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Minimizing your Pre-fulfillment Cancellation Rate

December 25, 2021 By Amazowl Team

Seller Performance; Optimize account health Optimizing Account Health through Shipping Performance Minimizing your Pre-fulfillment Cancellation Rate

Seller Performance; Optimize account health

Transcription

The cancellation rate or CR applies only to seller fulfilled orders. It’s a percentage of the orders that a seller has canceled prior to shipment. It measures the canceled orders against the total orders over a seven day period. If you are self fulfilling, it’s a metric that includes all order cancellations initiated by you, the seller, after a customer order has been placed.

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It doesn’t include those orders that have been requested by the customer to be canceled using the order cancellation option. It also doesn’t include pending orders that are canceled by the customer directly on Amazon. Remember, this is a metric of your seller performance, so it’s measuring the orders you are canceling prior to shipment.

It’s important to ensure that the products you have listed on Amazon are in stock and available to ship. When you cancel an order or items within an order prior to fulfillment, it’s usually because the product is out of stock. Of course, some percentage of stockouts might be unavoidable In normal business practice and hitting the right forecast numbers can be a challenge to maintain satisfactory in stock levels, but high cancellation rates can negatively impact the customer’s perception of your brand.

Amazon has set a target for sellers to maintain a CR of under two and a half percent in order to sell on Amazon. A CR above two and a half percent may result in account deactivation. You can either view your CR on the Seller Central platform or download a report. Just go to the account health page in the shipping performance section, click view details. Select the cancellation rate tab, scroll down to access to download report button.

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