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Most Recent Information on Amazon Account Health Checkup to Boost Sales

Do you know that you may control the health of your Amazon account? Have you ever attempted to perform an Amazon seller account health che...

Amazon Account Health

Do you know that you may control the health of your Amazon account? Have you ever attempted to perform an Amazon seller account health check?


It's more crucial than ever to protect the health of your Amazon account because of the regular changes that Seller Central experiences.


Let's simplify everything today and talk about how to maintain the health of your Amazon account.



How can I obtain the health metric for my Amazon account?

Find out the health performance of your account:


·       Go to your seller central homepage.

·       Under Performance, click Account health.


Amazon seller account health

Introduction to Amazon Account Health Rating

You can keep an eye on the health of your Amazon account in Seller Central with the help of the Amazon Account Health Rating (AHR) tool. It depends on how closely you follow Amazon's guidelines for selling. It takes into account a few things, such as unsolved policy infractions on your account within a specific time frame.


For now, only professional sellers can access this page.


It is clear that Amazon desires that its merchants uphold appropriate account health in compliance with guidelines. You can now monitor the health of your account with a few tweaks from Amazon, and the retail behemoth promises that more improvements will be made to the policies.


As stated by Amazon:

·       It is imperative that you uphold a 'Good' account health rating and promptly resolve any policy infractions.


·       Should your AHR be classified as "Critical" or "At Risk," your account can be terminated.


You must follow by Amazon's policies, agreements, and other applicable guidelines to prevent such problems. In addition, you have six crucial account indicators to keep an eye on, three of which are critical.


The following are the top three measures along with their benchmarks:


·       Order defect rate < 1%

·       (Pre-fulfillment) cancel rate < 2.5%

·       Late dispatch rate < 4%


The Status of Your Seller Account

Amazon checks sellers' account data to make sure they're providing a great customer experience. If merchants don't meet Amazon's goals, Amazon takes action.


One of the following would be the current state of your Amazon account.


Active: You are able to sell things on Amazon, and you will receive payments (money) on time.


Under Review: You will have the ability to sell on Amazon. Nevertheless, money will be deducted from your account until Amazon reviews it.


Suspended: Your Amazon selling account is suspended and cannot be used to make sales. Additionally, money is temporarily withheld.


Metrics for Amazon Account Health

As previously indicated, Amazon sellers ought to concentrate on six crucial areas for development. Now let's examine the specifics.


Order Defects  Rate

A positive customer experience is measured by the Amazon Order Defect Rate (ODR). As a percentage of all orders placed during the previous 60 days, this comprises one or more faulty orders.


An order is flawed if it causes:


·       Negative feedback

·       Credit card chargeback

·       A successful A-to-Z claim


According to Amazon’s policies, sellers should maintain an ODR under 1% to sell on Amazon. If their ODR is above 1%, it may result in account deactivation. 


Rate of Cancellations

The percentage of orders canceled by sellers for orders that are fulfilled by sellers is known as the Cancellation Rate (CR). It is measured over a specified seven-day period.

All order cancellations that the seller initiates are included in this measure. Your cancellation rate won't be impacted if a customer cancels an order that is still pending.


Sellers are required by Amazon rules to keep their CR below 2.5% in order to sell on the platform. Account termination may occur if the cancellation rate exceeds 2.5 percent.


Rate of Late Dispatch

The number of orders whose shipping confirmations are posted after the scheduled delivery date is indicated by the Late Dispatch Rate (LDR). Both a 10-day and 30-day period's total orders are used to calculate the LDR as a percentage. This measure is for orders that are completed by sellers.


For customers to be able to view the status of their sent orders, Amazon sellers must confirm the order shipment by the anticipated shipping date. Orders that are confirmed after the shipping date may result in a bad customer experience, a rise in customer contacts, negative reviews, and/or claims.


Sellers must keep their late dispatch rate below 4% in order to sell on Amazon, per Amazon rules. Anything over this cap could result in an Amazon warning or the deletion of your account.


On-Time Delivery Rate

All shipments that are delivered by the estimated delivery date are measured by the On-Time Delivery Rate (OTDR). It is computed as a proportion of all shipments that have been traced.


Only orders fulfilled by the seller are included in this measure.


Amazon recommends that in order to deliver a positive customer experience, vendors keep their OTDR over 97%. Currently, merchants who are unable to fulfill this condition will not be penalized.


Valid Tracking Rate

The percentage of all shipments with a valid tracking number is known as the Valid Tracking Rate, or VTR. This is calculated over a specified thirty-day window. Only orders fulfilled by the seller are included in this measure.


Rate of Return Dissatisfaction

Your clients' level of happiness with their return experience is gauged by the Return Dissatisfaction Rate (RDR). A negative return experience is deemed to have occurred if:


You don't reply to a return request within 48 hours (late response rate), you obtain unfavorable feedback from customers (negative return feedback rate), or a return request is wrongly rejected (invalid rejection rate).

All negative return requests expressed as a proportion of total return requests determine your RDR. Sellers are advised by Amazon to keep their RDR below 10%.


Rate of Invoice Defects

Amazon included the Invoice Defect Rate (IDR) in their account health metrics in June 2020. This metric's primary goal is to assist third-party sellers in monitoring the invoicing services they offer to Amazon Business clients. For accounting and tax purposes, these clients require tax invoices or receipts.


The percentage of orders placed by Amazon business customers for which you haven't sent a digital tax receipt (or invoice) within a day of the shipment confirmation is known as the Amazon IDR. This must adhere to the billing guidelines set forth by Amazon Business.


Final Thoughts

As you are aware, scaling on the market requires a thorough evaluation of your Amazon account. Regularly performing an account health assessment helps you stay aware of any problems or weaknesses with your listing.

Read More:

Amazon Compliance Documents: Important Information for Sellers

How To Increase Conversions in Several Marketplaces by Providing Quick Shipment

E-commerce SEO Essentials: Optimizing for Online Retail Success

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