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  • Writer's pictureBrian Cummings

Amazon Order Management Software, Guide, and Best Practices (Everything You Need To Know!)

Updated: Oct 25, 2023

Amazon Order Management Simplified and Optimized: Tips and Tools to Help Your Order Processing on Amazon

Hey Amazon Seller,

Welcome to your go-to guide for Amazon order management success!

We're here to make your life easier and your business smoother. We know you've got great products, and we've got the strategies to handle them like a pro. We're going to take a deep dive into this process to simplify everything for you, plus we're sharing some tricks and best practices from experts in the Amazon game.

But hold on, there's more. Because we're going to take it a notch higher with our top recommendations for order management software. We've done the research, so you don't have to. No more juggling – just easy, efficient systems.

Whether you're new to this or a seasoned seller, we're here to help. Time to simplify the complex processing of Amazon orders and boost your Amazon game in the process.

Ready to breeze through order management on Amazon? Let's get started!

Key Takeaways

  • Order management is crucial for success on Amazon as it directly impacts sales, customer satisfaction, and business growth.

  • The key steps in order management include placement, processing, inventory management, fulfillment, shipping, updates, customer service, and returns.

  • Effective inventory management strategies involve regularly updating inventory levels, using tools for real-time tracking and reordering systems based on demand trends.

  • To optimize order processing on Amazon, streamline workflows, automate processes where possible and prioritize high-demand products.

Amazon Order Management Basics

Order management is like the backbone of a successful Amazon selling journey – it's that crucial. Think of it as the control center that affects your sales, keeps customers smiling, and paves the way for business growth. It's like having your own superpower.

Imagine this: you've got an order management system that's so on-point it gives you real-time updates on your inventory. No more running out of stock when you least expect it, and no more overselling either.

The thing is - this system isn't just about numbers; it's about speed. Orders are processed quicker than a flash, which means your customers get their goodies on time. And you know what that means – happy customers leave happy reviews and keep coming back for more.

And the best part? You get to put your feet up and let automation work its magic. Packaging, shipping, tracking – all taken care of without you even lifting a finger. It's like having a trusty sidekick who knows exactly what to do.

Proper order management isn't just a nice-to-have, it's a must-have. It's like the secret ingredient that spices up your business, making things run smoother and even saving you some dough along the way.

How does order management work on Amazon?

Once a customer places an order on Amazon, the process of order management begins. This typically involves several key steps: placement, processing, inventory management, fulfillment and shipping, updates, customer service, and/or returns. Let's explore the key steps in detail:

  1. Order Placement: Customers add their desired products to their shopping cart and complete the payment process.

  2. Order Processing: As an Amazon seller, you'll now receive the customer's order information. This includes their desired product, quantity, shipping method, and address.

  3. Inventory Management: You must ensure that your inventory levels are current and correct. Efficient inventory management prevents overselling or underselling of products.

  4. Fulfillment: The product is then packed properly for safe transportation to its destination.

  5. Shipping: After packaging, arrangements for transportation are handled and carried out effectively ensuring timely delivery.

  6. Updates: Tracking information is shared with customers so they can follow the progress of their orders.

  7. Customer Service: Sellers provide support to deal with customer inquiries about order status, returns or any related issues enhancing customer satisfaction and retention rate.

  8. Returns: When customers want to send back an item due to various reasons like defects or wrong items delivered, sellers must handle these return requests timely and efficiently.

Strategies for Successful Amazon Order Management

Effective inventory management

Managing your inventory is crucial for successful order management on Amazon. Here are some key strategies to help you effectively manage your inventory:

  • Regularly update your inventory: Keep track of your stock levels and update them regularly to ensure accurate product availability on Amazon.

  • Use inventory management tools: Utilize third-party software or Amazon's built-in tools like the Manage Orders feature to keep track of your inventory in real-time.

  • Set minimum and maximum stock levels: Determine the minimum quantities at which you need to reorder products and set maximum limits to avoid overstocking.

  • Implement a reliable reordering system: Set up automatic reorder points based on sales velocity and lead times, ensuring you never run out of popular products.

  • Optimize storage space: Organize your inventory efficiently in warehouses or storage facilities for easy access and efficient fulfillment processes.

  • Conduct regular audits: Perform routine checks to identify any discrepancies between physical stock and recorded inventory levels to maintain accuracy.

  • Monitor demand trends: Analyze sales data and customer feedback to identify popular products and adjust your stock levels accordingly.

  • Plan for seasonal fluctuations: Anticipate increased demand during holidays or special events by planning ahead and stocking up on high-demand items.

  • Streamline supplier relationships: Establish strong relationships with suppliers to ensure timely deliveries, better pricing, and reliable product availability.

  • Continuously analyze and optimize: Regularly review your inventory management processes, identify areas for improvement, and implement changes as needed.

Optimizing order processing

To optimize your order processing on Amazon, follow these steps:

  1. Streamline your workflow: Create a clear and efficient order processing system to ensure orders are fulfilled quickly and accurately.

  2. Automate where possible: Utilize automation tools to save time and reduce errors in order processing.

  3. Set up notifications: Enable notifications for new orders so you can promptly respond and begin processing.

  4. Prioritize high-demand products: Identify your most popular products and prioritize their processing to meet customer expectations.

  5. Use barcodes for scanning: Implement barcodes to scan items during order processing, reducing manual input errors.

  6. Batch process orders: Group similar orders together to optimize efficiency during picking, packing, and shipping.

  7. Optimize packaging materials: Choose packaging materials that protect the product while minimizing waste and shipping costs.

  8. Track shipments: Monitor the progress of each shipment to ensure timely delivery and provide customers with accurate updates.

Did you know that proper labeling of your products can help streamline your Amazon order process in a substantial way? Our article on FNSKU labels and barcodes can serve as your guide.

Enhancing customer service

Creating a top-notch shopping experience for your Amazon customers goes hand in hand with stepping up your customer service game. It's like offering a warm welcome and a helping hand rolled into one.

When a question pops up or a concern arises, being quick on the draw with your responses can work wonders. It's like building a bridge of trust and loyalty, one reply at a time.

But it doesn't stop there. Imagine being a reliable source of information, always ready to guide your customers through their orders, delivery times, and even those occasional returns. It's like being their go-to compass in the Amazon wilderness.

And guess what? This isn't just about making your current customers happy campers – it's also about reeling in new ones. A happy customer isn't shy about singing your praises, leaving those shiny reviews, and telling their buddies about your awesome products.

Inventory Management Mistakes to Avoid

Effective inventory management also goes hand-in-hand with a working order management system on Amazon. Cancelled orders due to inventory issues will definitely complicate your order processing and may result in an unhappy customer. So to effectively manage your inventory on Amazon, it's important to avoid some common mistakes. Here are key points to keep in mind:

  1. Regularly monitor inventory levels to prevent stockouts or overselling.

  2. Utilize demand forecasting tools to anticipate future sales and adjust inventory accordingly.

  3. Keep accurate product listings with up-to-date information on availability, pricing, and variations.

  4. Optimize your storage space by organizing products efficiently and implementing a proper labeling system.

  5. Implement quality control measures to ensure the accuracy and condition of your products before shipping them out.

  6. Establish a reliable supplier network to ensure a steady supply of goods and prevent delays in fulfillment.

  7. Conduct regular audits of your inventory to identify any discrepancies or inconsistencies.

  8. Streamline your ordering process by automating replenishment tasks whenever possible.

Automate with In-House and Third-Party Amazon Order Management Software

There are various tools available for Amazon sellers to streamline their order management process, such as the "Manage Orders" tool and order reports provided by Amazon, as well as third-party solutions like Skubana, TopShelf by Scout, and Cahoot.

Manage Orders

By using the "Manage Orders" tool provided by Amazon Seller Central, you can easily view and track all your incoming orders in one convenient location.

This tool allows you to take actions such as confirming shipment, updating tracking information, and issuing refunds or cancellations when necessary. With this centralized system, you can ensure that no order slips through the cracks and maintain a high level of customer satisfaction.

In addition to the built-in "Manage Orders" tool, there are also third-party order management tools available that can further enhance your efficiency and organization. These tools provide additional features such as inventory management, automated order processing, and advanced reporting capabilities.

Order Reports

Order reports are an essential tool for effective Amazon order management. These reports provide valuable insights into your business, allowing you to track and analyze your sales data.

With order reports, you can easily monitor your inventory levels, identify trends in customer behavior, and make informed decisions about pricing and promotions. By regularly reviewing these reports, you can optimize your order management strategies and improve the overall efficiency of your Amazon business.

Third-party order management tools (Skubana, TopShelf by Scout, Cahoot, etc.)

For efficient Amazon order management, several third-party tools are available that can streamline the entire process. Following are a few top-rated tools, each with their unique features that cater to different aspects of Amazon order management.

Name of Tool

Key Features


Skubana is a robust order management tool that provides comprehensive solutions, including inventory management, warehouse fulfillment and analytics. It centralizes all your orders, making it easier to track and fulfill them.

TopShelf by Scout

TopShelf is a cloud-based inventory management tool that helps optimize your Amazon stock. It provides real-time updates to prevent overstocking or understocking, ensuring a smooth order processing experience.


Cahoot is an order fulfillment tool that helps you choose the best shipping options to expedite order deliveries. It leverages a peer-to-peer network to reduce shipping costs, enhancing customer service.

Investing in one of these tools can be a game-changer for your Amazon business. They can help simplify inventory management, order processing, and shipping, making Amazon order management more efficient and effective. These tools can reduce common inventory management mistakes and set up your Amazon business for success.

Bottomline: Time to Streamline Your Order Fulfillment Process on Amazon

In the world of Amazon, where everything happens with a click, making your order and delivery process smooth is like having a secret weapon.

As we wrap up this guide, let's remember why this secret weapon matters. When you handle orders seamlessly, you're not just avoiding mess – you're making your business grow, making customers happy, and making sure you earn more. Think of it like a well-tuned machine that makes everything easy. This smooth way of doing things isn't just helpful; it's the key to making customers love your products and come back for more.

So, as you keep doing your Amazon thing, remember that making things efficient isn't just a choice – it's what makes your business super strong. So, keep mastering the order game, and watch your business shine in the big Amazon world. Cheers to your success, one well-organized order after another!

Have questions about our services or need assistance? Reach out to us here.


Q: What is Amazon order management and why is it important?

A: Amazon order management refers to the process of receiving, organizing, and fulfilling customer orders on the Amazon platform. It is important because efficient order management ensures timely and accurate delivery, which leads to customer satisfaction and positive seller ratings.

Q: How can I improve my order management on Amazon?

A: To optimize your order management on Amazon, consider using Amazon order management software like Amazon Seller Central or third-party tools. These tools help streamline order processing, inventory management, and overall order fulfillment efficiency.

Q: Can I use third-party software for Amazon order management?

A: Yes, you have the option to use third-party Amazon order management tools. These tools provide additional features and flexibility to suit your specific order management needs.

Q: How does Amazon Order Management Software work?

A: Amazon Order Management Software works by integrating with your Amazon seller account, allowing you to track and manage orders, update inventory levels, generate shipping labels, and handle customer communication from a single dashboard.

Q: What are the best Amazon order management software options available?

A: Some of the best Amazon order management software options include Skubana, TopShelf, and Cahoot. These tools offer comprehensive order management functionalities and integrations with Amazon's platform.

Q: How can order reports help in order management?

A: Order reports provide valuable insights into your order history, sales performance, and inventory levels. Analyzing these reports can help you make data-driven decisions, identify trends, and optimize your overall order management process.

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