How to Maintain Your Amazon Account Health
What is Amazon Account Health?
Amazon account health summarizes how well you are adhering to Amazon performance metrics.
Where Do I Check the Status of My Amazon Account Health?
You can closely monitor your Amazon account health by logging into your Seller Central dashboard. Hover over “Performance” in the menu banner and click on “Account Health.”
The Three Components of Your Amazon Account Health
1. Customer Service Performance
This is based on your order defect rate which should aim to be less than one percent (1%). There are three factors that determine this rate:
Negative feedback
A-to-Z guarantee claims
Chargeback claims
Negative feedback is when a buyer leaves a review of two or less stars about your product.
A-to-Z guarantee claims occur when a dispute between a buyer and seller is unresolved and buyer contacts Amazon to resolve it.
Chargeback claims can be avoided by shipping products to the verified address on the order and using a shipping carrier that provides integrated tracking with Amazon.
You can avoid negative feedback and A-to-Z guarantees by paying attention to the main reasons why customers react negatively toward your product. One of these reasons is not responding to messages within 24 hours. To improve your response time, use the buyer seller messaging tool to respond quickly. Better yet, download the Amazon Seller app to respond to messages when you’re away from your primary workspace. Another common reason for negative reactions is how returns are handled. Familiarize yourself with Amazon’s return policy. You can learn more by typing “Amazon Return Policy” in the Seller Central search bar. When handling returns, put yourself in the customer’s shoes and treat them the way you would like to be treated.
2. Product Policy Compliance
This component brings awareness to intellectual property issues, authenticity concerns, product conditions, and other policy violations. It is important to know the intellectual property laws governing the products you intend to sell.
One important item that falls under this component is product-related complaints. These are situations where customers have concerns about the products they receive. It is important to be prepared for these situations by (1) knowing and following the appeals process if you had items removed from the sales catalog and (2) maintaining invoices from a valid source of supply and all applicable safety compliance documents to increase likelihood of reinstatement.
Amazon strongly advises all sellers to monitor the product policy compliance section to address any specific compliance areas of the account health dashboard. Not addressing these issues can lead to warning or losing selling privileges from Amazon.
3. Shipping Performance
If you are selling with Fulfilled by Merchant, you must meet the following metrics:
Late shipping rate below 4% - The late shipment rate is the number of seller-fulfilled orders that are ship confirmed after the expected ship date divided by the number of seller-fulfilled orders in the time period of interest.
Pre-fulfillment cancel rate below 2.5% - Pre-fulfillment cancellations are those initiated by the seller prior to shipment confirmation.
Valid tracking rate over 95% - Valid tracking rate (VTR) measures how often you use valid tracking information for your packages.
If you are selling 100% with Fulfilled by Amazon, these metrics will not impact your account since Amazon manages them for you.
Check Your Performance Notifications
Visit your performance notifications by hovering over “Performance” in the menu banner in Seller Central and click “Performance Notifications.” This page will keep you up to date on any important alerts that could potentially affect your account health. You can respond directly to the notification with any concerns.
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