Amazon places customer experience above everything else. Therefore, as a seller, you have to match up to certain performance metrics. Further, it will be evaluated by Amazon. If you fail to reach the expected metrics, you will have to face a few consequences such as account suspension, fines, and more.
This article will help to learn about performance metrics and other important aspects. Let’s begin.
1. Seller Rate
In Seller rate metrics, you have to consider three points:
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2. Order Defect Rate
Amazon uses order defect rate (ODR) metrics to evaluate the seller’s standard to offer a good and satisfactory customer experience. Basically, this metric is equated by the total number of times the incurred negative metrics divided by the total number of all orders received (within a specified time period).
In case, the customer requests a refund then ODR increases as they got negative service or faulty products. Furthermore, ODR evaluates three factors. It includes”
Note that sellers need to maintain ODR under 1 percent. If it goes beyond one percent then your account may get suspended. However, if your account gets suspended, you are provided with 17 days. In this time you can prove to Amazon how you will improve your customer service experience.
3. Late Shipment Rate
This metric showcases percent of orders from total orders that shipped after the expected date. Furthermore, it is equated by dividing overdue orders over a 10-day or 30-day time period. After the order the placed, the shipment date is set for two business days.
Read Also: Is Credit Card Details Safe on Amazon?
Note that your Amazon account will be deactivated if the calculated percentage comes out above 4 percent. It is the percentage that defines that orders are not confirmed by the expected shipment date.
4. Pre-Fulfillment Cancellations
It is the rate that defines all seller-canceled orders, which were before shipment confirmation. It is important to note that pending orders that are canceled by Amazon customers do not count.
This rate is equated by the division of the number of annulments by the orders taken within a given time period.
Also, note that cancellations occur when sellers are out-of-stock and unable to fulfill customers’ orders.
Moreover, try to maintain the rate below 2.5 percent. Otherwise, you may end up with account suspension.
5. Valid Tracking Rate
The valid tracking number is used by customers to evaluate where their orders are. It is also used to check when they will receive their orders. Moreover, the seller’s usage of valid tracking numbers is measured by the Valid Tracking rate(VTR).
Furthermore, VTR is calculated by dividing the packages shipped with a VTN by the overall packages shipped (also confirmed over a 30 day period).
In order to avoid lower ratings that could limit the ability to sell non-FBA products, maintain a 95 percent Valid Tracking rate.
Final Word
Performance metrics are highly important if you want to do better business on Amazon. Furthermore, better scores could improve your chances to stay ahead in the competition.
Also, make sure to plan and strategize to improve your performance, or else your account will be suspended. Follow this guide and implement it for your business. It will help you to get higher conversions, customers, and profits. So, make the best use of it.
We hope this article will guide you on Amazon Seller Metrics with ease! To make your business a huge success, get in touch with the Asinwiser team today!
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