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Amazon Guide 2/3

Amazon seller account : 5 techniques to improve your customer metrics

How does it work ?

Amazon evaluates sellers and establishes a seller score based on performance targets for sellers. This score is based on multiple factors with the objective of offering the best possible customer service. This evaluation takes into account the time taken to respond to customer’s, the shipment of orders that are on time, late, or cancelled, payment disputes, A-Z Guarantee claim, negative feedback...

There is no need to hesitate to call Amazon Seller Support if you need to improve your product catalog (to modify product sheets, categories etc…). The seller may open a case in order to be contacted via the phone by Amazon.

The message board for Amazon sellers still needs to be improved.
You should utilise Amazon Messenger daily,you may also use your own messaging tool or a CRM tool.

Tip : You should check messages pertaining to Amazon and mark them as read (certain emails must be marked as read, or you risk a contract violation on the seller central)

The report takes into account multiple determining seller performance targets, below are the key factors :

  • The Order defect rate (ODR) : this is the percentage of orders that have received negative feedback, claims based on the A to Z warranty, or payment disputes.
  • The refund rate

* Order defect rate : number of defective orders / number of orders (generally concerns orders no older than 30 days)

* Refund rate : number of orders that have been refunded by the seller divided by the total number of orders within a certain time period

These rates must be monitored as Amazon have capped rates that you must not exceed.

* The order defect rate must be inferior to 1%,

* The cancellation rate of orders prior to order processing must be inferior to 2.5%,

* The rate of late shipments must remain inferior to 4%.

If a rate is surpassed, it is necessary to immediately send a mail to the seller support with a plan of action whose goal it is to correct the exceeded rate to improve client satisfaction.

To obtain your performance metrics, click here

The seller must keep an eye on the rate of order cancellations and monitor this rate/p>

Tip : there are solutions available that prevent the seller from going over the maximum rate of cancellations : confirm the shipment, cancel and reimburse the order (the risk is that you lose the amount of the commission from Amazon)

It is important to monitor and anticipate late orders

Tip : the seller can let the customer know that the shipment will be delayed, in order to not go over the 4% rate, even if the order has not been shipped. The seller will need to publish on their Amazon seller account that their orders will be delayed.
- The safest option is to add at least an extra day to the delay of the order preparation in order to avoid having late orders.

An order is considered to be defect if the seller has received a negative review, an A to Z guarantee claim, or a service chargeback.

* Amazon considers that reviews with 1 or 2 starts are negative reviews

The seller can decrease this rate using multiple methods, for instance :

- Monitor the negative reviews: the rate of negative reviews is taken into account when calculating the order defect rate. It may be worthwhile to contact a customer that leaves a negative review and to offer them a solution or propose a kind gesture so that they may remove their negative review.

Tip : it is possible to contact Amazon’s seller support line in order to remove undesirable reviews :

  • If the review is in regards to the product and not the transaction
  • If the review is abusive or has threatening language
  • False reviews (the date of delivery being late if for example the seller has proof that it was not)

- Encourage customers to leave reviews.
It is important to obtain positive reviews to make up for the negative ones. A message that solicits the customer to leave an opinion will suffice, but it is a good idea to send it at the same time as the invoice or when the product is received.

- Avoid A to Z guarantee conflicts : The A to Z guarantee allows the customer to protect their purchases regarding both the state of the delivery and the delay. If any aspect of this is not satisfactory, the customer may demand a refund.
In the event that an A to Z guarantee is activated, the seller is obligated to respond to the customer within 48h. It is important to remain compliant and to avoid entering a conflict with the customer.

New features on Amazon:

for the configuration of late orders, to avoid late deliveries add an additional day to the delay of delivery.

The rate of response should remain inferior to 24h, no matter the day of the week : even Saturday and Sunday, and public holidays. It is imperative to track messages on a daily basis.

Tip : The most reliable solution is to configure the reception of messages so that an automated email is sent to the Amazon clients. These e-mails should be put in place ideally for weekends and public holidays.

It is crucial to remain within the rates that are imposed by Amazon to optimise your results. As Amazon is able to suspend your seller privileges at any moment.

The review equally allows for the promotion of the seller compared to other sellers and is one of the key factors taken into account for winning the Buy Box.