How one stock pool cut a pet brand's logistics costs 12% and grew Amazon sales 50%
A brand ran two separate inventories, one for its website and one for Amazon. Neither was well stocked. Centralizing stock at Amazon fixed both.
The starting point
Website orders shipped from a third-party warehouse while Amazon orders shipped from FBA. Stock was split between them, so one side was often overstocked while the other ran out.
Stockouts on Amazon cost sales and organic rank. The separate warehouse cost money on every website order.
What we did
- 01
Mapped the real cost of both setups
We compared the per-order cost of the existing warehouse against fulfilling website orders from Amazon's network.
- 02
Centralized inventory at Amazon
Stock moved into Amazon's fulfilment network, and website orders were fulfilled from the same pool through Amazon's multi-channel fulfilment.
- 03
Planned replenishment for one pool
With one inventory to manage, we forecast demand across both channels and planned FBA and AWD shipments to keep it in stock.
The result
Website logistics costs fell 12%. Amazon sales rose 50%, largely because best sellers stopped running out of stock.
What made the difference Logistics decisions are growth decisions. The cheapest setup was also the one that sold the most.
The client is kept anonymous. Results from an individual client engagement. Your results will depend on your brand, category and market.