How to Check Amazon Account Health? What Are the Factors?
The health of an Amazon seller account directly impacts future business plans. Therefore, to become a qualified Amazon seller, understanding the health status of the Amazon account is crucial.
How to Check Amazon Account Health
First, log in to your Amazon Seller Central account. On the dashboard or homepage, you will find summary information regarding your account's health status. This may include an overview of metrics such as Order Defect Rate, Cancellation Rate, Late Shipment Rate, Valid Tracking Rate, etc. Navigate through the menu to find options like "Business Performance" or "Account Health." Here, you'll typically find more detailed data, including specific values for each metric and how they compare to Amazon's standards. Review detailed reports for each metric to understand your account's performance in different areas, including Order Defect Rate, Cancellation Rate, Late Shipment Rate, Valid Tracking Rate, and others.
Factors Influencing Amazon Account Health
- Order Defect Rate (ODR): Negative feedback, A-to-Z claims, or service credit card chargebacks contribute to the Order Defect Rate. ODR is calculated as the percentage of orders with defects divided by the total number of orders in the current period. The rate should not exceed 1%.
- Contact Response Time: Sellers must respond to buyer messages within 24 hours to maintain a high level of service. Slow responses can lead to negative feedback and impact account sales.
- Valid Tracking Rate: Sellers must provide valid tracking numbers for shipped orders. The percentage of invalid tracking numbers should not exceed 5%.
- Cancellation Rate: Cancellation rate is determined by the actions of both sellers and buyers. It should not exceed 2.5%, calculated as the number of canceled orders divided by the total number of orders in the current period.
- Late Shipment Rate: Late Shipment Rate is based on orders marked as shipped or provided with a tracking number after the expected ship date.
- Return Dissatisfaction Rate (Beta): This measures customer dissatisfaction with returns, including negative feedback on returns, late response to return requests, and invalid rejection of return requests.
- Negative Return Feedback Rate: This is the percentage of negative feedback received for return requests, with each negative feedback impacting the seller's score.
These factors influence the health status of an Amazon account. It's essential for sellers to monitor these metrics regularly to ensure a healthy account and successful business operation.