Overview

Amazon tracks the Order Defect Rate (ODR) for every seller to gauge the quality of fulfillment and customer service. An ODR above 1 % can trigger account suspensions, reduced visibility, and loss of promotional eligibility. Keeping the metric under the threshold is essential for maintaining a healthy seller account and competitive rankings.

Key Points

• ODR Threshold — Amazon requires sellers to stay below a 1 % defect rate, or risk account penalties.
• Defect Sources — Returns, A‑to‑Z Guarantee claims, chargebacks, and negative feedback all feed into the ODR calculation.
• Impact on Rankings — Low ODR scores boost search placement and eligibility for lower fees, while high scores suppress visibility.
• Monitoring Tools — The “Account Health” page in Seller Central displays the current ODR and its components in real time.
• Proactive Fixes — Promptly addressing negative feedback, ensuring on‑time free shipping, and tightening holiday fulfillment can shave points off the defect rate.

How to Improve Your Amazon Order Defect Rate

1. Audit Recent Defects — Pull the last 30 days of defect data from the Account Health dashboard; for example, identify that 4 out of 350 orders were flagged for missing items, yielding a 1.14 % ODR.
2. Root‑Cause Analysis — For each defect type, trace the underlying issue; a missing‑item case might stem from a warehouse pick error, while a chargeback could be linked to ambiguous product descriptions.
3. Implement Targeted Fixes — Adjust the picking workflow for the identified SKU, update the product listing to clarify dimensions, and set up an automated alert for any negative feedback received.
4. Enhance Shipping Practices — Switch to a carrier that guarantees on‑time delivery for high‑volume items and offer free standard shipping to eliminate cost‑related complaints; for instance, offering free two‑day shipping on a best‑selling gadget reduced late‑delivery complaints by 30 % in a pilot test.