Forum Moderators: buckworks
I'm trying to fine tune my returns policy, and I'm wondering how do you handle "shipping fees" that a customer needs to pay to send the product back to the website?
Does the customer pay the shipping fees to ship the product back to the website or do you provide a pre-paid shipping label?
Thank you,
olimits7
If it's due to their error, it's their responsibility to ship back.
The refund too is total minus shipping.
So if we ship the wrong item by mistake; we will pay. But if the customer says they just don't want it anymore; they will pay.
How about if a product turns out to be defective?
olimits7
the above is what I would suggest. But there are some companies that advertise that they pay all shipping charges on returns. I'm not sure about that strategy though.
But there are some companies that advertise that they pay all shipping charges on returns.
We had one competitor who advertised that they did that ...until they filed bankruptcy a few years ago.
The big boys offer free shipping, free return shipping, and free exchanges, but they have bigger pockets too. It's not a level playing field.
But then should I charge them shipping when I ship out the new non-defective product back to them?
olimits7
The big boys offer free shipping, free return shipping, and free exchanges, but they have bigger pockets too. It's not a level playing field.
It seems "give-the-customer-anything-they-want" Zappos is running into tougher times. Interesting company to watch.
I agree with JohnRoy re shipping fees - our problem, pay for return shipping. Their error, they pay, and refund is minus original shipping charges.
It also tends to depend on the customer, though - if someone is a big enough PITA, we will just refund the whole thing to make them go away, even if it was their error. Time/800#/stress is money, too; this approach is quite common in larger companies with secondary/escalation protocols.
To me, their site is a mess. And they've added a lot more than shoes lately. Clutter.
I haven't read that they've "fallen on hard times" just that they've laid off some workers. Zappos said, as I recall, that they hired too many a year ago based on projections that were too high.
They certainly made themselves a target; Amazon's Endless shoe website is one more site to take aim.
I guess the free shipping no matter what policy is based on the theory that people might be more likely to order in the first place if they think there's less risk involved. The question is, does it work?
Try and test all types, until you get the results for your specific subject.
When I looked about a year ago they had a limited selection of brands. Their selection now is enormous. However, they don't carry Dockers, the brand I bought most recently. So I couldn't compare prices.
Hard to blame (or jail) a few bankers for all our problems when you find "banker" thinking everywhere you look.
according to NPR the return rate is 25%
That really makes me wonder what sort of deal they get on shipping. If I paid for all return shipping and had a 25% return rate I would only sell items small enough to fit in a envelope and charge everyone $0.84 for freight...until the cost of stamps rose.
Yes, I see where their site says that. Plus, imagine the work involved processing all those returns and exchanges... backbreaking. They risk becoming a magnet for people who love to return products. I can recall returning one pair of shoes in my lifetime and it was horribly defective.
I heard years ago that department stores averaged about a 15% return rate on shoes. Zappos is also probably getting huge concessions from suppliers. I've heard of dept stores charging suppliers a fee for defective shoes they have to take back.
