Software
Analytics Dashboard
See all your key figures like volume, profits, margin at one glance.
Amazon Sourcer
Find new, profitable products with our Sourcing Tool + Chrome Extension.
Amazon Repricer
Automatically adjust your prices to stay competible and win the BuyBox.
Amazon Review Request
Automatically request Reviews for all your orders to gain feedback.
Amazon Listing Analyzer
Analyze your listings to boost visibility and sales.
Free Tools
Overview
Get an overview of all the free tools we currently offer.
Title Checker
Be in compliance with amazon guidelines to maximize ranking.
Fee Calculator
Calculate fees accurately to maximize your profit margins.
ASIN Converter
Easily convert product codes to manage your listings efficiently.
Pricing
Privacy
Blog
Sign In
Try For Free

Mastering Amazon FBA Liquidation: Strategies, Programs, and Alternatives

Explore All Articles
Filter Blogposts by Tags:
FBA
FBM
Advertising & PPC
Inventory Management
SellerMagnet Tools
Product Research
BuyBox
Amazon SEO
Amazon Updates
Amazon Basics
24 sellermagnet amazon inventory management amazon arbitrage reselling profit business sourcing seller repricer
Tags:
FBA Inventory Management
SellerMagnet Logo with Text
Sign up to receive exclusive contents and the latest SellerMagnet news.
Join a smarter way to manage your Amazon store
Join Newsletter
Mastering Amazon FBA Liquidation: Strategies, Programs, and Alternatives
By René | 5 min read

The Typical Overstock/Surplus Situation

In the dynamic world of Amazon FBA, sellers frequently encounter the precarious situations of overstock or sluggish inventory movement. This situation raises legitimate concerns regarding long-term storage fees and the capital tied up in unsold products. The two main issues are the presence of dead stock, characterized by products that simply do not sell, and slow-moving inventory, where sales decline and storage fees increase.

Why You Should Embrace Amazon Inventory Liquidation

While the idea of liquidating excess inventory may initially seem daunting, it is an indispensable part of effective inventory management. Amazon's innovative FBA Liquidation Program presents a viable solution and offers sellers a strategic way to bypass disposal, return, and storage fees.

Amazon FBA Liquidation Program

Launched on June 1, 2021, the FBA Liquidation Program allows sellers to efficiently sell or liquidate excess stocks. Opting for liquidation enables sellers to negotiate with wholesalers for liquid goods and set the average selling price based on a variety of factors. Noteworthy in this process are the liquidation fees, which include handling and brokerage fees and vary depending on item size and category.

FBA Grade and Resell as Used

Expanding the spectrum of options for managing excess inventory is the FBA Grade and Resell as Used program. Sellers can categorize returned items as "not new," and Amazon conducts a comprehensive evaluation of the product's condition. This unique program allows for the resale of items in various conditions, including "Like New," "Very Good," "Good," or "Acceptable."

How to Avoid Inventory Liquidation

Before embarking on the path of liquidation, wise sellers should explore a series of strategic initiatives aimed at boosting sales and avoiding unnecessary costs. Key measures include thorough product analysis, careful SEO and listing optimization, dynamic pricing strategies, enticing advertising campaigns, targeted promotional measures, exploring alternative sales channels, and the innovative approach of bundling products.

The Benefits of Timely Inventory Liquidation

The smart choice of inventory liquidation brings a variety of benefits. Besides releasing tied-up capital for reinvestment in better-selling products, it transforms the situation into a potentially profitable venture by enabling the resale of items through alternative channels.

Last Resort Options for Inventory Liquidation

In certain unavoidable scenarios, liquidation proves to be the most pragmatic option. Sellers can choose between the sleek comfort of the Amazon Liquidation Program, albeit with slightly reduced returns, or the decisive option of having the inventory destroyed by Amazon when other avenues appear impractical.

Final Thoughts

Although the prospect of inventory liquidation may seem daunting, it often stands as a necessary step to prevent larger losses in the long term. Sellers are encouraged to carefully weigh their options, consider the optimal timing, and evaluate the potential for recouping value from slow-moving items. Implementing effective strategies for inventory management, paired with exploring alternative avenues, is crucial for fostering sustainable success within the vast world of the Amazon platform.
SellerMagnet Logo with Text
Stop Juggling Tools - SellerMagnet Combines Everything You Need in One Platform.
Join a smarter way to manage your Amazon store
Try for Free
Recommended Posts
Tags: FBA Inventory Management
Amazon FBA Capacity Limits June–July 2025: Full Guide
Understand and manage Amazon FBA capacity limits for June–July 2025. Insights, deadlines, and smart strategies.
Read more
Tags: FBA SellerMagnet Tools Product Research Amazon Basics
Amazon Reselling Guide: Tools and Tips for 2025
Learn how to launch and grow your Amazon reselling business with the right tools and expert strategies.
Read more
Tags: FBA FBM Amazon Basics
US vs Europe: Expand Your Amazon Business Globally
A complete guide to US vs EU marketplaces: regulations, logistics, pricing, and tools to sell globally on Amazon.
Read more
Tags: FBA FBM Amazon SEO Amazon Basics
How to Use Product Videos to Increase Amazon Sales
Learn how videos in product listings improve conversions and reduce returns.
Read more
Tags: FBA Amazon Basics
Amazon Seller Quality Alerts: Complete Guide and Solutions
Discover what Amazon Seller Quality Alerts are, why they occur, and how to prevent them with practical strategies and SellerMagnet tools.
Read more
Tags: FBA FBM SellerMagnet Tools BuyBox
The Best Amazon Repricer Alternative in 2025: Efficient, Integrated, Accessible
Discover SellerMagnet Repricer: an advanced, accessible tool to optimize prices, win the Buy Box, and manage profits across multiple Amazon marketplaces.
Read more
Tags: FBA FBM Amazon Basics
Amazon Handmade 2025: Guide for Digital Artisans
Learn how to sell handmade items on Amazon. Benefits, Etsy comparison, and tools to grow your artisan brand in 2025.
Read more
Tags: FBA FBM Advertising & PPC Inventory Management SellerMagnet Tools BuyBox Amazon SEO
10 Proven Strategies to Increase Amazon Sales in 2025
Learn 10 expert strategies to grow your Amazon sales in 2025. From listing optimization to SellerMagnet tools for inventory, pricing, and reviews.
Read more
Tags: FBA FBM Amazon Basics
How to Set B2B Prices and Quantity Discounts on Amazon in 2025
Learn how to create competitive B2B prices and quantity discounts on Amazon, leveraging tools like SellerMagnet.
Read more
Tags: FBA FBM Amazon Basics
Celebrate Amazon Pet Day 2025: Seller’s Ultimate Guide
Discover how to maximize sales during Amazon Pet Day 2025 with deals, listing optimization, and SellerMagnet’s tools. Start your free trial today!
Read more
Tags: FBA Inventory Management Amazon Basics
How to Handle Amazon FBM Returns in 2025: Step-by-Step Guide for Sellers
Discover how to manage Amazon FBM returns like a pro. Learn processes, tips, and how to reduce return rates with SellerMagnet.
Read more
Tags: FBA Product Research Amazon Basics
Amazon Gated Categories: Your Complete 2025 Guide to Get Ungated
Learn how to successfully gain approval to sell in Amazon's gated categories in 2025. Practical strategies, requirements, and expert tips to increase your sales.
Read more
Load More
Join a smarter way to manage your Amazon store
SellerMagnet Logo white
Why Choose SellerMagnet?
With SellerMagnet, you have everything you need to dominate the Amazon marketplace and grow your business without the burden of manual management. The platform includes tools to monitor profits, optimize pricing, analyze products and gather reviews - boosting your efficiency and competitiveness.
Amazon
Analytics Dashboard
The Analytics Dashboard gives you a clear view of your finances and profits.
Learn More
Amazon
Repricer
The Repricer keeps your prices competitive to boost BuyBox chances.
Learn More
Amazon
Sourcing Tool
The SellerMagnet Sourcer helps you find profitable products with ease.
Learn More
Amazon
Review Requester
The Review Requester automates gathering customer reviews for credibility.
Learn More
Compatible with
Amazon Logo
Supported Marketplaces
US
CA
AU
DE
ES
FR
IT
UK
IE
NL
BE
SE
BR
MX
IN
JP
G2 Icon
Standford S.
Small-Business (50 or fewer emp.)
"Great All-in-One Solutions that saves lots of time."
The integration with my Amazon Seller account was seamless and easy to do. Also, since I started using SellerMagnet, I noticed an increase in BuyBox wins. To this, ,we add inventory and finance tracking, automatic request for reviews and finally a product search done with criteria and data in hand. Recommended
HOLD ON
15% OFF
Treat yourself today with the only All-in-One software your Amazon business needs.
Now with 15% discount on your first renewal!
Receive code
By clicking 'Receive code' you join our newsletter and agree to our Terms of Service.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.
Accept all Cookies
Manage Cookies