P70

 P70 is a statistical demand forecast level used by Amazon in inventory planning, purchasing, and replenishment. It reflects a conservative forecast - based on the probability that actual customer demand will not exceed the projected value 70% of the time.

Interpretation:

• If the P70 forecast for Week 1 is 500 units, Amazon expects there is a 70% chance that demand will be 500 units or less.
• It also implies a 30% chance that demand could exceed 500 units.

P-levels Amazon may use:

• P50 - median forecast (50/50 chance of being above or below)
• P70 - slightly conservative
• P90 - high-confidence forecast, used for risk-averse planning

Where P70 is used:

• Vendor Central forecasts (in PO planning and flow reports)
• Retail inventory planning models
• FBA replenishment tools
• Automated PO logic for high-demand or seasonal ASINs

Why P70 matters:

• Helps vendors and Amazon align on reliable inventory expectations
• Balances the risk of stockouts (if under-forecasted) vs. overstock (if over-forecasted)
• Influences PO volumes, supply chain decisions, and launch readiness

💡 Example: A P70 forecast of 1,200 units/week for a kitchen product during Q4 helps the vendor plan manufacturing and ensure enough supply without overproducing.

In short:
P70 is Amazon’s demand forecast with 70% confidence - meaning actual weekly sales are expected to be at or below this number 70% of the time, supporting balanced inventory and replenishment decisions.