Seller Rating – KPI

Objective

General

Several rules apply to all KPIs:

  1. All results are rounded to two digits after the separator.
  2. When the divider is 0, “No data available” is displayed.
  3. KPI calculation period can be customized.

Fictional Data Set

  • Date for the fictional calculation is 15/11/2015 00:00:00
  • Seller has Sunday configured as “Weekend Day,” so the 1st, 8th and 15th are calculated as weekend days.
    SOI Shipment Type Pending Data Current Status RTS Date Shipped Date Canceled by External Promised Shipping Date
    1 Cross-Docking 2015-11-01 10:00:00 Pending – – – 2015-11-04 10:00:00
    2 Fulfillment By 2015-11-02 10:00:00 Returned 2015-11-02 12:00:00 2015-11-03 10:00:00 – 2015-11-05 10:00:00
    3 Cross-Docking 2015-11-03 10:00:00 Delivered 2015-11-04 11:00:00 2015-11-04 14:00:00 – 2015-11-06 10:00:00
    4 Cross-Docking 2015-11-03 10:00:00 Delivered 2015-11-04 09:00:00 2015-11-04 11:00:00 – 2015-11-06 10:00:00
    5 Drop Shipping 2015-11-04 10:00:00 Delivered 2015-11-06 10:00:00 2015-11-08 10:00:00 – 2015-11-07 10:00:00
    6 Cross-Docking 2015-11-05 10:00:00 Cancelled  – – Yes –
     7 Fulfillment By 2015-11-05 10:00:00 Cancelled – – Yes 2015-11-08 10:00:00
    8 Cross-Docking 2015-11-06 10:00:00 Shipped 2015-11-08 14:00:00 2015-11-08 18:00:00 – –
    9 Cross-Docking 2015-11-07 10:00:00 Ready to ship 2015-11-08 14:00:00 – – 2015-11-10 10:00:00
    10 Cross-Docking 2015-11-08 10:00:00 Shipped 2015-11-08 14:00:00 2015-11-08 18:00:00 – –
    11 Cross-Docking 2015-11-08 10:00:00 Ready to ship 2015-11-08 14:00:00 – – –
    12 Drop Shipping 2015-11-08 10:00:00 Pending – – – –
    13 Drop Shipping 2015-11-09 10:00:00 Returned 2015-11-09 18:00:00 2015-11-12 10:00:00 – –
    14 Cross-Docking 2015-11-10 10:00:00 Cancelled – – No –
    15 Cross-Docking 2015-11-11 10:00:00 Pending – – – –
    16 Fulfillment By 2015-11-12 10:00:00 Pending – – – 2015-11-13 10:00:00
    17 Drop Shipping 2015-11-13 10:00:00 Cancelled – – No 2015-11-16 10:00:00
    18 Cross-Docking 2015-11-14 10:00:00 Pending – – – 2015-11-17 10:00:00

Legend

To understand the KPI’s underlying logics and calculations, each KPI is described with the following numbers referring to the corresponding values:

  1. Display name in Seller rating setup
  2. Display name for the Seller
  3. Display name for Seller management export
  4. Minimum range
  5. Maximum range
  6. Result interpretation
  7. Formula
  8. Description
  9. Example calculation using the fictional data set above

Abbreviations

  • SOI: Sales order item
  • XD: Cross-Docking
  • DS: Drop shipment
  • %s: KPI calculation period

    • KPI Explaination

    Cancellation Rate

    # Value
    1 “Cancellation Rate”
    2 “Cancellation Rate”
    3 “Cancellation”
    4
    5 100
    6 Low result represents a desirable value.
    7 SOI Cancelled By Seller For XD & DS / SOI Total Number For XD & DS
    8 Calculates the percentage of order items cancelled by the Seller over the last %s days.
    9 2 [refers to items 14 and 17] / 15 [refers to all items besides 2, 7, 16] = 2/15 = 13,33%

    Pending to *

    Pending To Shipped in 48 Hours Rate

    # Value
    1 “Pending To Shipped in 48 Hours Rate”
    2 “Pending To Shipped in 48 Hours Rate”
    3 “Shipped in 48 Hours”
    4
    5 100
    6 High result represent a desirable value.
    7 SOI Number for XD & DS where status was/is Shipped in 48 Hours / (SOI Number for XD & DS where status is/was Shipped + SOI Number for XD & DS where status Pending or Ready To Ship and 48 Hours Expired)
    8 Calculates the percentage of order items that have reached the status “Shipped in 48 hours” over the last %s days.
    9 4 [refers to items 2, 4, 10, 13] / (7 [refers to items 2, 3, 4, 5, 8, 10, 13] + 4 [refers to items 1, 12, 15, 16]) = 4 / (7 + 4) = 36,36%

    Pending To Shipped in N Hours Rate

    Calculated in the same way as the 48h KPI, but with the possibility to configure different time frame per seller.

    In order to use the KPI, please create a TMLSD request. The parameter that needs to be activated is core:seller_level/pending_to_shipped_in_n_hours/enabled

    After the feature is activated, add the settings for the hours in _Administration > Settings and Seller Setting_s under “General” > “Pending to Shipped in hours”

    Pending To Ready to Ship in N Hours Rate

    Calculated in the same way as the 48h KPI, but with the possibility to configure different time frame per seller.

    In order to use the KPI, please create a TMLSD request. The parameter that needs to be activated is core:seller_level/pending_to_ready_to_ship_in_n_hours/enabled

    After the feature is activated, add the settings for the hours in _Administration > Settings and Seller Setting_s under “General” > “Pending to Ready to Ship in hours”

    Return Rate

    # Value
    1 “Return Rate”
    2 “Return Rate”
    3 “Return Rate”
    4
    5 100
    6 Low result represent a desirable value.
    7 SOI Returned / SOI Reached Delivered State
    8 Calculates the percentage of order items returned to the Seller over the last %s days.
    9 2 [refers to items 2, 13] / 5 [refers to items 2, 3, 4, 5, 13] = 2/5 = 40,00%

     Shipping On Time Rate

    Critical Knowledge Hint:

    • KPI calculation will be based on the Promised Shipping Time feature.

    # Value
    1 “Shipping On Time Rate”
    2 “Shipping On Time Rate”
    3 “Shipping On Time”
    4
    5 100
    6 High result represent a desirable value.
    7 SOI Shipped in Time By Seller For XD & DS / (SOI Number for XD & DS where status is/was Shipped + SOI Number For XD & DS where status Pending or RTS where TargetToShip Time Expired)
    8 Calculates the percentage of order items that were shipped in time (defined by the target date of shipping) over the last %s days.
    9 2 [refers to items 3, 4] / (3 [refers to items 3, 4, 5] + 2 [refers to items 1, 9]) = 2 / (3 + 2) = 40,00%

     Frequently Asked Questions

    +-

    Why are the cancelation rate so high / low. There have been more/less orders canceled?

    Cancelation rate gets calculated only for drop shipping or crossdocking items, which got imported to Seller Center. If a Seller has a hugh amount of items in Consignment and only few items get processed via the Seller himself it can happen, that the cancelation rate is quite high, if only a few items get canceled.

    Example (simplyfied):

    100 orders are placed.

    • 90 orders were for consignment and the remaining 10 were dropshipping orders.
    • out of these 10 orders 5 got canceled
    • Result: cancelation rate of 50 %

    Additional KPIs

    Critical Knowledge Rationale:

    • To overcome issues similar to the one mentioned in the FAQ, additional KPIs were created
    • They can be enabled through the config parameter transparent_kpis/enabled

    Additional KPIs explanation

    Note: the names of the KPIs mentioned here are for clarity purpose. The names mentioned in the tables below are the accurate ones. Global Cancellation Rate and Global Return Rate appear as Cancellation Rate and Return Rate in the Seller Rating Setup. While this will be improved in the future, the way to differentiate them is by using the description (available upon mouseover), which actually mentions Global Cancellation Rate and Global Return Rate.

    Global Cancellation Rate

    Rationale behind:

    • To lower the impact of cancellations for sellers that handle both Dropshipping/Crossdocking (DS/XD) and Consignment (OWH) orders
    • To not underestimate the cancellation for one period of time through a logic of offset of 1 week. 1 week represents the usual timeframe in which cancellations are likely to happen.
    Critical Knowledge

    • The calculation period is fixed: 28 days (4 weeks)
    • This calculation period starts 1 week before the calculation date

    # Value
    1 Cancellation Rate
    2 Cancellation Rate
    3 Cancellation
    4
    5 100
    6 A low result represents a desirable value
    7 # of DS/XD items created during the period cancelled when calculation runs / #DS/XD/OWH items created during the period
    8 To be added

    Global Return Rate

    Rationale behind:

    • To increase the accuracy of the result for one period of time through a logic of offset of 2 weeks. 2 weeks represent the usual timeframe in which order items will be returned by the customer and actually marked as “returned” in Seller Center.
    Critical Knowledge

    • The calculation period is fixed: 28 days (4 weeks)
    • This calculation period starts 2 weeks before the calculation date

    # Value
    1 Return Rate
    2 Return Rate
    3 Return
    4
    5 100
    6 A low result represents a desirable value
    7 # of items delivered during the period that are returned when calculation runs / # of items delivered during the period
    8  To be added

    Rejection Rate

    Definition of a rejection: when an item is reaching the customer, but the customer rejects it on his doorstep.

    A good definition of a “rejection” in Seller Center is an order item that is “failed delivered”, with a failed delivery reason that reflects that the item reached the customer but that he did not want the item.

    The filter on failed delivery reasons can be achieved with the following feature.

    Rationale behind:

    • To propose another indicator of the quality of the products (the other one being the return rate) for ventures using “open package operations”
    • To not underestimate the result through an offset of 1 week.
    Critical Knowledge

    • The calculation period is fixed: 28 days (4 weeks)
    • This calculation period starts 1 week before the calculation date

    # Value
    1 Rejection Rate
    2 Rejection Rate
    3 Rejection
    4
    5 100
    6 A low result represents a desirable value
    7 # of items shipped during the period that are in “failed delivery” status when the calculation is running / # of items shipped during the period
    8  To be added