Today we speak to Sitruna Operations Director Chris Thomas, but we’re focusing on the growing pains of a previous business they exited for a seven figure sum, Beechmore Books. As with all rapidly growing businesses, the more popular their notebooks, diaries and journals became on Amazon the more difficult it was to manage their stock.
The issue was that having become an Amazon Best Seller with over 5k best star reviews, they simply couldn’t keep up with stock. Every time they placed an order, but the time it was in a container on the sea it was already not enough and they had to order more. But this placed stress on their Amazon account – too much stock in Amazon FBA and you’re running into long term storage fees and feeling the impact on your IPI score. Not enough stock in Amazon FBA and you risk going out of stock which obviously impacts sales, but also you start to lose the ranking on the product.
The solution for Chris was to use a 3PL (third party logistics) partner, get bulk stock in the UK and work with the 3PL to drip feed products in Amazon to optimise stock availability in conjunction with IPI scores to maximise on sales.
Fast forward to today, and Chris has exited Beechmore books and they’ve set up Amazon consulting agency Sitruna to assist other fast growing brands to optimise their Amazon businesses. And they’ve more recently expanded their own inhouse 3PL, Sitruna Logistics, to offer the services that they know from experience retailers need to fine tune their Amazon businesses.
In this video we discuss:
- 00:00 Introducing Chris Thomas at Sitruna and Beechmore Books history
- 01:48 The impact of stock outs on Amazon?
- 03:55 The issue of over stocking on Amazon
- 04:54 IPI score and stock management on Amazon
- 05:48 Using a 3PL to optimise stock feed into Amazon
- 06:59 The impact of optimising an Amazon Business stock flow
- 07:51 How Sitruna Consulting and Sitruna fulfilment assist brands today
Links
- Beechmore Books – https://beechmorebooks.com/
- Sitruna – https://www.sitruna.com/
- Chris Thomas LinkedIn – https://www.linkedin.com/in/chris-thomas2
