eSeller World – Amazon Marketing Agency

All You Need to Know About Amazon Account Health Rating

Introduction

Running a successful business on Amazon requires more than just listing great products—it’s about maintaining a strong reputation and ensuring your account stays in good standing. That’s where the Amazon Account Health Rating (AHR) comes into play. This crucial metric measures how well you’re meeting Amazon’s performance standards, from customer service to order fulfillment.

What is the Amazon Seller Account Health Rating (AHR)?

The Amazon Account Health Rating (AHR) is a metric used by Amazon to evaluate the overall performance and compliance of a seller’s account with Amazon’s policies. It reflects a clear indication of how effectively a seller meets Amazon’s standards in key areas like order fulfillment, customer satisfaction, and adherence to policy guidelines.

Why is Amazon AHR important for Sellers?

The Amazon Account Health Rating (AHR) is paramount for successful selling on the platform. A high AHR safeguards your selling privileges, preventing account suspensions or restrictions that can severely impact your business. By demonstrating reliable service, including timely order fulfillment and strict adherence to Amazon’s policies, a healthy AHR cultivates customer trust. This positive reputation enhances your visibility and drives sales growth. Ultimately, the AHR is essential for long-term success on Amazon, ensuring compliance and fostering a positive customer experience.

Key factors influencing Account Health Rating

Your account health rating is based on three key components: policy compliance, shipping performance, and customer service performance.

Policy Compliance:

Policy compliance refers to how effectively a seller adheres to Amazon’s rules, regulations, and guidelines. Amazon enforces strict policies to maintain customer satisfaction and ensure marketplace integrity. Sellers are required to consistently follow these policies to avoid penalties.

Examples of violations that impacy policy compliance:

  • Restricted product listings: Selling prohibited, unsafe, or restricted items.
  • Intellectual property infringements: Unauthorized use of trademarks, copyrighted material, or patents.
  • Account misuse: Creating multiple seller accounts without authorization or engaging in fraudulent activities.
  • Product authenticity issues: Listing counterfeit, mislabeled, or misrepresented products.

Shipping Performance:

Shipping Performance assesses how efficiently and reliably sellers fulfill orders, directly impacting customer satisfaction and AHR. Key metrics within shipping performance include the Late Shipment Rate (LSR)—the percentage of orders shipped after the promised date, which must stay below 4%, and the Pre-Fulfillment Cancellation Rate—the percentage of orders canceled by the seller before shipping, which should remain under 2.5%. To improve shipping performance, sellers can use Amazon’s Fulfillment by Amazon (FBA) service, accurately manage inventory to avoid stockouts and partner with reliable logistics providers for self-fulfilled orders. Timely and efficient order fulfillment is essential to maintaining a strong AHR and ensuring long-term success on the platform.

Order Defect Rate (ODR):

The Order Defect Rate (ODR) measures the percentage of orders that result in negative customer outcomes and is one of the most critical performance metrics on Amazon. ODR includes negative feedback, A-to-Z Guarantee claims, and chargebacks initiated by customers. Amazon requires sellers to maintain an ODR below 1% to stay in good standing. To improve ODR, sellers should deliver quality products as described, provide prompt and effective customer service, and use reliable shipping methods to avoid delays. A high ODR reflects poorly on the customer experience and can put the seller’s account at risk of deactivation.

How is the Amazon Account Health Rating determined?

The Amazon Account Health Rating (AHR) is calculated on a scale from 1 to 1000, with higher scores indicating better account health. The AHR is categorized into three color-coded statuses for easy assessment:

  • Green (200 – 1000): Healthy – Your account is in good standing.
  • Yellow (100 – 199): At Risk – Your account is at risk of deactivation and requires immediate attention.
  • Red (0 – 99): Unhealthy – Your account may be deactivated or is eligible for deactivation due to critical issues.

Maintaining a score in the green range ensures a strong AHR and reduces the likelihood of account-related disruptions.

How to find out your Account Health Rating?

To check your Account Health Rating, follow these steps:

  1. Log in to your Seller Central account.
  2. Go to the Performance tab.
  3. Select Account Health from the dropdown menu.

What happens if your AHR is low?

A low Amazon Account Health Rating (AHR) can have serious negative consequences for your selling business. The most severe outcome is the suspension of your selling privileges, which would prevent you from listing or selling products on Amazon, effectively halting your business on the platform. Even if your account isn’t suspended, a low AHR can result in selling restrictions, higher selling fees, or other penalties imposed by Amazon. Additionally, poor performance and customer dissatisfaction, reflected in a low AHR, can damage your brand reputation and erode customer trust.

How to improve Account Health Ratings?

Improving your Amazon Account Health Rating (AHR) involves focusing on several key areas that directly impact your performance on the platform. The first step is to ensure policy compliance. Familiarize yourself with Amazon’s policies and consistently adhere to them. Avoid listing restricted or prohibited products, and regularly review your product listings to ensure they comply with Amazon’s guidelines and do not violate intellectual property rights. This helps prevent account health issues related to policy violations.

Next, you should enhance your shipping performance. Timely order fulfillment is essential for a healthy AHR, so always stick to the promised delivery dates. If you’re looking for a more efficient way to handle shipping, consider using Fulfillment by Amazon (FBA), which streamlines the process and ensures faster delivery. Additionally, keeping your inventory levels well-managed helps avoid stockouts and reduces the chances of order cancellations, both of which negatively affect your account health.

Customer service performance is another critical area to focus on. Promptly responding to customer inquiries and resolving issues quickly can help prevent negative feedback. It’s also important to monitor and address customer feedback to ensure a positive buying experience. Efficient handling of returns and refunds can prevent customer dissatisfaction, which in turn protects your AHR.

To stay on top of your account health, you should regularly monitor performance metrics such as your Order Defect Rate (ODR) and Late Shipment Rate (LSR). Keeping a close eye on these metrics allows you to address any performance dips before they escalate into larger issues. If violations or issues do arise, submitting a detailed Plan of Action (POA) to Amazon can help. This plan should demonstrate an understanding of the problem and outline clear steps you’ll take to correct it and prevent it from happening again.

By actively addressing these areas—policy compliance, shipping performance, customer service, and performance monitoring—you can improve your Amazon Account Health Rating and maintain a strong, sustainable business on the platform.

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