Should you be worried when your ODR exceeds the 1% target?
Many Amazon Sellers are contacting me through my OnlyFans page daily, seriously worried about their Seller Accounts being labelled as ”At Risk” of deactivation. But does this orange warning status actually mean anything bad? Learn more in this article!
Amazon has their minimum performance targets for Order Defect Rate, Cancellation Rate, Late Shipment Rate and many other metrics. Whenever a Seller Account exceeds the maximum permissible defect rate, a warning will appear.
Typically, the affected seller will also receive the following e-mail from Amazon Seller Performance:
| Warning: Your order defect rate is higher than 1% Hello, We have identified that your Order Defect Rate has exceeded the target rate. If this problem continues, it may result in account deactivation. Why did I receive this message? We have taken this measure because your Order Defect Rate has exceeded the target of 1%. Order Defect Rate is the percentage of all orders that result in negative feedback, an A-to-z Guarantee claim that is not denied, or a credit card chargeback out of total orders during a given 60-day time period. Amazon’s Order Defect Rate policy can be found at: https://sellercentral.amazon.com/gp/help/200285170. We’re here to help If you have questions about this policy or your account, or believe that this was sent in error, please contact us at https://sellercentral.amazon.com/cu/contact-us. What can I do to avoid account deactivation? Please ensure that you no longer violate the above policy. Review your orders to determine the cause of the issues contributing to your Order Defect Rate. You can appeal any A-to-z claim, negative customer feedback, or service chargeback that you believe should not be counted in your Order Defect Rate by visiting the following links: — Appeal A-to-z Claims: https://sellercentral.amazon.com/gp/help/G202041210 — Request removal of seller feedback: https://sellercentral.amazon.com/gp/help/20231 — Appeal Chargeback Claims: https://sellercentral.amazon.com/gp/help/202145040 You do not need to submit a plan of action to us at this time. You can view your account performance at https://sellercentral.amazon.com/performance/dashboard?reftag=ah_em_op or by selecting Account Health on the home screen of the Amazon Seller app on your iOS or Android device. The Account Health page shows how well your account is performing against the performance metrics and policies required to sell on Amazon. Sincerely, Seller Performance Team Amazon.com http://www.amazon.com |
In regards to Order Defect Rate, Late Shipment Rate or Cancellation Rate, if you are a small seller, your metrics will typically greatly exceed the targets following a single defective order. Seeing this on your Account Health Dashboard can be quite alarming.
However, please note that no Seller Account will get suspended over 1-2 or 3 defects. Amazon can see, that you are a small seller. Even if you have a 50% Order Defect Rate with 1 defective order out of two, you are not worse off than someone with an 1.02% ODR!
Many Amazon Sellers wrongly believe, that the best approach is to try to get into touch with the buyer at all costs and make them withdraw the A-Z claim or negative feedback. They are trying to achieve this by offering free items, full refunds or even extra credits issued on the top of a full refund.
Doing this is a terrible idea, as it can be picked up by Amazon’s automated bots as a serious violation of their Seller Code of Conduct. My advice is to never contact buyers who left a negative feedback or opened a valid A-Z claim in an attempt to have the defect removed. The best thing you can do is avoid getting additional defects and complaints by learning from your mistakes and implementing preventative measures.
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The United States Patent & Trademark Office is being swamped by trademark applications (about 900,000/year, or 3x the level 20 years ago). Many of these applications are solely concerned with getting trademarks for Amazon sellers … and not just because of Amazon’s hundreds of millions of customers. Amazon’s own policies have a lot to do with it.
How so? Amazon incentivizes sellers and manufacturers to trademark their brands to join Amazon Brand Registry, which not only grants IP protection but also unlocks special marketing powers including Amazon stores, analytics, special advertising programs, and more.
Many of the brands flooding USPTO for trademark requests are Amazon sellers from China.
Most of the Amazon brands are filing trademark applications to take advantage of Amazon Brand Registry marketing programs, and do it by following the law (even if the brands seem a little odd, like SDITLF or MUWRIL). But some FBA sellers are breaking the rules, aided by sketchy lawyers and overwhelmed USPTO staff. There was a case earlier this year in which someone from China registered GENERIC as a trademark … and promptly kicked off thousands of sellers selling generic items on Amazon.
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Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.
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Amazon is trying to make sellers use their new ocean freight service for FBA shipments from China
Today, Amazon e-mailed their third party sellers to promote a new service called Amazon Global Logistics (AGL) aimed to offer reasonably priced shipments.
According to the announcement, Amazon Global Logistics (AGL) offers FBA Sellers end-to-end shipping services via ocean transportation options from CN into EU and US fulfilment centres and/or SPs’ own warehouses that can be conveniently booked through Seller Central or Shipper Central. AGL shipping services includes shipment pick-up in origin, palletization (if required), export/import customs clearance, and domestic delivery in the destination country.
This is the first time Amazon started offering AGL directly to sellers. It will also include the option of shipping to your own warehouse through our Ship-to-Storage (STS) program. STS allows you to ship ocean full-container-load (FCL) cargo with Amazon Global Logistics (AGL) from China to your designated, non-Amazon storage facility.
Here you can view a screenshot of the full announcement from agl1-eu-sales-team@amazon.com:
Here is a copy of the full text:
| Onboard now with Amazon Global Logistics for global ocean shipping! Dear Seller, Amazon Global Logistics (AGL) offers FBA Sellers end-to-end shipping services via ocean transportation options from CN into EU and US fulfilment centres and/or SPs’ own warehouses that can be conveniently booked through Seller Central or Shipper Central. AGL shipping services includes shipment pick-up in origin, palletization (if required), export/import customs clearance, and domestic delivery in the destination country. We also give you the option of shipping to your own warehouse through our Ship-to-Storage (STS) program. STS allows you to ship ocean full-container-load (FCL) cargo with Amazon Global Logistics (AGL) from China to your designated, non-Amazon storage facility. What are the benefits of AGL services · Save Time: Deliver products faster by shipping directly from SPs’ manufacturers in China to fulfillment centers and/or 3rd party warehouses. · Reduce Costs: Lower inventory handling costs through a more efficient supply chain management. · Ship with confidence: Book shipments with predictable and efficient shipping schedules at competitive rates. · Simplify operations: Use a single portal to create, book, track, and pay for shipments. How to get started There are three simple steps to get started. Set up your payment method choosing the currency in which you wish to pay The second step is to create your Importer of Record (IOR) profile. You will need to create an Importer of Record profile for each country you would like to import to. Please select the following links based on the destination country you plan to ship to; (Portal Link: UK, DE, FR, IT,ES). Once your IOR profile has been approved, you will be able to place your first booking. You can find our latest booking guides by marketplace here; (Booking Guide Link: UK, DE, FR, IT, ES). Helpful resources: Download our Getting started guide Download our Container Checklist guide here Kind regards, The Amazon Global Logistics Team Amazon.com | EU agl1-eu-sales-team@amazon.com |
I hope you found this update helpful. Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment!
Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.
If you are an Amazon Seller who needs help with any Amazon-related issues such as suspensions, listing blocks or is looking for professional assistance, please don’t hesitate to subscribe to my new OnlyFans page at: www.onlyfans.com/kikaangelic
In case you are an Amazon Seller who needs help with Seller Identity Verification on Amazon, please feel free to watch my most detailed video on the subject, addressing all common questions:
This week, Amazon e-mailed their third party sellers regarding FBA inventory stored in the AFW1 warehouse, which was damaged due to severe weather causing structural damage to that facility, forcing it to close. It is expected to remain closed until at least the end of April 2023.
According to the notice, Amazon will be soon reimbursing sellers for any lost and damaged inventory, adjusting their IPI Score or refunding storage fees.
Here you can read a copy of the full announcement:
| Important update regarding your inventory at AFW1 Hello, Our records indicate that you have inventory at, or on the way to, our AFW1 fulfillment center. On December 13, 2022, severe weather caused structural damage to that facility and we were forced to close. We expect to remain closed until at least the end of April 2023. We understand this has affected your business and will work to provide the most up-to-date information. Below are other important updates for your inventory stored at AFW1. 1. While AFW1 is closed, we are unable to fulfill customer orders with inventory stored there. Once AFW1 is operational again, we will evaluate the condition of your inventory to determine if it is sellable. We expect the fulfillment center to remain closed until at least the end of April 2023 and will communicate further details on sellable inventory as we know more in the coming weeks. Inventory will be evaluated based on the inventory adjustments policy (https://sellercentral.amazon.com/help/hub/reference/external/G200453260). If you don’t agree with the Amazon valuation of a unit, you can file a claim using the Contact Us page in Seller Central within 90 days after we issue the reimbursement. If we determine your inventory was damaged by this incident, we will reimburse you per our FBA inventory reimbursement policy (https://sellercentral.amazon.com/help/hub/reference/external/G200213130). You will be able to track your refund by accessing your Reimbursements report (https://sellercentral.amazon.com/reportcentral/REIMBURSEMENTS/0). 2. We will refund the storage fees for any inventory affected by this closure. Storage fees from December and January will be reimbursed by March 15. You may see storage fees associated with affected inventory from February-April, which will be refunded on a monthly basis until AFW1 is operational. 3. For shipments already sent to AFW1, Amazon will continue to redirect them to a nearby fulfillment center at our cost. 4. For any inventory that has been redirected or is currently available in other fulfillment centers, those listings will remain sellable and we will fulfill customer orders with the available units. Any new shipments will go to a fulfillment center that can currently fulfill customer orders. If stranded inventory impacted your ability to sell, we will contact you with additional information and details. 5. If your Inventory Performance Index (IPI) score is being affected by this closure, we will ensure your capacity limit is not negatively affected and will allow you extra capacity if necessary, beginning now and for at least 13 weeks after AFW1 is reopened. We’re aware that the stranded inventory can impact your IPI score and this incident was out of your control. We will share further details in the coming weeks to help navigate this situation. Action requested: If you have created shipments planned for AFW1, but have not sent them yet, please delete these shipments and re-create them. A new shipping destination will be automatically assigned during the creation of the new shipment. For additional details, go to “FAQ for the AFW1 closure”: https://sellercentral.amazon.com/help/hub/reference/external/G5HFTYE2FWA3N7G6 We are still actively investigating this incident and will update this page and share more details with impacted sellers as we have more information. We apologize for the inconvenience, and thank you for your understanding and patience. The Fulfillment by Amazon team |
I hope you found this update helpful. Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment!
Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.
If you are an Amazon Seller who needs help with any Amazon-related issues such as suspensions, listing blocks or is looking for professional assistance, please don’t hesitate to subscribe to my new OnlyFans page at: www.onlyfans.com/kikaangelic
In case you are an Amazon Seller who needs help with Seller Identity Verification on Amazon, please feel free to watch my most detailed video on the subject, addressing all common questions:
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