What is the Amazon High Return Rate Product Tag? What are the impacts?

Amazon has recently started displaying "Frequently Returned Items" tags on certain product pages to deter some picky customers, saving costs while also conserving customers' time. Today, we'll delve into the detailed analysis of the High Return Rate Product Tag and the impacts of being labeled with this tag.

1. What is the High Return Rate Tag?

Amazon will display a "High Return Rate" tag on products with a return rate higher than the average level. In other words, Amazon calculates the average return rate of products in a category in advance, and once a seller's product return rate exceeds this average, it may be marked as a high return rate product.

2. How is the High Return Rate Determined?

According to leaks from foreign websites, the determination of the high return rate tag may follow these three rules:

◾️If a seller's product return rate is higher than the average return rate, it will be monitored by Amazon.

◾️If the return rate is in the highest 25% above the average, it will be labeled as a "High Return Rate" tag, and all buyers will see this tag prompt when placing orders.

◾️For brands, only products with sales exceeding 250 units in the past year will be considered for inclusion in this tagging system, so the main products affected are those with high sales and high return rates.

3. What are the Impacts of Being Labeled as "High Return Rate Product"?

◾️Once labeled with the "High Return Rate" tag, all buyers will see this tag prompt when placing orders, greatly diminishing the impression of the labeled products. Consequently, the order volume of labeled products will decline sharply. This is undoubtedly a severe blow to the brand.

◾️Sellers need to spend more time handling high return rate products, increasing workload inadvertently.

◾️Amazon may adjust a seller's store ranking based on their return rate and other indicators. A high return rate could lead to a decrease in store ranking.