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Amazon Seller Performance Management to Prevent Seller Account Suspension

Tips for Indian Sellers Selling on Amazon from India to US and EU

Amazon Seller Services India Private Limted © 2017

Performance Targets for Sellers

All Amazon sellers should work toward achieving and maintaining a level of customer service that meets the following performance targets. Failure to meet these targets does not necessarily put your account in negative standing, but failure to improve may negatively affect your account. Sellers should work to maintain the following performance targets for all products they sell:

  • Order defect rate: < 1%
  • Pre-fulfillment cancel rate: < 2.5%
  • Late shipment rate: < 4%
  • Valid tracking rate - all categories: > 95%

Order Defect Rate (ODR)

An order has a defect if it incurs a negative feedback, an A-to-z Guarantee claim, or a service credit card chargeback.
ODR = The number of orders with a defect ÷ The number of orders in the time period of interest
Target < 1%
 
Do’s
  1. Stop selling products which receive complaints regarding fake, counterfeit, etc.
  2. Proactively respond to customer queries
  3. Proactively respond or inform seller support
Don’ts
  1. Ignore customer claims
  2. Notifications sent to your seller account and to your registered email ID
 

Cancellation Rate (OCR)

OCR = The number of orders cancelled by a seller prior to ship−confirmation ÷ The number of orders within that time period
Target <2.5%
 
Do’s
  1. Stop selling products which are sold out and out of stock
  2. Change the quantities of items you don’t have to zero 
  3. Make the items inactive when they receive notifications for policy violation
  4. FBA will help you reduce this issue, sign-up for Amazon - DHL FBA logistics program here
Don’ts
  1. Leave items in inventory if you don’t have stock 
  2. Cancel orders without choosing the right reason or cancel large number of orders without informing seller support
 

Late Shipment Rate (LSR)

LSR = The number of orders with a shipping confirmation completed after the expected ship date ÷ The number of orders within that time period
Target <4%
 
Do’s
  1. Proactively inform customers that you have shipped the item
  2. Edit the fulfillment latency [production time, handling time (in days)] to the required number of days
  3. FBA will help you reduce this issue, sign-up for Amazon - DHL FBA logistics program here
Don’ts
  1. Confirm shipment without entering a tracking number
  2. List items when you do not have inventory
 

Return Dissatisfaction Rate (RDR)

RDR = valid return requests that were not answered within 48 hours, were incorrectly rejected, or received negative customer feedback ÷ valid return requests

Do’s
  1. Use the resolve button in the returns page to discuss the issue with customers – use the refund option if necessary
  2. Use the respond button to put in a public response to a customer response
  3. The seller app will help you with this; Download on Google Play - Link and Download on the Apple App Store - Link
  4. You can use a Return Service Provider (see process here) to manage returns within the US and UK - sign-up here
Don’ts
  1. Deliberately ignore return or refund messages on the notifications page
  2. Deliberately avoid offering refunds
 

Customer Service Dissatisfaction Rate (CSDR)

CSDR = "No" votes ÷ Total number of responses
 
Do’s
  1. Proactively respond to customer queries within 24 hours - the seller app will help you with this; Download on Google Play - Link and Download on the Apple App Store - Link
  2. Use the no response required option for all other comments
Don’ts
  1. Forget to offer responses
  2. Offer irrelevant information if you do not know the answer, inform the customer and seller support that you do not know that particular information
 

Policy violations

  1. Do not miss communications on the notifications page
  2. Includes warnings for performance or policy violations, as well as notices of account block or suspension
  3. Do not engage in Prohibited activities
 

On-Time Delivery (OTD) and Valid Tracking Rate (VTR)

OTD = Packages that buyers received by the estimated delivery date ÷ Packages that buyers received
 
VTR = Total number of packages you've shipped with a valid tracking ÷ Total number of packages you've shipped and confirmed
Target >95%
 
Do’s
  1. Use traceable shipping services
  2. Save the tracking numbers when confirming shipments
  3. FBA will help you reduce this issue, sign-up for Amazon - DHL FBA logistics program here
Don’ts
  1. Deliberately continue confirming shipments without tracking numbers
  2. Ignore customer negative feedback and notifications regarding poor customer experience 
If you are using carriers that are not integrated with amazon, even if you deliver on time customers will not know. Kindly uses these services or sign up with DHL: Link
Please note that amazon is integrated with these carriers:
  • UPS
  • UPSMI
  • USPS
  • DHL
  • DHL Global Mail
  • FedEx
  • FedEx Smartpost
  • OnTrac
  • Newgistics
  • Canada Post
  • Lasership
  • EUB
  • China Post & Logistic ePacket
Reference Page

How to deal with Account Suspension?

Start at the Appeal Page
 
While you monitor account health through the metrics mentioned here, you top priority has to remain
  1. Order Defect Rate (ODR)
  2. Late Shipment Rate (LSR)
  3. Cancellation Rate (OCR)
 
  1. Respond to warnings and submit appeals to suspensions
  2. Examples of Plan of Action are available on Seller Central (Appeal Page linked above)
  3. You can contact Service Providers who will help you with Plans of Action too - try 1800-419-7355 or email contactspn [at] amazon.com
 
If your account is blocked or suspended and if you will be able to rectify the issues but you want amazon to allow you to sell – ask seller support to reinstate your account as a FBA only account. Let them know that you will do only FBA shipping and not do any MFN shipping. Sign-up for Amazon - DHL FBA logistics program here
 
Account health videos: https://youtu.be/FpCHVLehTO8; https://youtu.be/18_xmHClmuM; https://youtu.be/UVv-wh5kJf8; https://youtu.be/pdvjHEUHA6M;
 
Seller performance videos: https://youtu.be/B4cu84O9h_Y; https://youtu.be/wrT2Q1TL_JY; https://youtu.be/2oJTaXU810I; https://youtu.be/Rjpa3UqZGnI; https://youtu.be/83RezeLvejw;
 
If you do not have an Importer Exporter Code (IEC) you can use a service provider to get it here

Service Portal for you to access all our service providers in one location. Login with your seller central credentials here: Site Link
This presentation will help you navigate the portal: Link

Do you need help with registering your AD code with Indian Customs authorities at the port of export?
Sign-up through this form: Form

Do you need support to get your overstock FBA inventory from USA to India?
Sign-up through this form: Form

Would you like to get Account Management Services such as Cataloging, Sponsored Product Optimization, Training and Personalized Account Management through an Amazon Partnered Provider?
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Would you like assistance with respect to tax compliance, Indian and US regulations and claiming export benefits?
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