Amazon's New OTDR Policy for Seller-Fulfilled Products
September 2, 2024 — Amazon has introduced a new policy that will take effect on September 25, 2024, requiring sellers to maintain a minimum 90% On-Time Delivery Rate (OTDR) for all seller-fulfilled products listed on Amazon.com. This policy is part of Amazon's ongoing efforts to improve the customer experience on its platform.
Under the new guidelines, sellers must achieve this 90% OTDR without the use of promise extensions, a tactic some sellers previously employed to meet delivery commitments. Amazon will initially target sellers with the lowest OTDR performance, ensuring compliance with the new standard.
New OTDR Requirements and Recommendations
Sellers failing to meet the 90% OTDR requirement may see their products removed from Amazon's marketplace. Amazon also encourages sellers to strive for a 95% or greater OTDR to deliver an optimal customer experience. The company has indicated that it will provide resources to help sellers adjust their operations and meet the new standards.
For more detailed information on how this policy may affect sellers, visit the AMZ Sellers Attorney® website.
Impact on Seller Operations
This policy change is significant for sellers who manage their own fulfillment. Those who fail to meet the OTDR threshold may need to re-evaluate their logistics strategies or consider using Amazon's Fulfillment by Amazon (FBA) service to avoid potential penalties.
Amazon's focus on delivery performance underscores its commitment to customer satisfaction. Sellers are urged to review their current practices and ensure they are ready to comply with the new OTDR standards by the September 25, 2024 deadline.
Amazon's Customer Experience Commitment
Amazon's new OTDR policy reflects its dedication to maintaining a high level of customer satisfaction. By holding sellers accountable for timely deliveries, Amazon aims to minimize customer dissatisfaction and enhance the overall shopping experience on its platform.