Amazon is rolling out another change, and this time, it’s shaking up how sellers manage their own orders. Amazon will now decide how many orders you can handle based on performance data. Instead of manually setting your handling capacity—aka the number of orders you can realistically fulfill—Amazon will now use your past performance data to decide that limit for you.
At first glance, this might sound like an efficiency boost, but it also means sellers will need to stay on top of their fulfillment game to ensure they’re maximizing their order potential. So, what does this mean for your business, and how can you make the most of it?
A Data-Driven Approach to Fulfillment to How Amazon Will Now Decide How Many Orders You Can Handle
Amazon’s goal is to streamline the fulfillment process and ensure that sellers are committing to a realistic number of orders. By analyzing key performance metrics—such as on-time shipments, order defect rates, and past fulfillment speeds—Amazon aims to match your order volume to your proven capacity.
For sellers who consistently meet or exceed expectations, this could be a win. If your performance data is strong, Amazon may increase your handling capacity, allowing you to take on more orders. However, if you’ve faced occasional delays or setbacks, Amazon might temporarily adjust your limit to keep fulfillment times reliable for customers.
What Sellers Should Watch Out For
While this change is meant to improve fulfillment efficiency, there are a few potential challenges to keep in mind. Since Amazon is relying on historical data, sellers who experience seasonal spikes or unexpected growth might find their capacity capped—even when they’re capable of handling more orders. If you’ve had a temporary issue like a supply chain delay or a holiday rush mishap, Amazon’s system could misinterpret it as a long-term fulfillment risk, limiting your ability to scale when you need it most.
Additionally, since sellers can no longer manually adjust their handling limits, there’s less flexibility to quickly adapt to changing business needs. If your business experiences fluctuations, it’s more important than ever to stay on top of performance metrics and have a backup fulfillment strategy in place.
How This Could Benefit Sellers
While handing over some control might seem daunting, there are potential upsides. If Amazon accurately adjusts your handling capacity, it could help:
- Prevent Overcommitment – By setting realistic limits, sellers can avoid overwhelming order volumes that might lead to late shipments or cancellations.
- Improve Customer Satisfaction – Faster, more predictable fulfillment can lead to better ratings and repeat customers.
- Boost Sales Potential – If you’re consistently meeting expectations, Amazon could increase your order capacity, helping you grow.
How to Stay Ahead of the Changes
Even though Amazon is taking the reins on handling capacity, sellers still have plenty of control over their own success. Here’s how to make sure you’re positioned to benefit:
- Keep Your Metrics Strong – Maintain fast handling times, low cancellation rates, and top-tier customer service to ensure Amazon sees you as a reliable seller.
- Be Prepared for Fluctuations – During peak seasons, demand spikes, and unexpected delays, have a plan in place to manage fulfillment efficiently.
- Diversify Your Sales Channels – While Amazon is a powerful platform, having your own website or selling on multiple marketplaces ensures that your business remains flexible and scalable.
A New Way to Manage Capacity
This update is Amazon’s way of ensuring that sellers are taking on orders they can confidently fulfill. For those with strong fulfillment track records, it could open the door to more sales and greater trust with customers. The key is to stay proactive, efficient, and adaptable—because when you’re in control of your fulfillment game, changes like these become opportunities rather than obstacles.
And if you need a shipping and inventory system that works across multiple channels (not just Amazon 😉), Ordoro has you covered.