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What is Amazon Performance Coaching?
When Amazon identifies shipment problems or repeated issues related to an FNSKU or ASIN, they provide coaching to help you understand and correct the problem. This service can play a vital role in maintaining high-quality standards and avoiding potential penalties that could impede your business growth on the platform.
Resource Optimization: Coaches help you use your resources efficiently, reducing the risk of issues like labeling errors, quantity discrepancies, and safety-related concerns. By avoiding these problems, you can maintain high levels of inbound performance and avoid consequences such as shipping suspensions or unplanned service fees due to necessary prep services.
What Are Performance Coaching Levels?
Performance coaching levels are assigned to Amazon sellers based on their shipment problem history over the past 120 days for each problem group. There are three main levels: Standard, Elevated, and Critical. Your level can affect your account health and potential for growth.
Standard level
In the Standard level, you’re keeping your problem rate below the acceptable problem rate or have exceeded it for less than 21 days. Your goals during this period should focus on maintaining your account health and launching new products to increase profits.
Elevated level
You move to the Elevated level when your problem rate exceeds the acceptable one for more than 21 days. At this point, it’s crucial to analyze your data and identify the root causes of your issues. Focus on resolving these problems to avoid further escalation and impact your sales.
Critical level
The Critical level is reached when your problem rate exceeds the acceptable rate for over 21 days after being raised to Elevated. This can be challenging, as Amazon will likely identify defects in your shipments, affecting your account health. To recover, you need to take immediate action, analyze your processes, and make the necessary improvements.
Joining a community of experienced sellers can provide valuable insights during challenging times, as they can share their expertise on dealing with performance coaching levels. It’s important to note that other marketplaces, such as Walmart, may have similar performance coaching systems; proactively addressing any issues will benefit your business in the long run.
To return to the Standard level, ensure your problem rate stays below the “acceptable” threshold for at least 120 days. Keep in mind that only sellers who send inventory during this period can have their coaching level lowered.
To sum up, staying on top of your performance coaching levels is essential for Amazon sellers to achieve profitable growth and maintain account health. Focus on resolving issues, analyzing data, and learning from the community to improve your standing and reach your goals.
How to Track Problems?
To view your issue frequency, permissible issue rate, guidance level, and the standards for each tier, follow these instructions:
- Navigate to your Shipping Queue and select Track shipment adjacent to the shipment showing issues.
- In the Summary page, access the Problems tab.
- Tap on View details and navigate to Coaching details to see your problem rate and the acceptable problem rate specific to that issue category.
Reminder: The current issue rate is determined by the date of shipment creation, so it may not account for shipments made in the past day.
Amazon computes the following issue rates over 120 days:
- Issue rate (shipment basis): Count shipments with issues divided by dispatched shipments.
- Issue rate (product basis): Count products with issues divided by the aggregate units sent.
Performance Coaching Problems
As an Amazon seller, knowing the potential problems and challenges you might face in various aspects of your business is crucial. Performance coaching can help address issues related to
- Product-Level Prep
- Labeling Problems
- Quantity Problems
- Box, Product, and Pallet-Level Safety Problems
- Box-Level Labeling Problems
Product-Level Prep
Regarding successful Amazon sales, product-level preparation plays a vital role. Proper preparation ensures your inventory meets Amazon’s standards and avoids unplanned prep charges. To maximize your profits and avoid issues, consider these key aspects during the preparation process:
| Problem group | Problem type | Coaching levels and actions |
|---|---|---|
| Unplanned prep – bagging | Poly bagging required, opaque poly bagging required | Standard: We may reach out through phone or email to help you understand the problems and suggest improvements if you are approaching the maximum acceptable problem rate. Elevated: FBA may ask you for a plan of action to correct the problems. Critical: FBA may suspend your ability to choose the prep owner, label owner, or both. Instead, Amazon will conduct prep, labeling, or both for the affected FNSKUs on your behalf and charge a per-unit fee. |
| Unplanned prep – bubble wrap | Bubble wrap required | |
| Unplanned prep – product related | Taping required |
Labeling Problems
It’s important for Amazon sellers to correctly label their products to avoid problems in shipping, inventory, listing, and product research. You must be aware of common issues and potential consequences as a seller.
Amazon Performance Coaching for Labeling Problems
As a seller, it is crucial to take these problems seriously to maintain optimal performance. Amazon may help you understand issues and suggest improvements if you approach the maximum acceptable problem rate.
| Problem group | Problem type | Coaching levels and actions |
|---|---|---|
| Other labeling problems – product related | Labeling required | Standard: We may reach out through phone or email to help you understand the problems and suggest improvements if you are approaching the maximum acceptable problem rate. Elevated: FBA may ask you for a plan of action to correct the problems. Critical: FBA may suspend your ability to choose the prep owner, label owner, or both. Instead, Amazon will conduct prep, labeling, or both for the affected FNSKUs on your behalf and charge a per-unit fee. |
| Label missing – product related | Amazon barcode missing, manufacturer barcode missing | |
| Incorrect label – product related | Barcode cannot be scanned, barcode is not accessible by scanner, unit mislabeled |
As a seller, you aim to avoid these consequences and ensure smooth operation by properly labeling your products, updating inventory listings, and conducting thorough product research. This will help you maintain a healthy relationship with Amazon and prevent unnecessary complications.
Quantity Problems
When dealing with Amazon Performance Coaching for Sellers, you might encounter quantity problems. This includes issues such as inaccurate box counts, discrepancies in item quantities, and unexpected items in boxes or shipments.
| Problem group | Problem type | Coaching levels and actions |
|---|---|---|
| Inaccurate box count | Inaccurate number of boxes | Standard: FBA will alert you to the problem in Seller Central and ask you to review and acknowledge help content related to the defect before you can create future shipments. If you are approaching the maximum acceptable problem rate, FBA may also reach out to you by phone or email to help you understand the problem and suggest improvements you can make to avoid exceeding the maximum acceptable problem rate. Elevated: FBA may ask you for a plan of action to correct the problem. Critical: FBA may suspend your ability to create new shipments to fulfillment centers for a period of time (between 24 to 120 hours). |
| Inaccurate item quantities in box | Inaccurate item quantity in box | |
| Unexpected items in box | Unexpected item found in box | |
| Unexpected items in shipment | Unexpected item found in shipment |
By paying close attention to these practices, you can maintain a healthy problem rate, promoting sustainable growth and success in your Amazon business.
Box, Product, and Pallet-Level Safety Problems
When shipping inventory to Amazon fulfillment centers, it is crucial to maintain a 0% problem rate for safety problems. This covers various aspects, including box-related, product-related, and pallet-related safety issues. Failing to meet these standards may result in coaching and, sometimes, suspension of your shipping privileges.
| Problem group | Problem type | Coaching levels and actions |
|---|---|---|
| Safety issues – box related | Shipping box overweight, shipping box oversized | Standard: FBA will alert you of the problem in Seller Central and ask you to review and acknowledge help content related to the problem before you can create future shipments. Elevated: FBA will alert you of the problem In Seller Central and ask you to review and acknowledge help content related to the defect before you can create future shipments. Critical: FBA will reach out to you to help identify and resolve the problems by asking you to provide a plan of action to correct the issues. Note that sellers with repeated occurrences of safety problems may be blocked from creating new shipments for a fixed period of time (between 24 to 120 hours). |
| Safety issues – product related | Sharp products hazard, electrical products hazard, spilled products hazard | |
| Safety issues – pallet related | Unacceptable pallet condition |
Keep in mind that repeated safety problems may lead to a temporary suspension of your shipment creation privileges for 24 to 120 hours. Therefore, it’s essential to prioritize box, product, and pallet safety when dealing with Amazon FBA shipments. Implement proper shipping and inventory management procedures to safeguard your account and maintain a seamless seller experience.
Box-Level Labeling Problems
When shipping products to Amazon FBA, proper box-level labeling is crucial for smooth and efficient inventory processing. Mistakes in labeling can lead to a higher problem rate, which may result in additional actions needed from you, the seller, to rectify the situation.
| Problem group | Problem type | Coaching levels and actions |
|---|---|---|
| Label missing – box related | Shipment ID was not included or is unscannable on shipping boxes | Standard/Elevated/Critical: FBA will alert you of the problem in Seller Central and ask you to review and acknowledge help content regarding the defect before you can create future shipments. |
Amazon provides coaching and alerts on box-level labeling problems through Seller Central. Acknowledging and reviewing the help content is essential to avoid future mishaps in creating shipments. These coaching levels are categorized as Standard, Elevated, and Critical, depending on the severity of the issue.
In summary, being mindful of proper box-level labeling helps improve your shipping process, inventory management, and product research efforts. This allows you to maintain a healthy seller performance and confidently grow your Amazon business.
Denes, with 20 years experience in logistics, holds a Logistics Manager degree from Budapest’s Logistics Association and has penned a thesis on mobile devices. Venturing into e-commerce, Denes specializes in Fulfilled By Amazon and passionately educates others about Amazon selling techniques.