As an eCommerce business, it is an unavoidable fact that a proportion of your customers will want to return your products for all sorts of reasons. In fact, up to 30% of online sales are returned.

This may make writing your returns policy seem daunting, but it also highlights the importance of having a clear, efficient and robust reverse logistics (returns management) system in place. 

It's tempting to focus on avoiding loss and maintaining profit when writing your returns policy. However, beware that a less-than-friendly policy might alienate customers and, consequently, damage your business. A streamlined system will avoid wasted hours for your customer service department with email chains to frustrated buyers. 

In this guide, we outline the importance of a solid returns policy and share some tips to help you write one. 

Why a good returns policy is important to your business 

1. Customers expect one

According to the Office for National Statistics, a decade ago, online sales accounted for 9.6% of total retail sales. In January 2023, this had leapt to 26.6%.

That's a huge rise in a relatively short space of time. And with that rise comes savvier customers with higher expectations.

With multinationals offering incredible online retail services, it's important your business competes and offers the customer experience online shoppers are now accustomed to. This means, among other things, offering transparent shipping and returns policies. 

2. It boosts customer loyalty

It goes without saying that a good customer experience will increase your chances of repeat business. A positive experience with your returns system will aid trust and leave your customers feeling positive about using your services again. 

3. A bad policy can damage your reputation 

Online reviews can leave you in a world of trouble if you don't keep on top of them. There's nothing more demoralising than reading repeated complaints about your service – and difficulties with shipping and returns can seriously rub customers up the wrong way.

The impact of negative reviews should not be understated and a flexible, customer-friendly returns policy will help you avoid them. 

Tips for a great returns policy

1. Keep the language simple

Customers want information to be clear and direct, so avoid using legal jargon. If people can't make head nor tail of your returns policy, they will send support requests. This is, frankly, a waste of everyone's time. 

2. Consider offering free returns

Though the thought of covering postage costs for unhappy customers may feel frustrating, it really is what people expect from an online service. If customers have to cover their own shipping costs, it may put them off using your service again.

The easiest way to achieve customer satisfaction – and, therefore, repeat visits to your online business – is to offer free return shipping labels upon request of a return. If this is something you feel unable to offer, then make sure you're upfront about costs that customers are responsible for at the point of sale.

3. Consider the timeframe

No one likes being rushed into a decision and – let's face it – most people have busy lives.

Legally, you must offer a 30-day window for goods to be returned. However, offering a longer timeframe may well reduce returns, as it allows people to relax into their purchase and not rely on snap decisions.

However, there has to be a limit. Open-ended return policies can come back to bite you months and even years later. Most importantly: whatever you decide, make it clear.

4. Be clear about the conditions of return

Be clear about the required conditions of goods that will be accepted as a return.

For example, if your business sells clothes, will you accept only unworn items with tags still on? What about damaged or defective items? Or, if you sell hygiene products or underwear, are they actually non-returnable?

If you're upfront and clear, you'll avoid people sending back goods that are unsuitable for resale. These returns can be a customer service and logistics nightmare. 

5. Offer exchanges

If you can offer your customer a suitable exchange – say, for a different size or colour – you can avoid having to offer a full refund every time. If there is an exchange option on your returns form, buyers may well opt for another product. If they have to wait for a refund and then reorder, you might be less likely to end up with a sale. 

6. Don't hide it!

It is so frustrating to have to search for a refund policy on an eCommerce website. Customers will often want to check it before they buy and they'll find it off-putting if they can't access returns information. Making your returns policy visible will only help save you time and money in the long run. 

Using a third-party logistics company

You might wonder if there are companies that can assist with acing your returns policy.

The answer is yes. Find a good 3PL (third-party logistics) provider and it can take responsibility for all aspects of your returns management procedure.

A 3PL can't write your returns policy – that ball's still in your court. However, a good 3PL can help you deliver on the promises in your policy and keep customers happy and loyal.

Why choose Stowsafe?

Stowsafe Fulfilment is a 3PL distribution firm based in Somerset in the UK.

What sets us apart from the rest is our flexibility. Our clients aren't tied to one delivery company or one procedure, meaning we can tailor our service to your needs.

Work with us and you can harness a bespoke reverse logistics system that takes away the stress from you, giving you time to grow your business and concentrate on the things that matter. Because let's face it – product development is much more fun than trawling through returns. 

With Stowsafe, everything is managed in one place and logged with automatic emails, giving you peace of mind in the knowledge your customers are enjoying the best returns experience possible. Ultimately, this means they're more likely to use your business again. Win-win!

To get started, explore our fulfilment services or drop us a message.