Sometimes it can happen because of things that are out of your control or because of an external force.
But that doesn’t mean you have no control whatsoever over your defect rate.
Here we’ll explain everything you need to know about Defect Rate Management.
Click the video on the right to learn more!
Basically, when a buyer experiences a bad eBay shopping experience, this is marked as a defect.
Your eBay defect rate consists of the number of defects you’ve had which is then divided by the number of non-defective transactions. If you had 4 defects after selling 100 items, your defect rate would be 4%.
Your eBay defect rate affects your performance as an eBay seller. If it is bad, you can expect search penalties, selling limitations, eBay store downgrades and even higher fees. Keeping your defect rate as low as possible is one of the most important things you must do to succeed as an eBay seller. Here, we’ll take you through tips and tricks on how to avoid or remove defects from your eBay Seller Performance Standards (SPS) rating.
Firstly, you should know that there are two types of defects:
What does it mean?
This is when you have to cancel a transaction or refund the buyer because the item is out of stock.
How to avoid it?
You can enable the out-of-stock option at My eBay > Account > Site Preferences > Sell Your Item form and listings.
Once you do this, the item won’t appear on the buyer’s search results. Since a buyer can’t order what they can’t see, there are no risks of you being unable to fulfill that order.
HOT TIP! We recommend a Good ’Til Cancelled listing duration. Your listing will stay active until all of the items are sold or you choose to end it for another reason.
What does it mean?
This refers to cases where a buyer asks eBay to step in and resolve a dispute, and we determine the seller – that means you – are at fault.
How does this work?
The buyer has to report the issue within a time limit (generally 30 days of receiving / not receiving the item) and contact you first. You have many opportunities to resolve the problem. But if you don’t, and eBay decides in favour of the buyer, this counts as a defect.
Make this your mantra:
If a dispute is filed in the Resolution Center, be sure to respond within the deadline of 3 days.
Slow responses dramatically increase the chances of a customer getting upset. You must respond promptly before your feedback score and defect rate are irreparably damaged! Learn more about Customer Service Best Practices
Work things out with your buyer and find the best compromise to maintain your Seller Performance Standards.
Polite and speedy communication can help you avoid post-sale headaches
Make sure you choose a carrier that provides tracking numbers and conducts acceptance and delivery scans. Bear in mind, just because a parcel is listed as ‘Registered Mail’ does not mean the carrier is validated.
Take the initiative to message your buyers if you are aware of unexpected delays like natural disasters or strikes with your carrier. Inform them immediately once you know and make sure all your communication happens on eBay Messages or the Resolution Centre.
The 3 working days that you are given to reply to complaints refer to the calendar of the site you are listed on i.e. the US/UK/AU/GERMANY. So, you should be available to your buyers even if it’s a public holiday in your country.
Accepting returns costs time and money but you should do the right thing, especially if the fault is yours. A buyer who has returned an item and gotten a refund from you cannot complain that you did not resolve the situation. The more readily you accept returns, the better your defect rate.
Offer a partial or full refund to appease your buyers.
Be realistic! It’s better to overestimate by a day, for example. To be clear, the handling time starts the moment your buyer makes payment and ends when your carrier conducts the acceptance scan on your parcel. Make sure you double check with your carrier on how long they take to scan the item after accepting it, so that you can choose the right handling time and Estimated Delivery Date (EDD).
Describe each item as accurately as possible with the correct Item Specifics.
Upload clear high-quality photos with multiple angles.
Upload pictures that give a clear indication of the size and colour range.
Include clear return and refund policies.
Do not sell counterfeit products and avoid selling products with high rates of manufacturing flaws.
Check, double check, triple check before you ship the order. Make sure all items and parts are included. Ensure the item sent is the right color or size.
To issue a full refund:
In the Resolution Centre, go to your Returns dashboard.
Select View return details beside the item.
Select Offer a partial refund and then Continue.
Enter the amount you wish to offer the buyer.
You can choose to add a message to the buyer.
YES for the following cases:
You can keep a close eye on your current defect rate through your Seller Dashboard under My eBay, or log in to the CBT Seller Dashboard for a detailed report.
Filter data and generate reports according to region (programme), timeframe (evaluation period), defect type and item ID.
View at a glance the number of transaction defects for the selected region and month – as well as the number of defects we’ve removed.
Browse by transaction and easily identify the reason for each defect.
View and download extended reports at the touch of a button – including tables to help you identify performance trends.
And that’s all you need to know about eBay Defect Rate management. Happy Selling and Keep Your Defect Rate Low!