Order Defect Rate (ODR) is a very serious issue for the sellers in Amazon. Sellers with defective items loss their reputation in the market very easily. And for every business reputation is the prime source of generating traffic. Being the largest online trading platform in the world, Amazon has to take care of customers’ concern to keep itself reliable and comfortable and continue to serve as an easy shopping paradise for its customer.
ODR is the percentage of A-to-z claims including negative feedback and service chargeback, divided by the total number of orders in fixed time frame. As per the Amazon’s policy, ODR should be below 1%.
If your ODR is above 1% for a consecutive period of time, then you will lose the Buy Box automatically for all of your products, except FBA products.
Amazon can suspend or terminate the seller account straight away and in order to pay the refund, it may hold the payments also irrespective of the size and popularity of the seller.
There is a saying, “Think to be the best but be prepared for the worst”. It s advisable to be prepare for facing odds in business. You may face complains from the customers not because of your faults but for some unpredictable circumferences as well. In any case, you can reduce and keep your ODR below 1% with a little effort and using the valuable tools offered by Amazon itself. Amazon Dashboard and FBA are such tools. With these you can reduce your ODR and continue selling in Amazon.
Each Amazon seller has his own personnel Amazon Dashboard to review his performance at any time. Just clicking on Performance Over Time, sellers can monitor their performance over 12 months, both in percentage and in value. Amazon also used to monitor sellers performance exactly in this way. Thus using the dashboard, you will know how your account will be treated by Amazon and hence you can also monitor, control and take preventive action to keep your account safe.
The ODR is mainly impelled by A-to-z claims and negative feedbacks. You should regularly read all A-to-z claims and customer feedbacks very carefully and filter them. Do close analysis of what’s dynamic. Accordingly find a solution and work out directly to overcome it as soon as possible so that it can not impact on your rating.
Amazon FBA can become an useful tool to reduce ODR. Amazon is very strict when it comes to protect the customer experience. Using FBA you can meet Amazon’s expectations easily. FBA can help you to decrease your ODR very quickly and make all your products become eligible again. FBA can be used for a small group of your best selling products also, for a limited period of time or for the entire product range.
Also you may approach the Amazon Seller Support team if you need any help to reduce your ODR and improve your performance as a seller.