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Eaton Pet and Pasture Case Study: Saving in Supply Chain costs

Key Metrics

Brand awareness on Amazon
Supported in a successful Q4’24 OPS increase of 38.83% YoY
saved ad money with amerge
$25,544 reduced and prevented in monthly storage fees
quarter goals reached with Amerge
Monthly Storage Fee finished in Q4 2024 at 13.32% (-5.74% YoY)

Introduction

Eaton Pet and Pasture, a farmer-owned Amazon.com seller specializing in livestock products, has grown its business by prioritizing clean, natural ingredients—free from additives and plastics. Their products focus on small animals, ensuring high-quality nutrition and care to enhance their well-being. Over the past two years, their FBA-based business has expanded, attracting more customers and building strong loyalty within this niche.

Eaton Pet and Pasture Case Study: Saving in Supply Chain costs
Eaton Pet and Pasture Case Study: Saving in Supply Chain costs
Eaton Pet and Pasture Case Study: Saving in Supply Chain costs

Challenge

Eaton entered Q4 2024 with a substantial amount of stock, anticipating increased demand during the holiday season and high-traffic period. However, this resulted in elevated storage fees with Amazon, particularly the Monthly Storage Fees, which experience a notable increase every Q4. In response, the client sought expertise from Selling Partner Services’ Inventory Management knowledge, aiming to implement a swift solution to mitigate costs without compromising availability during this critical period.

Our solution

Ignacio Abarca, Amerge
“Using behavioral data from previous periods with the same products, we analyzed sales and unit movement patterns to determine the optimal ratio of units to maintain in fulfillment centers. Our recommendations focused on restocking levels, aiming to prevent unnecessary inventory buildup that could lead to increased monthly storage fees.”
Ignacio Abarca, Selling Partner Sr Account Manager
ignacio.abarca@amerge.com

Results

Due to strategic restocking planning, Eaton successfully reduced storage fees from $57K in October 2024 to $42K in November 2024 and $32K in December 2024, avoiding approximately $40K in unnecessary fees that would have been incurred had inventory levels remained unchanged. This optimization also improved Eaton’s fee-to-sales ratio, which finished at 13.32% in Q4 2024, significantly lower than 19.06% in 2023, demonstrating not only successful cost prevention but also overall performance improvement compared to the previous year.

What does the client say

“We’ve worked closely with Amerge team, who have been instrumental in helping us optimize inventory flow, push through challenges with Amazon, and ensure that everything runs smoothly. From forecasting demand to resolving logistical hurdles, having the right support makes all the difference. Whether it’s getting shipments approved, troubleshooting delays, or fine-tuning inventory strategy, we’ve experienced firsthand how the right expertise can streamline operations and drive success.”
Alexandra Gold, Chief Marketing Officer at Eaton Pet & Pasture
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