Overview

Amazon Warehousing and Distribution (AWD) is Amazon's low-cost bulk storage solution designed to help sellers manage large quantities of inventory without the higher per-unit costs of standard FBA storage. The program stores your products in upstream distribution centers and automatically replenishes FBA fulfillment centers as needed, helping sellers avoid stockouts while keeping storage expenses manageable. For sellers dealing with seasonal inventory swings or high-volume SKUs, AWD can serve as a strategic alternative to third-party warehousing.

Key Points / What Sellers Need to Know

• Low-cost bulk storage — AWD offers significantly lower per-cubic-foot storage rates compared to standard FBA warehousing, making it ideal for holding large volumes of inventory over longer periods.
• Automatic replenishment — Inventory stored in AWD facilities is automatically forwarded to Prime-ready FBA fulfillment centers based on demand signals, reducing the manual work of creating shipment plans.
• Multi-channel distribution — Beyond FBA, AWD can distribute inventory to other sales channels, giving sellers flexibility in how they fulfill orders across their business.
• Automatic enrollment — Sellers with primary access to their Seller Central account are automatically enrolled when they visit the AWD program page. There are no separate application steps required.
• Pay-as-you-use model — Sellers are only charged when they actually send inventory into AWD facilities, so there are no subscription fees or upfront commitments to participate.
• Terms and conditions apply — By sending inventory to AWD, sellers agree to the program's specific terms and conditions, which govern storage durations, handling, and fee structures.

How AWD Works

The AWD program functions as a middle layer between your supply chain and Amazon's consumer-facing fulfillment network. Sellers ship bulk quantities of inventory to designated AWD distribution centers, where products are stored at reduced rates compared to standard FBA storage. When Amazon's systems detect that your FBA inventory levels are running low at fulfillment centers, AWD automatically transfers stock to replenish those locations. This removes the need for sellers to constantly monitor inventory levels and manually create inbound shipments. The entire process is designed to keep your products Prime-eligible and in stock without requiring day-to-day intervention from the seller.