Seller Performance Standards & why it matters

Seller Performance Standards
&
why it matters

What exactly does the term “Seller Performance” mean and why does eBay put so much of emphasis on taking care of this?

Performance matters everywhere! Whether you are working in a corporation or owning your own business. Until you track on how you are performing, you will not know whether you are on the right or wrong track. Is there something that needs your attention?

How is it impacting your business? 

In the eBay world – Seller Performance Standards – is the report card of how you are performing as a seller.

At eBay, customer satisfaction is everything. We measure our success by our customers’ success. Which is why we take Seller Performance Standards seriously. So, should you.

eBay provides you with the platform, various tools that offer solutions and support that is needed for the management and growth of your business. And, what do we expect from our sellers – consistent high-level performance that results in happy customer experience. 

And this is the reason eBay has put in place certain performance standards that every seller needs to strive to maintain. These standards are very much within your control, right from ensuring that the handling time is adhered with to providing speedy problem solution. 

We want eBay to continue being the world’s favourite destination for discovering great value and unique selections.

What exactly does the term “Seller Performance” mean and why does eBay put so much of emphasis on taking care of this?

Performance matters everywhere! Whether you are working in a corporation or owning your own business. Until you track on how you are performing, you will not know whether you are on the right or wrong track. Is there something that needs your attention?

How is it impacting your business? 

In the eBay world – Seller Performance Standards – is the report card of how you are performing as a seller.

At eBay, customer satisfaction is everything. We measure our success by our customers’ success. Which is why we take Seller Performance Standards seriously. So, should you.

eBay provides you with the platform, various tools that offer solutions and support that is needed for the management and growth of your business. And, what do we expect from our sellers – consistent high-level performance that results in happy customer experience. 

And this is the reason eBay has put in place certain performance standards that every seller needs to strive to maintain. These standards are very much within your control, right from ensuring that the handling time is adhered with to providing speedy problem solution. 

We want eBay to continue being the world’s favorite destination for discovering great value and unique selections.

Let’s Understand these standards in detail

Based on your seller account performance, you will be given a Seller Standard or a seller level

Seller levels on eBay

eBay Top Rated

You’re one of the best sellers on eBay, providing an exceptional quality of customer service as well as meeting minimum sales requirements for the Top Rated Seller level.

If you’re a Top Rated Seller, you’re also eligible for the Top Rated Plus listing benefits as long as you meet the listing qualifications.

Above Standard

You are meeting our minimum standard for sellers and looking after your customers well.

Below Standard

You are not meeting one or more of our minimum requirements for customer service quality.

Seller levels on eBay

eBay Top Rated

You’re one of the best sellers on eBay, providing an exceptional quality of customer service as well as meeting minimum sales requirements for the Top Rated Seller level.

If you’re a Top Rated Seller, you’re also eligible for the Top Rated Plus listing benefits as long as you meet the listing qualifications.

Above Standard

You are meeting our minimum standard for sellers and looking after your customers well.

Below Standard

You are not meeting one or more of our minimum requirements for customer service quality.

How are the levels assigned to you?

Seller level evaluation period

Your seller level is assessed on the 20th of each month based on:

  • Your sales history
  • Quality of service you provide to your buyer
High Volume Sellers

If a seller has had 400 or more transactions in the last three months, seller performance is evaluated over that three-month period.

Low Volume Sellers

If a seller has had fewer than 400 transactions in the last three months, seller performance is evaluated over that twelve-month period.

Do bear in mind that seller performance is not to be taken lightly

  • Falling below standard may result in your listings being ranked lower in our search results.
  • It can also lead to partial or even complete restriction of your sales activities. 
  • You will also be ineligible for Promoted Listings and will not be able to create new campaigns or edit existing campaigns.

How are the levels assigned to you?

Seller level evaluation period

Your seller level is assessed on the 20th of each month based on:

  • Your sales history
  • Quality of service you provide to your buyer
High Volume Sellers

If a seller has had 400 or more transactions in the last three months, seller performance is evaluated over that three-month period.

Low Volume Sellers

If a seller has had fewer than 400 transactions in the last three months, seller performance is evaluated over that twelve-month period.

Do bear in mind that seller performance is not to be taken lightly

  • Falling below standard may result in your listings being ranked lower in our search results.
  • It can also lead to partial or even complete restriction of your sales activities. 
  • You will also be ineligible for Promoted Listings and will not be able to create new campaigns or edit existing campaigns.

Checking your Seller Levels in eBay Account

Your current and projected seller levels can be viewed in the section of “Seller Level” under the Performance TAB of Seller Hub

Or

You can also go to My eBay

Open My Account section

Open your Seller Dashboard

Checking your Seller Levels in eBay Account

Your current and projected seller levels can be viewed in the section of “Seller Level” under the Performance TAB of Seller Hub.

Or

You can also go to My eBay

Open My Account section

Open your Seller Dashboard

Factors impacting your Seller Level & Performance

Factors impacting your Seller Level & Performance

Impacting Factors
Impacting Factors

Transaction Defect Rate

Cases closed without seller resolution

Late Shipment Rate

Transaction Defect Rate

Cases closed without seller resolution

Late Shipment Rate

Let’s go through these factors and understand what they mean and their impact on your performance.

1. Transaction Defect Rate 

The number of seller-initiated transaction cancellations. One of the key seller performance measures is your Transaction Defect Rate. A Defect is added to your account if:

  • You cancel a buyer’s purchase because you no longer have the item in stock, or you chose not to send it
  • An item-not-received or not-as-described request from a buyer is closed without seller resolution

Let’s say, you had 100 transactions done on eBay.com, out of which 5 were cancelled by you stating, “Item out-of-stock”. So, your Defect Rate would be 5%.

To avoid letting down buyers and receiving a Defect due to an item being out of stock:

  • Closely manage your inventory: if your stock levels change, end your listing or update the quantity as soon as possible
  • Check our restocking advice: go to the Research tab in Seller Hub to see which listings are running low
  • Enable our out-of-stock feature: if you use multi-quantity, Good ‘Til Cancelled listings, this feature automatically hides listings when the stock quantity falls to zero

Transaction Defect Rate 

The number of seller-initiated transaction cancellations. One of the key seller performance measures is your Transaction Defect Rate.

A Defect is added to your account if:

  • You cancel a buyer’s purchase because you no longer have the item in stock, or you chose not to send it
  • An item-not-received or not-as-described request from a buyer is closed without seller resolution

Let’s say, you had 100 transactions done on eBay.com, out of which 5 were cancelled by you stating, “Item out- of-stock”. So, your Defect Rate would be 5%.

To avoid letting down buyers and receiving a Defect due to an item being out of stock:

  • Closely manage your inventory: if your stock levels change, end your listing or update the quantity as soon as possible
  • Check our restocking advice: go to the Research tab in Seller Hub to see which listings are running low
  • Enable our out-of-stock feature: if you use multi-quantity, Good ‘Til Cancelled listings, this feature automatically hides listings when the stock quantity falls to zero

2. Cases Closed Without Seller Resolution

The number of cases closed without seller resolution. A case closed without seller resolution is – any case in which the seller does not respond to or resolve a problem with the buyer prior to escalation. Any case that is found to be of no fault of the seller won’t count against your Seller Performance Rating.

If eBay is asked to step in and help with an eBay Money Back Guarantee case, you can resolve the issue with the buyer by issuing a refund or accepting a return so the request isn’t concluded as the seller’s fault. 

If, as a seller, you are found to be responsible for the issue, this will result in what we call a “case closed without seller resolution.”  Do keep in mind that we count these in your Transaction Defect Rate and as a percentage of your transactions closed without you resolving them.

To avoid these cases:

  • Describe your item accurately. Use pictures and include specifics in your listing so your buyers know exactly what to expect.
  • Use tracking when possible and follow our best practices to avoid issues with buyers
  • Respond promptly to the buyer’s request to prevent eBay needing to step in
  • Provide clear return and payment policies in your listing

Cases Closed Without Seller Resolution

The number of cases closed without seller resolution. A case closed without seller resolution is – any case in which the seller does not respond to or resolve a problem with the buyer prior to escalation. Any case that is found to be of no fault of the seller won’t count against your Seller Performance Rating.

If eBay is asked to step in and help with an eBay Money Back Guarantee case, you can resolve the issue with the buyer by issuing a refund or accepting a return so the request isn’t concluded as the seller’s fault. 

If, as a seller, you are found to be responsible for the issue, this will result in what we call a “case closed without seller resolution.”  Do keep in mind that we count these in your Transaction Defect Rate and as a percentage of your transactions closed without you resolving them.

To avoid these cases:

01.

Describe your item accurately: Use pictures and include specifics in your listing so your buyers know exactly what to expect

02.

Use tracking when possible and follow our best practices to avoid issues with buyers

03.

Respond promptly to the buyer’s request to prevent eBay needing to step in

04.

Provide clear return and payment policies in your listing

3. Late Shipment Rate

The number of late shipments (Late Shipment Rate). Late Shipment Rates are determined by the percentage of transactions that you sent after the handling time stated in your listing, or were not delivered by the estimated delivery date.

It is very important that you provide great service to your buyers. Great service has a big impact on the buyer’s buying behavior and can turn him into repeat buyer.

Therefore, it is necessary that you adhere to the handling time provided by you. Late Shipment Rates are determined by the percentage of transactions that you sent after the handling time stated in your listing or that were not delivered by the estimated delivery date.

We’ll only consider a shipment late if:

  • Tracking shows the item was delivered after the estimated delivery date unless there’s an acceptance scan within your dispatch time or there’s confirmation from the buyer of on-time delivery
  • The buyer confirms the item was delivered after the estimated delivery date unless there’s an acceptance scan within your handling time or there’s delivery confirmation by the estimated delivery date

If more than 10% of your transactions are classified as late shipments, we may limit some of the shipping options available to you to make sure buyers have the right expectations on delivery times

Late Shipment Rate

The number of late shipments (Late Shipment Rate). Late Shipment Rates are determined by the percentage of transactions that you sent after the handling time stated in your listing, or were not delivered by the estimated delivery date.

It is very important that you provide great service to your buyers. Great service has a big impact on the buyer’s buying behavior and can turn him into repeat buyer.

Therefore, it is necessary that you adhere to the handling time provided by you. Late Shipment Rates are determined by the percentage of transactions that you sent after the handling time stated in your listing or that were not delivered by the estimated delivery date.

We’ll only consider a shipment late if:

  • Tracking shows the item was delivered after the estimated delivery date unless there’s an acceptance scan within your dispatch time or there’s confirmation from the buyer of on-time delivery
  • The buyer confirms the item was delivered after the estimated delivery date unless there’s an acceptance scan within your handling time or there’s delivery confirmation by the estimated delivery date

If more than 10% of your transactions are classified as late shipments, we may limit some of the shipping options available to you to make sure buyers have the right expectations on delivery times

Minimum criteria that decide your Seller Performance Standards

Seller Standard

eBay Top Rated

Above Standard

Below Standard

Transaction defect rate

0.50%

2%

Above 2%

Closed Cases without seller resolution

0.30%

0.30%

Above 0.30%

Late shipment Rate

3%

7%

Above 7%

Tracking uploaded on time and validated

5%

NA

NA

Seller Standard

eBay Top Rated

Above Standard

Below Standard

Transaction defect rate

0.50%

2%

Above 2%

Closed Cases without seller resolution

0.30%

0.30%

Above 0.30%

Late shipment Rate

3%

7%

Above 7%

Tracking uploaded on time and validated

5%

NA

NA

Tracking uploaded on time and validated (applies to eBay Top Rated Sellers only)

Transactions where you upload tracking details within your stated handling time, and the carrier scanned the shipping label either before or after your handling time, are on time and validated.

Evaluation by Region

Your seller account performance is evaluated based on the different regions you choose to sell – for example, “US”, “UK & Ireland”, “Germany, Austria and Switzerland” and “Global”. It is important that you keep a track of your performance on every site you are listing your items and the transactions taking place. As an eBay seller you will face the penalties of falling Below Standard if you are Below Standard in Global, even if you are “Above Standard” on eBay USA.

The evaluation period remains the same:

  • If a seller has had 400 or more transactions in the last three months, seller performance is evaluated over that three-month period.
  • If a seller has had fewer than 400 transactions in the last three months, seller performance is evaluated over that twelve-month period.

It is always suggested that you move to the other eBay marketplaces only if you are confident and settled with your business on one of the regions. Once you have gained the maturity to handle transactions and buyers, it is time to move to other regions.

Tracking uploaded on time and validated (applies to eBay Top Rated Sellers only)

Transactions where you upload tracking details within your stated handling time, and the carrier scanned the shipping label either before or after your handling time, are on time and validated.

Evaluation by Region

Your seller account performance is evaluated based on the different regions you choose to sell – for example, “US”, “UK & Ireland”, “Germany, Austria and Switzerland” and “Global”. It is important that you keep a track of your performance on every site you are listing your items and the transactions taking place. As an eBay seller you will face the penalties of falling Below Standard if you are Below Standard in Global, even if you are “Above Standard” on eBay USA.

The evaluation period remains the same:

  • If a seller has had 400 or more transactions in the last three months, seller performance is evaluated over that three-month period
  • If a seller has had fewer than 400 transactions in the last three months, seller performance is evaluated over that twelve-month period

It is always suggested that you move to the other eBay marketplaces only if you are confident and settled with your business on one of the regions. Once you have gained the maturity to handle transactions and buyers, it is time to move to other regions.