I would report it to Estes, they will replace the defective motor. And if the rocket were an Estes, instead of a scratcher, they would have replaced that too. Send an email to Customer Svc with that pic and the motor lot code, if you have it.
Optionally you may want to consider filing a "MESS" (Malfunctioning Engine Statistical Survey) report:
https://www.motorcato.org/
Unfortunately the results of that are not made public. It is for the use of the NAR, Tripoli, and CAR. Rationale given for that is that mere numbers of CATOs do not reflect the incidence of motor CATOs for a particular type.
One of our Forum members, Lakeroadster, has set up a bad motor list, also optional:
https://www.rocketryforum.com/threads/suspected-bad-motor-list.150501/
CATOs can happen to any motor, part of partaking in this hobby. Cheers.