Returning products and refunds are a part of doing business online.
What is a return and exchange policy?
A return policy is a set of rules established by merchants to manage how customers return and exchange unwanted goods they have purchased. These policies inform customers about which items can be returned and for what reasons, as well as the time frame in which returns are accepted.
Why should you have a return policy?
Building a fair return and exchange policy fosters trust between the business and customers. In fact, providing a clear and consistent way for customers to return items they purchased can increase conversion rates and repeat purchases.
Risks of a poor return policy
Over time, customer complaints about your return policy can spread across social media, showing up as comments under your ads or even in searches for your business. This is when poorly executed return policies begin to negatively affect your overall reputation as a business.
Setting up a return management system
Whether you’re running an online business or a small brick-and-mortar store, you’ll want to set up a return management system to handle returns in your store. A return management system can help process returns efficiently and alleviate burdens on customers and the business.
How to write a return policy (+ free return policy template)
Since 96% of people will shop again from a retailer based on a “simple” or “very easy” return experience, let’s take a look at how to write a great return policy.
Where to place the standard return policy?
Having a good return policy isn’t enough: you also need to ensure it’s visible to customers before purchase. When speaking to an upset customer trying to return an item marked as non-returnable, it’s unlikely that simply telling them to read the return policy will resolve the issue.
Strategies for more profitable returns
One necessary outcome of a strong return policy and system is that they are not cheap. While you can reduce customer service hours using an app, the shipping costs associated with returning a product and restocking fees from putting it back into circulation can threaten your profitability.
Leverage your return and refund policy
No matter the efforts you put into the product and customer experience while growing your business, you’re likely to encounter a few angry customers along the way. How small businesses choose to handle these dissatisfied customers is a key factor in the longevity of your brand.
Source: https://shopify.com/blog/return-policy#1
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