Amazon Seller Rating Strategy – What is Amazon Seller Rating and Why You Need to Know About It
If you want to succeed in the Amazon marketplace, you must maintain and build a favourable brand image. Increasing your seller rating is one of the ways to enhance your reputation.
Since the Amazon marketplace is a place where only the best is good enough, you must control and keep your Amazon seller rating excellent to be successful on this site.
Let us learn more about the Amazon Seller Rating and see how it will help the seller’s journey in the Amazon marketplace.
What is Amazon Seller Rating?
Amazon seller rating is a system that guides and helps the sellers to sell according to Amazon’s core values. The system focuses on certain factors and has grades ranging from zero (0) to one hundred (100). These ratings are based on the customer’s overall satisfaction with the item’s quality and the seller’s overall performance within a year.
A seller who gets a perfect score means he and his store performs excellent customer service. While the seller who reaches zero means he is doing an extremely poor job in handling his customers.
Amazon rates its sellers based on several factors. But we will focus on the major contributors that affect the seller’s final rating on Amazon.
What are the key factors that Amazon uses to rate the sellers?
Responsiveness. Amazon values its clients a lot. It is vital for the company that the sellers represent their core value. Thus, the sellers must answer and address the customer’s inquiries immediately. Furthermore, the customer service should not stop after the customers purchase the products. But it should extend after the delivery of the products.
Delivery rate. This factor may be one of the most underrated factors on the list. But this factor boosts the sellers’ profile. An Amazon seller who can meet the delivery dates on time is a customer’s champion. One of the reasons customers will stop cancelling their purchases is if they receive their items on time.
Cancellation rate. No one wants to see a high cancellation rate on their business account. A company with high cancellation rates only shows that they either have a bad product, a bad service, or it can be both.
This is not what Amazon wants to happen to its sellers. Amazon needs its sellers to perform exemplary service. This is because the seller’s performance is Amazon’s performance. How well or bad the store performs represents how well or bad Amazon is.
Chargeback rate. There are several types of chargebacks on Amazon. But the chargeback rate of a seller rating refers to a payment reversal of a customer due to the following:
- 1. Customers who did not receive their orders.
- 2. Cards used in a single purchase were charged multiple times.
- 3. Dissatisfied customer who wants their money back
If you are an Amazon seller, these chargebacks may not seem reasonable enough to be the rating’s basis. But, since Amazon is customer-centric, the company pushes its sellers to provide 100% customer satisfaction. Thus, these chargebacks are important.
A-Z claim rate. Amazon’s A-Z claim rate covers all orders with a corresponding valid claim in sixty days. This number will then be divided by the total number of sales made in the same period.
However, this claim rate does not cover any claims in which Amazon ruled that you were not to blame for the issue, nor if the claims fall under the A-to-z Claims Process for Property Damage and Personal Injury.
Customer feedback and reviews. Your buyer’s feedback and reviews also contribute to the seller ratings as these represent the customers’ voice. As much as possible, attain and address every customer’s concern. A great customer service skill, not refunds, is your best weapon to control your customer’s feedback and reviews.
The factors listed above must be met entirely to keep your Amazon seller account healthy. But, always keep in mind, though, that these factors have different weights. For instance, the cancellation rate may weigh more than responsiveness. Regardless, you must have a good score on these performance indicators to ensure an exceptional final grade.
What are the benefits of having a good Amazon Seller Rating?
- Free Promotion. Because your performance is in line with Amazon’s core value and mission, the company will likely favor you over the others. This means that Amazon will more likely promote your products more compared to your competitors.
- Amazon Buy Box Feature Availability. Amazon Buy Box is a premium feature on the product detail page that allows the customers to add multiple items directly to their cart. This feature can only be availed by those sellers who have excellent overall seller ratings.
To give you a better idea of why Buy Box is a premium feature, the buy box is responsible for eighty percent (80%) of Amazon’s marketplace’s sales.
Amazon’s innovative system automatically picks up sellers with excellent Amazon seller ratings. In addition to that, the products sold must be of good quality with a reasonable (if not affordable) price.
- Valuable Partnerships. With the tight competition inside the Amazon marketplace, selling becomes art on how to attract customers. The only catch is, the basis of its performance is your seller rating. Because you already have established a reputation, you can easily keep the existing customers and attract new ones.
Your seller rating becomes your edge over your competitors.
- Feedback Boost. Customer feedback is one of the most challenging metrics to meet. It is because you can’t please everyone. Plus, you can’t force your buyers to leave good feedback as well.
But if your customers are happy and satisfied with your products and services, they will definitely leave a good review. The feedback that you will be getting from your buyers will also put you on top of the game.
You might also want to read Starting Business on Amazon: Top-5 Risks You Need to Avoid.
Frequently Asked Questions
Is account health the same as the seller rating?
No. Though there are some instances that people think that their account health is good because they have an excellent seller rating, account health indicates your performance based on Amazon’s selling policies. The account health report focuses primarily on policy violations. While the seller rating focuses on how well you handle your customers from the day they inquire to the day after they received the item they purchased.
Are Amazon Seller Rating and Feedback Rating the same?
No. Amazon Seller Rating is an internal rating used by Amazon to grade you as a seller. While the Feedback Rating refers to your customer’s feedback about your product price, quality, your service, and even delivery.
Can I reset my Amazon Seller Rating?
No. But the rating is computed based on your yearly performance. What you can do instead is to ensure that after you receive your rating, you will start selling while targeting the key factors affecting the Amazon Seller Rating.
Several factors will determine how well you do in the Amazon marketplace. But if you will tap your products’ price and quality with customer service while following Amazon core values, there is no doubt that your seller rating will increase.