How do you structure up a returns policy for your retail website

25 November 2011

Sooner or later, someone is going to want to return something they bought from your online store. How you handle this process can decide whether or not that customer returns to buy from you again, even after having a bad experience with one product. Your returns policy will depend on what kind of industry you are in. For example, you cannot have the same returns policy for electronics and for underwear, but there are certain things you can do to make sure it is as usable as possible, without costing you a fortune.

1) Know the Law

Consumers are savvy about their rights, and so you need to be too. Regardless of your product, there are certain minimum consumer protection laws in most countries that govern when a person is entitled to a refund, and in how much time. You can choose to stick to the minimum here, or you can tailor it to suit your website specifically. Either way, if your returns policy does not meet the minimum legal requirements, someone will eventually call you out on it.

2) Protect Yourself

While it’s important to worry about your customers, it is equally important to make sure that they don’t bankrupt you by constantly returning products you cannot resell. Make sure that if you sell something consumable, or something that loses value immediately after being opened or used, that you protect yourself as much as possible against abuse of your returns policy.

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