When you sell goods and services through an eCommerce business, you are still bound by similar laws and regulations to a physical business. Therefore, you will need to ensure that your eCommerce business has an effective and efficient returns policy for customers. It may seem easier to ignore customers who have an issue with your products. However, this may cause damage to your business’ reputation and end in a complaint to the Commerce Commission. This article will outline why your eCommerce business should have a returns policy and how you can make your policy effective, including:
- keeping your returns policy visible;
- specialising your returns policy to suit your business;
- making your returns policy transparent;
- dealing with returns efficiently.
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Why Should My eCommerce Business Have a Returns Policy?
Many people choose not to purchase from an online shop that does not have a flexible or accessible returns policy. This is especially true for eCommerce businesses, as customers cannot see or examine the product personally before purchasing it. If someone is unsure about the product they are buying – for example, if something is the correct size – they will want to know that it is possible to return it. Ensuring that your business has an easily accessible and straightforward returns policy encourages customers to purchase from your business. It will also encourage customers to recommend your business to their friends if they have had a fantastic customer experience with you.
Tips for an Effective eCommerce Returns Policy
1. Do Not Hide Your Policy
Firstly, you should not hide your policy. You should also be able to write a quick summary of your policy during the checkout process. Additionally, you should write a more comprehensive policy and include this on your eCommerce business’ page. This will allow customers to examine it closely if need be. You could include a link to the entire policy during the checkout process.
2. Specialise It to Suit Your Business
While every online store will have a returns policy, you should not be tempted to copy and paste a returns policy from another eCommerce store. The policy may not suit your business, as your policy should be specialised to your business and target audience.
3. Make It Transparent
You should not use vague or complicated language in your returns policy. It should be easily understood by a layperson reading it. If individuals cannot read or understand your returns policy, they will be reluctant to purchase goods from you. You should clearly outline how the policy works, for example:
- how people can return goods;
- if you provide free return shipping;
- whether you provide refunds, exchanges, or store credit; and
- how long the process will take.
4. Deal With Returns Efficiently
It could be a good idea to have a staff member dedicated to dealing with returns and customer service. Individuals seeking returns may be frustrated or confused because they have to return a product, but a team member can help them manage these concerns. This person should comprehensively understand the returns policy to be helpful to customers. Providing your business with a friendly human face will be an additional benefit to your customer service reputation.
Continue reading this article below the formDo I Need to Provide a Remedy if a Customer Returns a Product?
If a customer returns a product, you do not need to replace it or refund them immediately. You should investigate the issue and the returned item to see if there are any faults. You are only legally required to provide a remedy to a customer if the product is faulty or does not match the photo or description on your website. In these circumstances, you must offer a:
- repair;
- replacement; or
- refund.
The kind of remedy you provide will depend on the type or extent of the problem. If it is significant, you will likely have to give a refund. If it is less significant, you can choose the appropriate remedy.
Key Takeaways
While it may be easier to ignore customers seeking to return a product, having an accessible and effective return policy can be a great selling point for your eCommerce business. A returns policy is a part of your customer service experience, and managing returns well can improve your business’ reputation.
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Frequently Asked Questions
No, you may be in breach of consumer law if you do not provide a remedy to customers who have been given a faulty product. The remedy you provide will depend on the details of the situation.
No, you should personalise your returns policy to suit your business and target audience. This will improve your customer loyalty.
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