Amazon Performance & Inventory Review — 2026-04-05
Meeting with Gilbert Barrongo to review Amazon account performance, diagnose a ROAS decline, and assess product-level inventory status. See also: [1] for the SEO/PPC strategy discussion from the same call.
Overview
30-day ROAS came in at 361, below the target of ~380. The primary causes were stockouts of key products and a bid reduction experiment that proved more damaging than anticipated. Monthly sales still grew — September $92K → October $114K → November $125K (~9% MoM) — but margin dipped from 34% in October to 27% in November, largely due to a $3,500 inbound transportation fee from a truckload shipment.
Organic unit growth continues to trend positively, which remains the long-term goal (organic units over advertised units).
Key Decisions
- Revert bids to pre-November 26 levels. The 5% bid reduction experiment confirmed the account is more price-sensitive than expected. Even a modest reduction caused a measurable sales slowdown. The experiment is considered concluded — not worth repeating.
- Do not use AWD for FBA replenishment. AWD inventory cannot be transferred directly into FBA. Direct pallet shipments to FBA are preferred despite higher inbound transportation costs.
- Stop or minimize production of 25lb milled products (flour, cornmeal). These move slowly. Exceptions: 25lb beans (black, pinto, kidney, navy, great northern) and popcorn sell well and should continue.
- Use coupons aggressively to clear slow-moving high-inventory items (e.g., cranberry beans 25lb — 89 units on hand, unlikely to sell through naturally).
Inventory Status
Stockouts (Immediate Action Needed)
| Product | Status | Notes |
|---|---|---|
| Yellow Cornmeal | Out ~2 days | 14-pallet shipment already in transit; check Amazon Shipments screen |
| Black Beans 1lb | Out | 660 units stuck in AWD — cannot transfer to FBA; request return to Mark Dudla |
| Cranberries | Out | Small item; lower priority |
Strong Performers — Restock Needed
| Product | 30-Day Sales | FBA Units | Notes |
|---|---|---|---|
| Blue Haven (new) | 52 units / $932 | 93 | All organic, no ads yet; ~2 months of stock at current velocity |
| Burning Desire 1.5lb | 31 units | 4 | Selling well; coupon removed; needs restock |
Slow-Moving / Overstocked
| Product | Issue | Action |
|---|---|---|
| Cranberry Beans 25lb | 89 units, very slow velocity | Coupon; may not sell through |
| 25lb Flour products (whole wheat, buckwheat, rye, red cornmeal) | Near-zero sales | Stop or minimize production |
| Yellow Cornmeal 25lb | Slow despite strong 5lb sales | Monitor; minimize |
25lb Products That Are Working
Black Beans (51 units/$5K), Pinto Beans (18 units/$1.8K), White Popcorn (17 units), Kidney Beans (12), Navy Beans (11), Great Northern Beans (12), Yellow Popcorn (12). Pinto Beans 25lb currently out of stock — needs restock from Carly.
Bid Reduction Experiment — Post-Mortem
Gilbert reduced bids by 5% (not the originally discussed 10%) to test whether ROAS could be improved. The result:
- Sales slowed noticeably; November ended at ~$125K instead of the ~$130K trajectory
- ROAS dropped from ~3.8 to 3.61
- Conclusion: the account is more price-sensitive than assumed; bid reductions at this scale are not viable without accepting meaningful revenue loss
Starting November 26, Gilbert began selectively increasing bids on high-performing targets. Full reversion to pre-reduction levels is the next step.
Blue Haven — Launch Recommendation
Blue Haven is a new product that has been selling entirely organically (brand defense + product defense campaigns only). Performance:
- 52 units / $932 in 30 days with no dedicated ad campaigns
- FBA stock: 93 units (~<2 months at current velocity)
Decision: Start dedicated ad campaigns now and request immediate restock from Carly. The organic velocity justifies pushing it.
Action Items
- [ ] Check Amazon Shipments for cornmeal inbound status; update Mark (@Gilbert Barrongo)
- [ ] Revert all Amazon bids to pre-November 26 levels (@Gilbert Barrongo)
- [ ] Email Carly: request FBA shipment for Blue Haven and Pinto Beans 25lb (@Gilbert Barrongo)
- [ ] Request return of 660 AWD black bean units to Mark Dudla (@Gilbert Barrongo)
- [ ] Launch dedicated ad campaigns for Blue Haven (@Gilbert Barrongo)
- [ ] Remove coupons from products with <6 months inventory; keep/add coupons on overstocked items (@Gilbert Barrongo)
Related
- [2]
- [1]