"fine" depends on your application to some extent. The better the magnet is centered on the shaft the lower the encoder errors will be.
The manufacturer has an application note here:
https://look.ams-osram.com/m/1f9fec31c21d8f4d/original/AnglePositionOnAxis-AN000271.pdf
see section 1.5 and 1.6:
1.5 Non linearity definition
The integral non linearity (INL) is one of the important parameters for position sensors in general. This parameter specifies the effective angle error from the total system. The magnetic position sensor system performance is mainly dependent on magnetic and mechanical constraints. Electrical errors from position sensor IC play mostly a minor role
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