Overview

Amazon Warehousing and Distribution (AWD) offers sellers a streamlined way to store bulk inventory in Amazon's upstream warehouses and have it automatically forwarded to Fulfillment by Amazon (FBA) fulfillment centers as needed. Understanding how AWD replenishment works — and the difference between auto-replenishment and manual replenishment — is essential for sellers looking to maintain healthy stock levels while minimizing storage costs and avoiding stockouts.

Key Points / What Sellers Need to Know

• Two replenishment modes — AWD inventory can be moved to the FBA network either automatically through Amazon's auto-replenishment system or manually at the seller's discretion, giving you flexibility in how you manage downstream fulfillment inventory.
• Auto-replenishment is the default — When you enroll in AWD, Amazon automatically manages the flow of inventory from AWD warehouses to FBA fulfillment centers based on demand forecasts, current stock levels, and sell-through velocity.
• SKU-level opt-out available — Sellers who prefer manual control can opt out of auto-replenishment on a per-SKU basis, allowing a hybrid approach where some products are managed automatically and others are replenished on your own schedule.
• No additional shipping fees for transfers — Replenishment from AWD to FBA is handled by Amazon's internal logistics network, meaning sellers do not pay separate inbound shipping fees for these transfers.
• Replenishment timing depends on demand signals — Amazon uses its forecasting algorithms to determine when and how much inventory to move, aiming to keep FBA stock at optimal levels without triggering excess inventory surcharges.

How Auto-Replenishment Works

When auto-replenishment is enabled, Amazon's systems continuously monitor your FBA inventory levels against projected demand for each SKU. When stock at fulfillment centers drops below a threshold that could risk stockouts, Amazon automatically initiates a transfer from your AWD reserves. The system factors in lead times for internal transfers, seasonal demand patterns, and your historical sales velocity to determine the right quantity and timing. This hands-off approach is particularly beneficial for sellers with large catalogs or high-velocity products where manual monitoring would be impractical. The goal is to keep your products in stock and Prime-eligible without requiring constant attention from the seller.