Effective April 18, 2022, Amazon will be offering sellers another storage type: Extra-large. This will be in addition to the oversized storage type. To learn how this announcement could impact your bottom line, please continue reading and reach out to AVASK Group to learn what you should know about Amazon’s new extra-large storage category.
Why did Amazon announce an extra-large storage type?
According to their release, the intent of the new announcement is to give sellers more flexibility in how they manage their inventory and quantity limits for larger items. Another possible reason is to free up inventory space for brands that sell more units yet take up less capacity in warehouses.
How does the new extra-large storage type work?
Sellers’ FBA quantity limits will be determined separately for extra-large and oversized items. Your past and forecasted sales, adjusted by fulfillment center capacity, will determine your FBA quantity limits. If you have existing inventory that qualifies for this storage type, Amazon will automatically reclassify this inventory as extra-large, requiring no action on your part.
As you may have guessed, this new storage type is distinct from “oversized”. The breakdown is as follows:
Oversized:
- Longest side: 18 inches or more
- Median side: 14 inches or more
- Shortest side: 8 inches or more
- Girth: N/A
- Unit Weight: 20 pounds or more
Extra-large:
- Longest side: 96 inches or more for non-TV items; 40 inches or more for TVs
- Median side: N/A
- Shortest side: N/A
- Girth: 130 inches or more
- Unit weight: 50 pounds or more
For many, this drastically reduces their storage size stock limit, while dramatically raising their overhead in terms of storage fees and other costs. Our team is here to help both new and existing Amazon sellers navigate the challenges stemming from this announcement. If you have any further questions regarding this or any other Amazon-related issue, please give us a call today.
Contact Our Team
If you are an Amazon seller and require the assistance of an experienced Certified Public Accountant, please contact Ebiz Accounting for an initial consultation. We provide Amazon business accounting services to clients in New York and throughout the United States. All Amazon sellers should have an accountant they can trust. If you are looking to expand your business, or even form a new one, do not hesitate to reach out to our knowledgeable team today.