Recommended Adherence policy in consignment flow
Recommendations help you to identify products that are either high in demand or low in stock in the warehouse or are fast moving, these recommendations help you keep a healthy stock of products. Keeping in mind the importance of recommendations, we have introduced the recommendation adherence policy. In this policy, sellers will be able to get the warehouse slots or free pickup if their consignments are adhering to recommendations.
Recommended adherence is a policy where we have introduced two different thresholds that you must pass to get a warehouse slot and a free pick-up while scheduling consignment(s).
Recommended adherence is the number of units which are part of the remaining recommended quantity out of the total number of units in a consignment.
To calculate the recommended adherence, let’s look at the following scenarios:
| Scenario 1 | Scenario 2 | Scenario 3 | ||
| Listings in consignment | Number of recommended quantity | Quantity added in the consignment | Quantity added in the consignment | Quantity added in the consignment |
| L1 | 100 | 150 | 100 | 50 |
| L2 | 10 | 0 | 10 | 5 |
| L3 | 0 | 100 | 0 | 0 |
| L4 | 250 | 0 | 1000 | 100 |
| Recommendation Adherence % | 40% | 32.72% | 100% | |
Calculation:
Scenario 1: Seller has added 150 quantity of the listing L1 in consignment out of which 100 are considered as recommended quantity. Seller has added 100 quantity of the listing L3 out of which nothing is from the recommended quantity.
Total number of recommended quantity added in the consignments : 100 + 0
Total number of quantity in the consignment: (150 + 100) = 250
Recommended Adherence % = (Total number of recommended quantity added in the consignment) / (Total number of quantity in the consignment).
Recommended Adherence % = (100 / 250) = 40%
Scenario 2: Seller has added 100 recommended quantity in the consignment out of 100 quantity added in the consignment for listing (L1), 10 recommended quantity out of 10 quantity added in the consignment for listing (L2) and 250 recommended quantity out of 1000 quantity added in the consignment for listing (L4).
Total number of recommended quantity added in the consignment: (100 + 10 + 250) = 360
Total number of quantity in the consignment: (100 + 10 + 1000) = 1100
Recommendation Adherence % = (Total number of recommended quantity added in the consignment) / (Total number of quantity in the consignment).
Recommendation Adherence % = (360 / 1100) = 32.72%
Scenario 3: Seller has added 50 recommended quantity in the consignment out of 100 recommended quantity for listing (L1), 5 recommended quantity added in the consignment out of 10 recommended quantity for listing (L2), 100 recommended quantity added in the consignment out of 250 recommended quantity for listing (L4).
Total number of recommended quantity added in the consignment: (50 + 5 + 100) = 155
Total number of quantity in the consignment: (50 + 5 + 100) = 155
Recommendation Adherence % = (Total number of recommended quantity added in the consignment) / (Total number of quantity in the consignment).
Recommendation Adherence % = (155 / 155) = 100%
Understanding the thresholds
We have introduced thresholds based on the recommendation adherence %.
Threshold 1 (Varies at seller and warehouse level): You need to cross this threshold to get the available warehouse slot. If you don’t cross this threshold you cannot schedule the consignment even if the warehouse slots are available.
Threshold 2 (Varies at seller and warehouse level): You need to cross this threshold to get a free pickup.
Note: These thresholds are decided by Flipkart basis on the type of products the seller sells and the warehouse seller is sending the consignment.
Let’s understand these thresholds with the help of the scenarios mentioned above:
| Scenario 1 | Scenario 2 | Scenario 3 | ||
| Listings in consignment | Number of recommended quantity | Quantity added in the consignment | Quantity added in the consignment | Quantity added in the consignment |
| L1 | 11 | 50 | 20 | 13 |
| Recommendation Adherence % | 22% | 55% | 84.61% | |
Scenario 1: Recommendation adherence % of your consignment is below both Threshold 1 – 50% and Threshold 2 – 70%
Note: The actual threshold will vary from seller to seller basis the kind of category he sells on Flipkart and warehouse space availability.
Number of recommended quantity: 11
Total number of quantity in the consignment: 50
Recommendation Adherence Percentage: (11 / 50) = 22%
Screenshot 2:
Since the recommended adherence percentage is 22% and threshold 1 is 50%, the seller will not be able to schedule the consignment even if warehouse slots are available and the date of slots will be greyed out. Also, free pickup will not be allowed for this consignment.
Scenario 2: Recommendation adherence % of your consignment is above Threshold 1 – 50% and below Threshold 2 – 70%
Note: These thresholds are decided by Flipkart basis on the type of products the seller sells and the warehouse seller is sending the consignment
Number of recommended quantity: 11
Total number of quantity in the consignment: 20
Recommendation Adherence Percentage: (11 / 20) = 55%
Refer to the screenshot below:
Screenshot 1:
Screenshot 2:
Since the recommended adherence percentage is 55% which is more than threshold 1 (50%) but less than threshold 2(70%), the seller would only get drop slots to schedule the consignment as per the availability, but free pickup will not be available for the seller
Scenario 3
Recommendation adherence % of your consignment is above both Threshold 1 – 50% and Threshold 2 – 70%
Note: The actual threshold will vary from seller to seller basis the kind of category he sells on Flipkart and warehouse space availability.
Number of recommended quantity: 11
Total number of quantity in the consignment: 13
Recommendation Adherence Percentage: (11 / 13) = 84.61%
Screenshot 1:
Screenshot 2:
Since the recommended adherence percentage is 84.6% which is above the threshold 1(50%) and threshold 2 (70%), the seller will be eligible for both drop slots and a free consignment pickup if he chooses for the consignment pickup service.
We should also mention that in scenarios sellers feels that recommendations are not correct or needs to include more products he should reach out to his or her KAM/RE or seller support.
