Amazon Voice of the Customer: Assessing the Impact of High Return Rates and Solutions for Mitigation
As an experienced Amazon seller, you’ve likely encountered the Voice of Customer (VOC) dashboard—an invaluable tool that offers valuable insights. While it’s widely known that customer reviews and satisfaction greatly influence this tool’s analysis, you may be surprised to learn that high return rates can also have a significant impact.
In this blog post, we aim to provide a simple and easy-to-understand breakdown of what VOC is, why it’s important, how it works, and most notably, how high return rates can affect it. Let’s get started.
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What Is the “Voice of the Customer” on Amazon?
Before we delve into the specifics, it’s crucial to understand what “Voice of the Customer” means on Amazon.
Amazon Voice of the Customer, or VOC, is a dashboard that is accessible to sellers via Seller Central. This dashboard provides a structured way for sellers to monitor and address customer feedback. It displays trends in customer satisfaction, captures negative feedback, and allows sellers to identify issues with their products or services. Its primary aim is to empower sellers to understand their customers’ expectations and upgrade their offerings in line with these insights.
Why Is the VOC Dashboard Important?
Amazon has earned its reputation by being a customer-centric company. The VOC dashboard aligns with this ethos, offering sellers deep insights into their customers’ satisfaction. If customers consistently express dissatisfaction with a particular seller’s products through negative feedback or low satisfaction ratings, Amazon may take action, such as suppressing the seller’s listing.
Therefore, monitoring the VOC dashboard becomes critical. It not only helps sellers stay in sync with their customers but also protects their listings from potential suppression and ensures they continue to meet Amazon’s customer service standards.
Exploring the VOC Dashboard
The VOC dashboard is a hub of insights for sellers. Its purpose is to provide sellers with crucial information that can help them identify potential issues that may result in lower feedback, negative product reviews, or even suspended listings. Here’s what you can do with it:
- Check the color-coded health rating for every product.
- Discover how Amazon became aware of any issues.
- Read customer comments for each of your products.
- View your best and worst-performing listings.
- Identify customer concerns and view trends.
- Create removal and disposal orders and edit listings.
How Does the Voice of the Customer Dashboard Work?
The VOC Dashboard operates on two metrics: CX Health and NCX Health.
The NCX Health score or the Negative Customer Experience Health score is determined by the number of recent orders for which the customer reported a product or listing issue divided by the total number of recent orders. Product or listing issues can be reported through post-sale data such as customer reviews and ratings, customer service chats and calls, as well as customer returns and refunds. It’s important to note that delivery-related negative customer experiences do not affect sellers’ NCX health.
On the other hand, CX Health, also known as Customer Experience Health, provides a means to compare the NCX of a seller with similar offerings. This information is presented in a visual format using color codes, categorizing them as excellent (green), good (light green), fair (yellow), poor (orange), and very poor (red). Sellers are encouraged to keep a regular check on products labeled ‘Poor’ and ‘Very Poor’ as these are the products that are performing significantly worse compared to similar offers. Such products are at high risk of being suppressed or may have already been closed.
How Does a High Return Rate Impact the Voice of Customer?
A high return rate can significantly influence the Voice of the Customer metrics. When a product is frequently returned, it indicates customer dissatisfaction. This dissatisfaction is often conveyed through negative reviews and low ratings, contributing to a lower NCX Health score. If there is a downward trend in your NCX Health due to elevated return rates, it can have repercussions on your overall CX Health rating. This, in turn, can lead to listing suppression, reducing your product’s visibility.
What Measures Can Be Taken to Address High Return Rates?
To mitigate high return rates on Amazon, consider implementing the following measures:
1) Read Customer Comments
Carefully review and consider the honest feedback provided by customers who have returned the product. Look for common issues or concerns that may have contributed to the returns.
2) Determine the Root Causes
Pinpoint the underlying reasons behind the high return rate. This could include product defects, inaccuracies in product listings, insufficient customer support, or any other factors that may have contributed to customer dissatisfaction. Address these issues to improve your overall service.
3) Improve Product Descriptions
Pay close attention to your product descriptions and ensure they are detailed, accurate, and informative. Provide clear and comprehensive information about the product’s features and specifications. This helps customers make informed purchasing decisions and reduces the likelihood of returns due to misunderstandings or unmet expectations.
4) Monitor Your Packaging
Lastly, pay close attention to the packaging of your products. Ensure that it is secure, protective, and representative of the actual product. Damages during shipping or misleading packaging are common reasons for returns.
How to Resolve High NCX Health Issues
If you receive a notification or email stating that your offer has been closed due to a high NCX (Negative Customer Experience) rate, which could be attributed to a high return rate or another reason, the affected product will temporarily be unavailable for purchase until you address the problem. If the ASIN has been flagged with this violation, here are some steps you can take to resolve the issue:
Go to the Voice of the Customer page and locate the affected ASIN that has been categorized as ‘Poor’ or ‘Very Poor.’ These categories indicate that the product is performing worse in comparison to similar products on the platform. Click on See Details to access additional information.
On the next page, you will come across a Take Action button. Click on it to review the customer feedback that resulted in the high NCX rate.
Once you have reviewed the feedback, click on the Relist button. This action will relist the ASIN and initiate the process of resolving the high NCX rate. Give the system some time to remove the complaint from the AHD (Amazon Health Dashboard) and reactivate the ASIN.
Note: Depending on the nature of the reviews received, additional steps such as bin checks may be necessary. However, the above steps should help in getting the violation removed and the ASIN reactivated.
Summary
By implementing these strategies, sellers can reduce their return rates, improve the Voice of the Customer, and increase their success on Amazon. Remember, satisfied customers are loyal customers, and they’re more likely to leave a positive review that boosts your product’s visibility and sales.
Are you an Amazon seller looking to maximize your success? At Enso Brands, we specialize in providing guidance to sellers like you, ensuring your journey toward greater profits and unparalleled success is seamless. Get in touch with us today to learn more about our services and how we can assist you.
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