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If you are looking to grow your business and earn an excellent reputation amongst your buyers, then it is important that you keep watch over your inventory to make sure that it is managed properly.

If your stock is not balanced, you may end up with too much idle inventory at your end with no sales. If you lack inventory, sales may end up being cancellations and refunds as you fail to supply the items purchased. Both are bad..

Let us explain to you why it is important to keep your stock ready & steady.

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If you are looking to grow your business and earn an excellent reputation amongst your buyers, then it is important that you keep watch over your inventory to make sure that it is managed properly.

If your stock is not balanced, you may end up with too much idle inventory at your end with no sales. If you lack inventory, sales may end up being cancellations and refunds as you fail to supply the items purchased. Both are bad. Let us explain to you why it is important to keep your stock ready & steady.

What Exactly Happens in a Transaction

What Exactly Happens in a Transaction

1. Buyer purchases the item

2. The listed item is out-of-stock and no longer available

 

3. The transaction now needs to be cancelled or refunded

 

4. A request is opened for cancellation with the reason “Item out-of-stock”

 

5. Transaction is cancelled /buyer is refunded

6. Negative buying experience

7. Seller Performance impacted as this transaction is counted as as a “Defect”

 

STEP 1

Buyer purchases the item

STEP 2

The listed item is out-of-stock and no longer available

STEP 3

The transaction now needs to be cancelled or refunded

STEP 4

A request is opened for cancellation with the reason “Item out-of-stock”

STEP 5

Transaction is cancelled /buyer is refunded

STEP 7

Negative buying experience

STEP 8

Seller Performance impacted as this transaction is counted as as a “Defect”

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What's a Defect?

A Defect is a part of a transaction that eBay considers to have created a bad shopping experience for buyers.

A transaction can be classified as defective in two ways

  • When a seller cancels a transaction due to items being out-of-stock
  • If a seller is unable to resolve a issue raised by the buyer. eBay steps in, and the seller is found to be responsible.

A seller’s defect rate is the percentage of their total transactions that have been Defective.

Note: that these Defects often also measure how satisfied your buyers were with a transaction. We don’t count more than one Defect per transaction.

What's a Defect?

A Defect is a part of a transaction that eBay considers to have created a bad shopping experience for buyers.

A transaction can be classified as defective in two ways

01.

When a seller cancels a transaction due to items being out-of-stock

02.

If a seller is unable to resolve an issue raised by the buyer, eBay steps in, and the seller is found to be responsible.

A seller’s defect rate is the percentage of their total transactions that have been Defective.

Note: These Defects often also measure how satisfied your buyers were with a transaction. We don’t count more than one defect per transaction.

Why Should You as the Seller be Very Vigilant towards the Defect Rate?

Defects form a very important part of your Seller Performance metrics. If your Defects Rate is not looking good, then you may face consequences  as your account may be restricted, limited, suspended, or your seller level may be changed to “below standard”.

Measures you can take to prevent out-of-stock situations:

  • Stay alert on your inventory management.
  • Regularly check in with your major suppliers.
  • If there is a chance that you may be out-of-stock, then enable the “out-of-stock” option.

Here’s how to enable the out-of-stock option:

  • Go to “Selling preferences”.
  • Scroll down to “Multi-quantity listings” and select the toggle beside “Listings stay active when you’re out-of-stock”.

Note : Using the out-of-stock option on your Good ’Til Canceled listings may help protect you from receiving a transaction defect for running out-of-stock. Learn more about our seller performance standards.

Why Should You as the Seller be Very Vigilant towards the Defect Rate?

Defects form a very important part of your Seller Performance metrics. If your Defects Rate is not looking good, then you may face consequences  as your account may be restricted, limited, suspended, or your seller level may be changed to “below standard”.

Measures you can take to prevent out-of-stock situations:

  • Stay alert on your inventory management
  • Regularly check in with your major suppliers
  • If there is a chance that you may be out-of-stock, then enable the ” out-of-stock ” option

Here’s how to enable the out-of-stock option:

  • Go to “Selling preferences
  • Scroll down to “Multi-quantity listings” and select the toggle beside “Listings stay active when you’re out-of-stock”

Note : Using the out-of-stock option on your Good ’Til Canceled listings may help protect you from receiving a transaction defect for running out-of-stock. Learn more about our seller performance standards.

The out-of-stock option allows you to better manage your Good ‘Til Canceled inventory, while avoiding the search penalty and reducing the risk of defects that impact your seller performance and standards. 

  • All of your existing and future bulk listings use the out-of-stock option until you disable it
  • When the quantity of the listing becomes 0 (either because all the items were sold, or you adjusted the quantity), your listing stays active but hidden from search results
  • The listing will reappear in search results when you increase the quantity of items available
  • You can still end your Good ’Til Canceled listing yourself at any time

The out-of-stock option allows you to better manage your Good ‘Til Canceled inventory, while avoiding the search penalty and reducing the risk of defects that impact your seller performance and standards. 

  • All of your existing and future bulk listings use the out-of-stock option until you disable it
  • When the quantity of the listing becomes 0 (either because all the items were sold, or you adjusted the quantity), your listing stays active but hidden from search results
  • The listing will reappear in search results when you increase the quantity of items available
  • You can still end your Good ’Til Canceled listing yourself at any time

Remember

Remember

  • With all Good ’Til Canceled listings, the listing (or insertion) fees are charged every 30 days until all of the items are sold, you end the listing, or we end your listing.
  • If your listing has a quantity of 0 for the entire 30-day billing period for 6 consecutive 30-day billing periods, we will end your listing.
  • Fee amounts are based on the terms in effect when the listing goes live and when it renews. If your listing is out-of-stock (meaning it has 0 quantity) for the entire 30-days period, then at the end of that period, you will qualify for an insertion fee credit.

With all Good ’Til Canceled listings, the listing (or insertion) fees are charged every 30 days until all the items are sold, you end the listing, or we end your listing.

If your listing has a quantity of 0 for the entire 30-day billing period for 6 consecutive 30-day billing periods, we will end your listing.

Fee amounts are based on the terms in effect when the listing goes live and when it renews. If your listing is out-of-stock (meaning it has 0 quantity) for the entire 30-days period, then at the end of that period, you will qualify for an insertion fee credit.