LBO

Lost Business Opportunity (LBO) reflects the revenue Amazon could have generated but didn’t, due to operational or listing-related issues that prevented customers from purchasing a product.

Common causes of LBO:

• Out-of-stock inventory (zero availability on high-demand items)
• Lost Buy Box (LBB) - when the seller loses the Buy Box to another offer
• Pricing errors - uncompetitive or unusually high pricing
• Suspended or suppressed listings
• Inbound delays or fulfilment center receiving issues

Why LBO matters:

• Directly tied to lost revenue and customer experience
• Highlighted in Vendor Central scorecards and Amazon Retail reports
• Used during Joint Business Planning (JBP) to identify supply chain gaps
• Impacts Amazon’s willingness to reorder or promote certain SKUs

How to reduce LBO:

• Improve forecasting and replenishment
• Monitor Buy Box ownership
• Optimize fulfilment speed and in-stock rates
• Fix listing issues or suppressed ASINs quickly

💡 Example: A vendor missed $120,000 in sales due to LBO caused by stockouts during Q4 - flagged in the Amazon Retail Analytics report.

In short:
LBO (Lost Business Opportunity) is the value of sales Amazon couldn’t capture due to preventable issues - a critical metric for identifying and correcting operational or pricing inefficiencies.