Forum Moderators: buckworks
We have a wholesaler who dropships directly to customers, who will take out shipping charges on ANY products that come back to his warehouse. Items are usually large, and shipping is expensive (from $20 up to $ several hundred). I want to know if they have a right to take out that charge (legally or otherwise) if:
1) a customer refused shipment
2) a product was defective or customer was never able to make it work (i.e. product never worked right).
Oftentimes we would end up paying the bill in this case, or after complaining to wholesaler splitting the charge. But shouldn't a wholesaler pay for shipping in these cases?
An experienced suggestion is appreciated.
In the case of a manufacturers defect, the manufacturer should cover the cost of return shipping and item replacement.
What if a product is something that just isn't working in every possible situation, due to a bunch of factors that only customer can know - for instance local weather and regulations and skills of someone who installs it (just giving you an example)? so there's higher than normal return rate due to these factors. Would you expect a merchant to cover return shipment, or a manufacturer, for products that "didn't work"?
What if a product is custom-manufactured to customer's specifications? Would you expect a merchant or a manufacturer to cover return shipment in case it didn't work?
A product that is custom manufactured to a customer's specifications should (in most cases) be considered a special order-and thus non-refundable.
If your industry demands risk-free customization for the customers, you'll have to build this into the price.
It would be helpful to know what you're selling.
Someone has to pay the shipping. If they refuse then the customer pays the shipping.
2) a product was defective or customer was never able to make it work (i.e. product never worked right).
If they want a replacement they are sent one and don't pay for the shipping on the initial item. This falls under the warranty, manufacturer should pay shipping.
If they don't want a replacement then they pay shipping, it's really a return.
...all assuming you have seen the product before and know it does work when assembled correctly and is not really just a piece of junk.
1) a customer refused shipmentSomeone has to pay the shipping. If they refuse then the customer pays the shipping.
I agree. We have hard time enforcing it though...
2) a product was defective or customer was never able to make it work (i.e. product never worked right).If they want a replacement they are sent one and don't pay for the shipping on the initial item. This falls under the warranty, manufacturer should pay shipping.
If they don't want a replacement then they pay shipping, it's really a return.
Well..the last one we have REALLY hard time enforcing. Especially on bulkier items, where shipping is around $100, give or take. Try to explain to someone that "sorry, the product didn't work in your situation, please send it back, but we'll have to subtract a shipping charge of $100" - then they don't want to pay for either shipping, claiming the product is broken. We have a strict rule and do not refund shipping under almost no circumstances, but it typically deteriorates into multiple abusive phone calls, chargebacks and bad reviews.
Try to explain to someone that "sorry, the product didn't work in your situation...
Every business needs a shiny frontman as well as the bad guy who handles the nasty stuff.
The nice guy cannot shine if he has to handle all the nasties themselves, the mood spills over when dealing with prospective customers.
So, when there is a problem they get transferred to the hard guy who enforces the rules (there are people who do this well and enjoy it).
Sometimes if the customer is lucky and go through enough hoops they will try to call back and talk to the good guy (manager, owner) who will give in and "fix" everything, because that is the only thing good guys know how to do.
Every business needs a shiny frontman as well as the bad guy who handles the nasty stuff.
Very good advice, in this situation and many others. We are a small family business, but compartmented. Our 'front person' is sweetness and light - and a delight.
I am reasonable, professional, polite, understanding, willing to work with anyone or any problem. I am also the last person that anyone wants to be talking to personally if an issue crosses a threshold, because I am also brutally efficient and ruthlessly diligent when necessary. It's a last resort; we are very generous with the 'honey' when handling a problem. But it is our standard practice to 'go nuclear' if politeness, tact, diplomacy, and best effort yield do not resolve a situation.
Problems are mot allowed to remain 'open'. We haven't the time or the patience. It costs money to let a problem run loose. No!
Once one has a bit of experience, it is usually fairly easy to quickly predict how a person will respond to any specific tactic and whether they are worth working with at all.
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Back to the OP. We don't take on any ecommerce business that involves drop shipping; stocking all inventory for all businesses in-house. We have the resources and the turnover.
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1) a customer refused shipment
2) a product was defective or customer was never able to make it work (i.e. product never worked right).
If this a recurring issue, there is a structural issue with your business model, quality of product, or quality of supplier/manufacturer.
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Fully agree with akmac's post. Ir we make a mistake we pay all shipping. If defective, we expect the manufacturer to correct it promptly. If they do not, we may be quick to drop them.
