Is Your FBA Business Losing Money? Surefire Ways to Resolve It

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Running an Amazon business means checking all the areas and processes where you could possibly be making or losing money. There are certain things that can eat your profit without you realizing it. So before your FBA business loses a large chunk of your money, identify where the losses are coming from so you can minimize or stop it all at once.

So, how do you do that? We share the top 3 reasons why your FBA business is not making money and ways to fix them.

Reasons Your FBA Business is Losing Money

#1 Inadequate Stock Levels

If your inventory is running low or you’re simply out-of-stock, you not only lose potential sales, you also give your competitors the advantage of winning new sales and retaining customers for future orders and reviews.


Have a good inventory management system in place. When you have complete control over your inventory, you gain a better understanding of which products are selling and which are not. You see the products that are moving and those that are selling slowly.

You are also able to track where your assets are and what they are worth. You also avoid having too much inventory, which might lead to profit losses. Take note, Amazon charges every item that stays in their warehouse over a period of time.

#2 Losing the Buy Box

Winning the buy box is essential when selling on Amazon as this exponentially increases your chances of making a sale. In fact, more than 82% of all sales on Amazon go through the buy box, so losing it is equivalent to losing sales.


The rules to winning the buy box is constantly changing. However, there are key factors that makes you eligible, including:

Be an FBA seller – Amazon favors FBA sellers when it comes to competing for, and winning, the buy box.

Price competitively – Keep an eye on your competitors so you can set your price at a competitive rate.

Raise your seller metrics – Your standing a seller determines how trustworthy you are. The better your ranking, the more chances you have on winning the buy box.

#3 Not Enough Positive Reviews

Amazon has always maintained a high emphasis on customer satisfaction, and it uses an advanced algorithm to safeguard the credibility and reliability of its reviews. Amazon considers reviews as one of the deciding factors of product ranking. On the other note, customers look into reviews before making a purchase. This means that reviews work as a trigger for better sales.


It all boils down to great customer experience. When customers are satisfied with their orders and with your service, they are compelled to give you positive feedback. There are a lot of ways you can offer a stellar customer experience. You can start by optimizing your listing. Provide detailed information about your product to avoid any confusion or false expectations. Sending personalized review requests is also a smart way to encourage your customers to give you positive feedback.

There you go, three culprits that can cost you money and the three strategies to combat them. To ensure your success and profitability in the Amazon marketplace, it pays to use a full-suite Amazon seller software that can monitor every aspect of your business. Whether it is about managing your inventory, setting competitive pricing or growing your positive feedback, SellerMobile has all the essential tools to help you streamline your business process and boost your sales and profit.

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