What is the order defect rate on Amazon?
The Order Defect Rate (ODR) is a key measure of your ability to present a fantastic customer experience. It includes all orders with one or more defects represented as a proportion of total orders throughout a given 60-day period of time.
- Negative Feedback Rate
- A-to-z Guarantee Claim Rate
- Credit Card Chargeback Rate
Amazon policy is that sellers maintain an ODR under 1% in order to sell on their platform. An ODR above 1% may result in account deactivation.
To view your ODR report and download your ODR report:
- Go to your Amazon Account Health page.
- In the Customer Service Performance tab section, click View details.
- Select the Order Defect Rate tab. Scroll down and click the Download Report button.
How does amazon calculate order defect rate?
Amazon ODR formula:
Amazon ODR = (Defected Orders / Total Order Received) x 100
Note: Defected Orders comprises damaged products, products with negative reviews, or failed orders.
For Example, An Amazon seller says Alex has received a total of 2000 orders in a span of 2 months (60 days). Alex failed to successfully deliver 4 orders, 10 customers requested a chargeback and 6 customers posted a bad review about Sam’s product.
Now for Alex, the total defected orders are 4+10+6 which is equal to 20. Now lets calculate the ODR 20 is divided by 2000 and the rate comes out to be 1%.
How to Improve Amazon Order Defect Rate(ODR):
- Respond to the Feeback at the earliest:
- Sell high-quality items:
- Focus on Providing an appropriate product description:
- Providing perfect Packaging:
- Focus on Providing Timely delivery and Shipping:
What happens if your Amazon ODR reaches above 1%?
In case your Amazon Order Defect rate rises more than 1% this means you’re facing some serious selling issues.
The first of several impacts you face is losing the buy box. All the buy boxes that you assert with the account are revoked as soon as your Order Defect Rate shots around 1% or above.
Second, you’ll lose all of the products you are liable for shipping. All the obligations you’re holding will be transformed into refunds for the consumers.
Lastly, and the worst-case scenario of Amazon ODR reaching more than 1& is Amazon can result in your Amazon Account Suspension. It doesn’t matter how big or successful a seller you’re, a rise of 1% dictate flaw speed can never be tolerated on a platform such as Amazon.
The ODR on Amazon is always the most important part of selling on amazon and taking a look at it from time to time surely makes sense.
The main factor is not reaching the 1% limit and if you reach it to take measures against it.
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