Order defect rate

The Order Defect Rate (ODR) is an important metric on Amazon that measures a seller's ability to provide a good customer experience. It is calculated based on three components:

1. **Negative Feedback Rate:** This is the percentage of orders that have received negative feedback from customers. One- and two-star ratings are considered negative. The Negative Feedback Rate is calculated based on the number of orders with negative feedback divided by the total number of orders in a relevant 60-day period.

2. **A-to-z Guarantee Claim Rate:** This represents the percentage of orders with A-to-z Guarantee claims divided by the total number of orders in a given 60-day time period. A-to-z Guarantee claims are filed by customers when they have issues with their orders that they believe haven't been resolved satisfactorily by the seller. Claims that result from canceled orders or claims that are denied or withdrawn by the buyer do not impact the ODR.

3. **Credit Card Chargeback Rate:** This is the percentage of orders that have received credit card chargebacks divided by the total number of orders in the relevant period. Credit card chargebacks occur when buyers dispute a purchase charged to their credit card. Chargebacks can be related to issues such as non-receipt of items, non-refunded returns, or receipt of damaged or defective products. Amazon distinguishes between fraud chargebacks (related to stolen credit cards) and service chargebacks (related to problems with the purchase). Only service chargebacks count against the ODR.

To maintain good standing on Amazon, sellers are required to maintain an ODR under 1%. An ODR above 1% may lead to restrictions on selling privileges, including suspension of seller-fulfilled offers. Sellers are encouraged to monitor their ODR regularly and take corrective actions to avoid exceeding the 1% threshold.

If a seller's seller-fulfilled offers are at risk of deactivation due to a high ODR, they may have the opportunity to take a quiz to avoid deactivation. Eligible sellers will see this option in the banner at the top of their Account Health page. Passing the quiz can prevent deactivation and the need for a plan of action (POA).

If a seller's seller-fulfilled offers have already been deactivated due to not meeting the ODR requirement, they can follow the appeal path from Seller Central's Account Health page by clicking "Submit Appeal" and following the online instructions to submit a Plan of Action (POA) for reinstatement.

It's important for sellers to actively manage their ODR by addressing negative feedback, handling A-to-z Guarantee claims effectively, and resolving credit card chargeback issues. This helps maintain a positive customer experience and compliance with Amazon's performance targets and policies.