How To Handle Returns on Shopify

In a perfect world, your customers will find the right product every time. But because that isn’t realistic, you need to know how to handle returns on Shopify. Managing returns is a crucial aspect of running an e-commerce store, and Shopify provides several tools and strategies to streamline this process.

A well-defined return policy and an efficient returns process can enhance customer satisfaction and loyalty, ultimately contributing to your store’s success. 

Creating a Shopify Return Policy

Shopify stores can set their own return policies, and while the platform does provide some guidance, it’s really up to you to decide how to handle returns on Shopify. A clear and comprehensive return policy is essential for setting customer expectations and protecting your business. It outlines the conditions under which returns are accepted, the time frame for returns, and any costs associated with the process. 

Define Conditions

The first thing you need to do is define the conditions for returns. You need to state a return period, something like 30 days from the date of purchase, which is a common timeline for returns. Too short of a period will lead your customers to feel pressured; too long, and you set yourself up for returns of outdated merchandise.

You should also make sure that customers understand they must return the product in like-new condition. If you’re selling clothing, for example, make sure that your customers know that the items must be unused and unwashed. Requiring a receipt or proof of purchase can help you avoid return fraud. 

Create a Guide

Next, provide a step-by-step guide for customers to follow when returning an item. This should include contact information, the return authorization process (if needed), and shipping instructions. Make sure to include details on how customers should package and ship the returned items and whether they are responsible for shipping costs.

You also need to explain how refunds will be processed. Specify whether refunds will be issued using the original payment method or as store credit. Also, indicate how long it will take for the refund to be processed and for the funds to appear in the customer’s account.

Clarify Exceptions

Customers also need to know if there are any exceptions to the return policy. If you have final sale items, identify them clearly. Also, include instructions for returning items that arrive damaged or defective, and clarify whether shipping costs will be covered for these returns.

Learn How To Handle Returns on Shopify

Handling returns efficiently on Shopify involves setting up your store to manage returns, using Shopify’s built-in tools, and possibly integrating third-party apps for a smoother process. Here’s how to manage returns on Shopify:

Set Up Return Settings in Shopify

Shopify allows you to configure return settings to streamline the process. You can provide prepaid return labels to your customers. Shopify integrates with various shipping carriers, making it easy to generate and send return labels.

You can also use Shopify apps to manage returns more effectively. Shopify also has an automated returns feature that lets customers initiate returns directly from their order history in their account.

Process Returns Efficiently

Ensure your returns are processed promptly and accurately to maintain customer satisfaction. When they arrive, check the condition of returned items to ensure they meet your return policy criteria.

Update your inventory to reflect the returned items, making them available for resale if they are in sellable condition. Process refunds or exchanges according to your return policy; if you set the policy up well, it will provide a clear outline of how things should play out.  

Analyze Return Data

You should pay close attention to what items are returned. Depending on your industry, your customers will have different reasons for returning items. For example, in fashion, 81% of customers who have returned items have cited defects, and 75% of consumers have mentioned sizing issues as the reason they returned clothes. 

Address these problems to identify opportunities to reduce returns. If defects are common, you may need to discuss things with your manufacturer; if sizing is a problem, consider using a Shopify sizing app like Kiwi to add size charts and help your customers find the right size the first time.

Communicate with Customers

Keep customers informed about the status of their return and refund through email notifications. Customers appreciate communication throughout this process, and good communication will make it as painless as possible for you and for them. In fact, effective communication can actually build customer loyalty, because it shows how much you value their experience. 

Make sure you send return confirmation emails that confirm the receipt of the returned item and the status of the refund or exchange. Ask for feedback on the return process to identify areas for improvement and enhance the customer experience.

Best Practices for Handling Returns on Shopify

In addition to a well-crafted return policy, Implementing best practices can help you manage returns more efficiently and keep customers satisfied.

Make Returns Easy

Simplify the return process as much as possible. A hassle-free return experience can increase customer trust and loyalty. Ensure your return policy is easy to find on your website, and provide clear instructions for returning items.

Offer Free Returns

Consider offering free returns to enhance the customer experience. While it may involve additional costs, free returns can increase customer satisfaction and encourage repeat purchases.

Provide Store Credit

Offering store credit for returns can be a win-win situation. It allows customers to use their refund to purchase another item, keeping the revenue within your store and potentially increasing customer loyalty.

Why Should I Know How to Handle Returns on Shopify?

Knowing how to handle returns helps you stay on top of your business. It requires a well-defined Shopify return policy, efficient processes, and effective communication with customers. By setting clear return conditions, utilizing Shopify’s built-in tools and third-party apps, and implementing best practices, you can manage returns smoothly and enhance customer satisfaction.

Remember, a hassle-free return experience can build trust and loyalty, ultimately contributing to the long-term success of your online store. However, even if you know how to handle returns on Shopify and have a smooth process in place, it’s better for your shop in the long run if you are able to minimize returns.

That’s why you need Kiwi. With our sizing app, it’s easy for your customers to know exactly what size the clothes you offer are. This precision lets them predict how the clothes will fit, making the shopping process easier and reducing returns. Reach out to us today to find out more about how Kiwi can make your e-commerce experience easier!