Rate (FBA) for Amazon Seller Central. Tracked live in Vortex IQ Nerve Centre. How to read it, why it matters, and how to act on it.

**Card class:** [Standard](/nerve-centre/overview#card-classes-explained)  •  **Category:** [Inventory Forecasting](/nerve-centre/connectors#connectors-by-type)

## At a glance

> How fast your FBA inventory turns. Sell-through compares units sold to the average units held over the period, so it tells you whether stock is moving at a healthy clip or sitting in Amazon's warehouses racking up storage fees. It is the metric behind Amazon's own Inventory Performance Index (IPI): low sell-through means overstock, capital tied up, and long-term storage exposure; very high sell-through means you are flirting with stockouts. The card flags SKUs turning at less than half the category norm.

|                             |                                                                                                                                                                                                                                     |
| --------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| **What it measures**        | Units sold over the period divided by the average FBA units on hand over the same period, a turnover ratio. Higher means inventory is moving quickly; lower means it is sitting.                                                    |
| **Why it matters**          | Slow sell-through is the root of overstock costs: storage fees, long-term storage surcharges, stranded capital, and a weak IPI that can trigger storage limits. Fast sell-through risks the opposite, stocking out and losing rank. |
| **Link to IPI**             | Sell-through and excess inventory are core inputs to Amazon's Inventory Performance Index. A persistently low sell-through drags IPI down, which can cap how much you are allowed to send into FBA.                                 |
| **FBA-specific**            | This is an FBA card because FBA is where the storage clock runs. FBM stock sits in your own warehouse on your own cost basis, so the Amazon-fee consequence does not apply the same way.                                            |
| **Benchmark, not absolute** | "Good" sell-through is category-dependent. The alert is relative: a SKU below half the category median is turning too slowly regardless of the absolute number.                                                                     |
| **Action when low**         | Reduce inbound, run a promotion or coupon, lower price, bundle, or create a removal order before long-term storage fees bite.                                                                                                       |
| **Time window**             | `90D` (the selected period)                                                                                                                                                                                                         |
| **Alert trigger**           | `<0.5x category median`, turning at under half the category norm                                                                                                                                                                    |
| **Roles**                   | owner, operations, finance                                                                                                                                                                                                          |

## Calculation

Calculated automatically from your Amazon Seller Central data. See the At a glance summary above for what the metric tracks and the worked example below for a typical reading.

## Worked example

A toys-and-games FBA seller reviewing 90D sell-through on 01 May 26. Assume the category median sell-through for the period is about 1.5x. Figures are illustrative.

| SKU          | Units sold (90D) | Avg units on hand | Sell-through | vs category median (1.5x) | Read                                  |
| ------------ | ---------------- | ----------------- | ------------ | ------------------------- | ------------------------------------- |
| Hot seller A | 5,400            | 1,800             | 3.0x         | 2.0x median               | turning fast, watch for stockout      |
| Steady B     | 2,700            | 1,800             | 1.5x         | at median                 | healthy                               |
| Slow C       | 600              | 1,500             | 0.4x         | 0.27x median              | alert: overstocked                    |
| Dead D       | 90               | 1,200             | 0.075x       | 0.05x median              | alert: severe overstock, plan removal |

```text theme={null}
Category median ≈ 1.5x ; alert threshold = below 0.5 × 1.5 = 0.75x
Slow C  =  0.4x   →  below 0.75x, flagged. ~3 months of stock barely moving.
Dead D  =  0.075x →  far below; this is capital frozen and a storage-fee liability. Plan a removal/markdown.
Hot A   =  3.0x   →  excellent turnover, but watch cover so it does not stock out.
```

Four things to notice:

1. **Low sell-through is money sitting still.** Dead D turned only 90 units against 1,200 average on hand over a full quarter. That is frozen capital and a growing storage bill. The fix is markdown, bundle, or removal, not "wait and see", because long-term storage surcharges escalate the longer it sits. See [ASINs Approaching Long-Term Storage](/nerve-centre/kpi-cards/amazon-seller/asins-approaching-long-term-storage).
2. **The benchmark is relative, not absolute.** A 0.4x sell-through might be fine in a slow-moving category and a disaster in a fast one. The alert fires on under half the category median, which is why Slow C is flagged at 0.4x against a 1.5x norm but would not be in a category that naturally turns at 0.5x.
3. **Very high sell-through is a different risk.** Hot A's 3.0x is great for cash and IPI, but it is the SKU most likely to stock out. Pair high sell-through with [Days of Cover (avg)](/nerve-centre/kpi-cards/amazon-seller/days-of-cover-avg) and [Replenishment Recommendations](/nerve-centre/kpi-cards/amazon-seller/replenishment-recommendations) so a fast turner does not run dry.
4. **This feeds your IPI and your storage limits.** Persistent low sell-through across the catalogue drags Amazon's Inventory Performance Index down, which can restrict how much you are allowed to send in. Sell-through is not just a margin metric, it gates your ability to operate FBA at scale.

## Sibling cards merchants should reference together

Sell-through is the turnover read. These cover the cost of getting it wrong in either direction:

| Card                                                                                                             | Why pair it with Sell-Through Rate (FBA)                                                                               |
| ---------------------------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------- |
| [Days of Cover (avg)](/nerve-centre/kpi-cards/amazon-seller/days-of-cover-avg)                                   | The flip side. High sell-through plus low cover means stockout risk; low sell-through plus high cover means overstock. |
| [Stranded Inventory Value](/nerve-centre/kpi-cards/amazon-seller/stranded-inventory-value)                       | Where chronically low sell-through ends up, capital stuck in stock that will not move.                                 |
| [ASINs Approaching Long-Term Storage](/nerve-centre/kpi-cards/amazon-seller/asins-approaching-long-term-storage) | The escalating fee consequence of slow sell-through; act before stock ages into the surcharge.                         |
| [FBA Storage Fees](/nerve-centre/kpi-cards/amazon-seller/fba-storage-fees)                                       | The running cost of holding slow-moving stock. Low sell-through inflates this.                                         |
| [Replenishment Recommendations](/nerve-centre/kpi-cards/amazon-seller/replenishment-recommendations)             | Uses velocity to right-size reorders so you do not recreate the overstock.                                             |
| [ASINs Stocking Out \<7 Days](/nerve-centre/kpi-cards/amazon-seller/asins-stocking-out-7-days)                   | The high-sell-through hazard, fast turners running out.                                                                |

## Reconciling against Amazon Seller Central

**Where to look in Seller Central:**

The closest Amazon-native views are:

> **Inventory → Inventory Planning → Inventory Performance Dashboard** (IPI, sell-through, excess inventory), and
> **Reports → Fulfilment → Inventory** reports for units on hand and units sold per SKU.

Amazon's Inventory Performance Dashboard publishes a sell-through figure and the IPI it feeds. Expect this card's per-SKU sell-through to track Amazon's account-level figure in spirit, though the exact ratio depends on the averaging method and window each tool uses.

**Timing, settlement, and reporting-lag table:**

| Topic                        | Detail                                                                                                                                                                                                  |
| ---------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| **Average-inventory method** | Sell-through depends on how average units on hand is computed (start/end average vs daily average over the window). Different methods give slightly different ratios; Amazon's IPI uses its own method. |
| **Window length**            | The ratio scales with the window. A 90D sell-through is not directly comparable to a 30D one. Compare like windows.                                                                                     |
| **Available vs total**       | Whether reserved and unfulfillable units are included in "on hand" affects the denominator. Stranded units in the denominator depress the ratio.                                                        |
| **Reporting lag**            | Inventory snapshots and sales settle on slightly different schedules, so the freshest ratio can move as the latest data finalises.                                                                      |

**Why our number may legitimately differ from Seller Central:**

| Reason                            | Direction           | Why                                                                                                  |
| --------------------------------- | ------------------- | ---------------------------------------------------------------------------------------------------- |
| **Averaging method**              | Either direction    | Start/end vs daily-average inventory produces different denominators and therefore different ratios. |
| **Window mismatch**               | Scales with window  | A 90D ratio differs from Amazon's default IPI window; align periods before comparing.                |
| **Stranded units in denominator** | Ours may read lower | Including unfulfillable stock in on-hand depresses sell-through; excluding it raises it.             |
| **Category-median basis**         | Judgement           | The "category median" benchmark is an estimate of the norm, not an official Amazon figure.           |

**Cross-connector reconciliation against other connectors the same seller may run:**

| Card                                                                                  | Expected relationship                                                                                                                       | What causes legitimate divergence                                                                                                      |
| ------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------- |
| [`amazon.days_of_cover_avg`](/nerve-centre/kpi-cards/amazon-seller/days-of-cover-avg) | **Inverse-ish relationship.** High sell-through tends to mean low days of cover and vice versa, both built from velocity and on-hand stock. | They diverge when inventory is lumpy (a big inbound shipment) because cover is forward-looking while sell-through is backward-looking. |
| [`shopify` inventory turnover](/nerve-centre/kpi-cards/shopify/total-revenue)         | **Same concept, different cost basis.** DTC stock turnover matters for cash but has no Amazon storage-fee or IPI consequence.               | If stock is pooled across channels, reconcile total on-hand; if separate, the two are independent.                                     |

## Known limitations / merchant FAQs

**What is a good sell-through rate?**
There is no universal number, it is category-dependent. A fast-moving consumable turns far quicker than a niche durable. That is why the alert is relative (below half the category median) rather than a fixed threshold. Read your SKUs against their category, not against each other.

**Why is this FBA-only?**
Because FBA is where Amazon's storage clock and Inventory Performance Index apply. Slow FBA stock costs you storage fees, long-term surcharges, and IPI points that can cap your inbound. FBM stock sits on your own cost basis without those specific Amazon consequences, so the metric means something different there.

**How does sell-through affect my IPI and storage limits?**
Sell-through and excess inventory are core IPI inputs. A persistently low sell-through drags IPI down, and a low IPI can restrict how much inventory Amazon lets you send into FBA. So slow turnover does not just cost storage fees, it can throttle your whole FBA operation.

**My sell-through is very high, isn't that good?**
Mostly, it means great turnover and healthy cash. But it is also the SKU most likely to stock out. Pair high sell-through with [Days of Cover (avg)](/nerve-centre/kpi-cards/amazon-seller/days-of-cover-avg) so a fast turner does not run dry and surrender rank and Buy Box.

**Why doesn't my number match Amazon's dashboard exactly?**
Different averaging methods and window lengths. Amazon's IPI uses its own calculation of average inventory and its own window. Both are valid; align the period and treat the card's per-SKU view as the actionable, more granular read.

**What do I do about a chronically low sell-through SKU?**
Stop sending more in, then move the existing stock: a coupon or price cut, a bundle, advertising, or, if it truly will not sell, a removal order before long-term storage fees escalate. Check [ASINs Approaching Long-Term Storage](/nerve-centre/kpi-cards/amazon-seller/asins-approaching-long-term-storage) for the deadline.

***

### Tracked live in Vortex IQ Nerve Centre

*Sell-Through Rate (FBA)* is one of hundreds of KPI pulses Vortex IQ tracks across Amazon Seller Central and 70+ other ecommerce connectors. Nerve Centre runs the detection layer; Vortex Mind investigates the cause when something moves; Ask Viq lets you interrogate any number in plain English.

[Start for free](https://app.vortexiq.ai/login) or [book a demo](https://www.vortexiq.ai/contact-us) to see this metric running on your own data.
