I have had a LOT of flaky customers lately and had to cancel orders for about 7 people that changed their mind. Or ordered an item with a timeline to receive international of two days. Or decided after they paid that the item was just more than they wanted to pay. Since all of this flakiness is happening my orders have dropped. Do cancellations affect your shop? Just wondering as flaky customers are not a sellers fault.
etsy says refunds are a reason for reserve, so if you do quite a few, I would have thought it could affect your shops quality score, and therefore placement in search.
From etsy's point of view, it is a double whammy on payment processing fees, with no income, so a lose lose
It's risky for them, they don't like it.
7 is a large number, I haven't had that many in total over 10 years adding Etsy, Amazon and E-bay altogether, not sure why they would all want to cancel , very strange
I am not sure about order cancellations affect on stats, but for sure Etsy doesn't like cancel/refund function.
I was put on a reserve and my star seller badges removed after 7 cancellations, they all happened in a week. All cancelled orders were because of customers request, nothing to do with me not willing to process the orders.
So, I think cancel/refund is a no no, and should be avoided when possible.
I had a customer that wanted to cancel 2 orders at once( on the sisters shop) . She said she ordered by mistake and the items werent cheap.
So i then refunded her( i toght to ban that customer if could be possible).
After that i had the best time selling. So it didnt affected me.
Or it might have affected but then my Etsy pick competition got banned and i could make some sales.
The etsy pick competitor got soo much sales from Etsy, that he couldnt send. He left his customers without the items that they ordered for Christmas and came up with a story that the post ship wich was carying the packages sinked.
So it was a big demand after that.
I haven't ever noticed an effect from cancelling and refunding but I have never refunded that many in a week.
Supply shops regularly have to cancel, refund, combine orders, etc. Buyers often adjust their transactions after the fact. My standings in the search seem to be fantastic (judging by the overall sales and by the new-to-returning buyer ratio) so my experience is that the algo seems to "understand" what normal course of business is for a shop. Shops that regularly cancel and refund do not seem to suffer an algo penalty.