wiki/clients/current/doudlah-farms/2026-04-05-amazon-performance-inventory.md · 739 words · 2026-04-05

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)

^[2]
^[1]