REFUND POLICIES

How your Return Policy can affect customer retention

According to a study done by TrueShip, over 60% of customers review a Returns Policy before they make a purchasing decision.

Cart abandonment is already a common problem for retailers, so anything that you can do to retain customers during the purchasing process should be a high priority.

Specific features of your Returns Policy can make or break a sale, so it’s important to be aware of what you need to cover by law, and what you should cover for greatest customer satisfaction.

Let’s take a look at what a Returns Policy is, what it should cover, what customers care about, and how it can fit into your overall marketing and customer strategy.

 

What’s a Returns Policy?

The Returns Policy is the document that covers the situation where a customer wants to bring a purchased item back and exchange it for cash, a replacement product, or store credit.

The customer may have many reasons for returning a product. A Distribution Center Operations Report reported by the Internet Merchants Association found that the top six reasons for customer returns were:

1. The customer ordered incorrect product or size

2. The customer decided the product was not needed or wanted

3. No reason for return given

4. The product did not match the description on the Website or in the catalog

5. The product did not fit the customer’s expectations

6. The company shipped the incorrect product or size

The type of policy is intended to set out how the merchant will deal with these scenarios, what recourse the customer will have, and the logistics of the return process such as who bears the delivery cost.

While a “Return and Refund Policy” is very common for ecommerce stores, it’s also found in SaaS apps or when selling digital products.

What to cover in a Returns Policy

Your Returns Policy will cover things like the types of items that are able to be refunded, the type of recourse your customer may receive (refund, replacement, or repair), and who covers the cost of delivery or postage for returning the items.

Different jurisdictions have varying laws on exactly what you need to cover. For example, the UK law is different from the US law, and the US laws are different from state to state.

In the UK, you’re required to give a refund to your customer if your product is broken in some way, does not match the product description, or if it doesn’t do what you said it would.

The UK also has laws for when a customer buys a product online or by mail. These laws require you to provide a refund within 14 days of receiving the product, and the customer does not have to give a reason.

In the US, there are also laws that set out how your Return Policy must be displayed in-store or online, and they differ state-by-state.

For instance, in California, you must display this kind of policy unless you offer a full cash refund, exchange or store credit, and they must be available within seven days of the purchase date. If you don’t display this policy, customers can return the product within 30 days, and will receive a full refund, no matter what your policy says.

Your policy should establish:

·         Which items can be returned, and which cannot be (e.g. digital downloads can be refunded but not returned)

·         Time limits and warranty periods on returning items

·         Whether refunds are available, and in what form (cash, store credit, replacement item)

·         Who is responsible for the shipping cost of physical items

Let’s take a look at some of those clauses.

First, a clause covering which items can be returned may look like this example from Apple:

You can see that their policy does not allow opened software, electronic software, or gift cards (among other things) to be returned. Think carefully about exactly what your products are, and whether or not they can logistically be returned.

Here’s an example of a Returns Policy from Blackmilk Clothing, that specifies the time period for the return:

Note that they allow a 30 day return period, except for products purchased during the Christmas season, which have a longer return timeframe allowed.

For covering shipping costs, take a look at this example from Amazon:

Amazon requires the customer to pay the cost of return shipping unless the reason for the return is a result of Amazon error. In some cases it may be difficult to determine whether an issue is the customer’s fault or the error of the retailer, so think carefully about whether you want to implement something similar.

What customers care about

When looking at your Returns Policy from a marketing and customer perspective (rather than a legal perspective) there are a number of things you can do to ensure that your policy doesn’t lose you any customers.

Set and beat customer expectations

One key thing to include in your Returns Policy is your shipping and delivery time requirements. One easy way to ensure that your customers are kept happy, is to over-deliver.

Take a look at the example from Zappos below:

You can see that Zappos states “you can expect to receive your order within 4-5 business days“.

If Zappos does this, and then ships everything overnight or priority, customers are left with a significantly more positive impression of Zappos. On the other hand, if you promise overnight delivery, and then there are delays, your customers may think negatively of you.

Set a lengthy returns period

A surprising new study was done by researchers at the University of Texas-Dallas looked at how these policies affect shopper behavior. They specifically examined how policies such as those containing long periods for returns could help or hurt a business, and the results were not what you might have expected.

The researchers found that a lenient policy resulted in more returns. But it was also correlated with an increase in purchases. Furthermore, the longer the period customers had to return an item, the less likely they were to return it.

The reasons behind this are unclear. Perhaps a longer return period gives customers time to get used to any flaws in the product (they keep thinking “I’ll return it next week, I’ve still got time“), and they eventually decide to keep it.

Allow free returns

Another big factor in customer satisfaction when it comes to return is offering free returns or free postage.

A study published in the Journal of Marketing in 2012, found that free returns could boost consumer spending by 158%–457% (when compared to pre-return spending). Allowing customers to return items at no cost to them leaves them with a positive impression of your store, and will actually make you money in the long run.

Look at why items are being returned, and fix what you can

We discussed earlier what the top reasons are for a customer returning a product, which included that the customer had ordered the incorrect product or size, the product did not match the description, or the product did not meet the customer’s expectations.

It’s important to fix any problems with returns that are the store’s fault, such as shipping the wrong size, or sending the wrong product. It’s also important to remember that even things that look like the customer’s fault may be the store’s fault.

For example: if the customer returns an item because it did not match the description, go back and check to ensure that your descriptions and images are accurate.

When 22% of returns are because there was a difference in the product appearance when compared to what the website displayed, it’s important to get this right, as it could save you money and customers in the long run.

Having a good Return Policy for your store is important for keeping your sales practices in line with the law, but also for retaining customers.

Over 81% of customers say that they are more loyal to retailers that have “generous” policy, but over 73% also say they are less likely to buy from a store with a restrictive one.

Remember to find out what your local laws are for the content of your Return and Refund Policy, and how to display it to your customers.

How Refund Policies Encourage Spending (& Reduce Returning )

“Forget sale price. Everything is 100% off when you don’t buy it.” — Joshua Fields Millburn

I have a friend. Let’s call him Jim. Jim has an interesting shopping habit—from time to time, he will buy something at the store and bring it home with a thought in the back of his mind, “If this doesn’t work, I’ll just return it to the store.”

The thinking is simple and, on the surface, appears to make perfect sense: Because the store has a return policy, this purchase has no risk. If it doesn’t fit or match or work for any reason, I can return it to the store. It’s an easy choice… and a perfect win-win situation for me.

Jim’s thinking is not unique. In fact, we all have friends who act like Jim. And, if we are honest with ourselves, most of us are guilty of similar thinking. My fictional friend, Jim, represents all of us—or, at least, Jim represents the 91% of us who say a store’s refund policy is factored in their purchasing decision.

There is, of course, fallacy to this thinking. It is not entirely a win-win situation for the consumer. Jim is not considering the time, energy, and gas needed to return the item if so decided. And he is not considering that returning this item will require him to re-enter the very store that persuaded him to buy something he didn’t need in the first place.

In fact, when you do a little research on the matter, you will discover that refund policies are not a win-win situation for the consumer… just the opposite, they are win-win situations for the seller.

It shouldn’t surprise us that a store or brand would implement specific strategies to get us to part with our money—that is their job after all.

On a macro-level, society pulls us towards consumeristic pursuits. And on a micro-level, sellers utilize strategies to convince us to consume in the specific ways that benefit them most. In my new book, The More of Less, I outline many of the specific tactics that retail stores use to convince us to buy more than we need.

Return policies are certainly one of them. I think it is important for us to be reminded that these policies are established to help, primarily, the store make money.

The prevailing question retailers ask when establishing their refund policy is “What policy results in the greatest profit for our business?” Source: Entrepreneur, The Wall Street Journal, TIME, The New York Times, and the list continues.

But this was never more evident than in an article published this week in the Washington Post titled, “The Surprising Psychology of Shoppers and Return Policies.” The piece outlines a study conducted by the University of Texas-Dallas that seeks to get a “better handle on how return policies affect shopper behavior.”

The results are interesting and important for us (as consumers) to consider. Here is a summary:

When it comes to purchasing, a lenient return policy results in an increase in initial purchases. The length of time allowed to return an item, the reimbursement percentage, the requirements for the return (necessary receipts, for example), the scope, and the specific exchange (store credit vs. money) were all factors considered important by a consumer. We consciously and subconsciously consider each of them when deciding whether to make a purchase or not. As would be expected, the more lenient the policy, the more likely a customer will walk out of the store with an item in hand.

But what is most fascinating about the study is not that it confirms what we know to be true, but that it shines a light on unexpected tendencies when it comes to returning items.

The researchers discovered something unexpected about consumers’ return habits: “More leniency on time limits is associated with a reduction—not an increase—in returns.” 

In other words, the longer a time frame allowed to return an item for full refund, the less likely consumers were to return the item in question. The very characteristic that makes the return policy appear to be a major-win for the consumer is actually a major-win for the seller.

How could this be? Wouldn’t the opposite be true? Apparently not.

The more time a shopper is allowed to keep an item before returning it, the more likely they are to just keep the item.

The researchers attempt to explain their finding in a number of ways: the longer a customer has a product in their hands, the more attached they feel to it, the long time frame creates less urgency to take back the item, and the longer consumers hold on to an item, the more likely they are to find a use for it.

What appears to be a win for the consumer is actually a win for the store.

DISCUSSION

Can refund policies by useful to the consumer? Absolutely, we’ve all found benefit in them at one point or another.

However, are these return policies implemented entirely for the sake of the customer? Absolutely not. They are designed to result in higher sales and lower returns for the stores that implement them.

The very perk that Jim believes is designed to benefit him is actually designed to benefit the store that now has his money.

Yes! This is so true. I worked at Nordstrom for a couple summers during college and experienced just this. Nordstrom basically has no return policy. Anything can be returned, anytime, no tags or receipt needed. And I watched many people use this as a reason to buy more initially. The issue is that as soon as something enters your home, a higher value is placed on that item. Pair that with the inconvenience of returning to the store, and you’re keeping items you never planned to. My policy is to wait 48 hours. If I still want something, then I’ll purchase.

o    julie says

I wait even for a week. And usually I empty the basket (if it’s online shopping). Also that is a sort of pre-owning the object.

2.      Karen @ Pieces of Contentment says

The psychology of shopping is very interesting. I like the opening quote – a little like my own ‘Save 100%, when you don’t buy it!’ Another of my favourite not-buy tricks is to multiply the ‘special’ price by ten (one for each of our family) it soon doesn’t look like much of a bargain.

3.       Linda Sand says

I don’t shop often but when I do I rarely return items I have purchased. If they don’t work for me they go into the “Goodwill” box and become part of my donation system. I feel good knowing it is likely someone else will enjoy that brand new thing at a much reduced price. I am thrilled to finally be at a place in our lives that we can afford to be the ones donating instead of the ones shopping thus passing on the favors we received in our early years.

o    Kellen says

I agree, it’s just easier to donate the stuff and stop buying so much of it. Amerikkkans donate so many clothes (literally mountains of the stuff) that the bulk of it isn’t sold in amerikkkan stores, it’s shipped overseas and distributed to the exploited countries where it’s sold by small street vendors and shopkeepers, especially in Africa and Asia.

I can attest to that, having spent much of my life working in African countries doing mop-up in the aftermath of U.S. military and imperialist destruction, in refugee camps, border areas, etc. Locals wearing western clothing, tiny stalls and tents with items for sale, etc. Only a small fraction of donated clothes stays in the U.S., there simply aren’t enough Goodwills and SAs and other secondhand stores to hold it all in the imperialist core.

§  Suki says

Kellen, you make a really good point about clothing donations. I listened to a very good radio short about the subject on the BBC last year. After spending at least 3 years trying to minimise my wardrobe hearing about African countries being deluged with our reject clothing changed my attitude to buying clothes once & for all. There IS no market in the UK for low quality mass produced second hand clothing & yet tons are dumped on other countries every year.

4.      Jennifer @ Path to Simple says

Very interesting! I am definitely part of that 91%. I try to buy from stores (or more often, online retailers) who offer a lenient return policy. And, I have to admit that I do often use it. I try to keep a minimalist home and lifestyle, so I have high expectations for the things I buy. If something does not meet my expectations, it goes back. Also, I am now in the habit of never shopping without a list. I have stopped visiting stores just to “see what’s on sale.” This helped me reduce my purchases, and in turn, my returns.

John P. Weiss says

I knew a fellow who used to buy stuff because it was on sale. Except he didn’t need it. When he passed away there were boxes of brand new, unopened merchandise in his garage. It’s not a deal if you don’t need it.

o    Judy says

That’s sad.

§  John P. Weiss says

I agree, Judy. He was well loved by family and friends but never able to shake his hoarding tendency.

§  julie says

This is very sad indeed. I am a bit worried about my mum. She seems to collect things, especially clothes. And even if some rooms of her house are full of, forgive the world, crap, I can’t find the way to explain to her that this can be a problem. This is also one of the reasons that since I was in my first year of university I immediately started “educating” myself to be as minimal as possible. The idea of buying full price items makes a lot of sense. You just buy what’s really needed so you don’t waste money at all.

o    laura m. says

John P. Weiss: Your friend had a hoarding disorder. Some women buy too much makeup and cheap jewelry and the stuff goes bad over time and the jewelry goes out of style before it’s worn. again, it’s a hoarding problem.

5.       Brandon says

This is incredibly interesting; this reminds me of a few years ago, when my wife and I were still in college and prior to being on our path to FIRE. She had purchased some Croc shoes online. They didn’t fit right so we took them to a physical store to return them but couldn’t (something about that specific model not being in their “system.”) The clerk told us to try Kohl’s, saying “I’m pretty sure you could take them a rock and they’d give you a sweater!” The funny part is….we called Kohl’s and she was right! They said they’d take them and give us in-store credit. We used to spend hundreds of dollars at Kohl’s at a time so they still came out on top on that transaction. They gave us the in-store credit, which we of course spent, along with God-only-knows how much more on top of it.

6.      Maureen@ADebtFreeStressFreeLife says

This is something I long suspected. It’s also true for the internet or online purchases, businesses that lack a physical brick and mortar location. I’ve seen internet marketers do this same thing for years. Offer no questioned asked return policies and what happens? Hardly anyone ever returns what they bought. So that course, book, etc. sits in their home, probably never opened or used. Thanks for a great eye opening article.

7.       Shannon says

Returns have been on my mind lately for a slightly different reason – This Fall we had an experience with an online company where the product received was damaged, nothing serious but some paint was chipped. They were SO fast about sending a new one and told us to keep the first one too. Sounded fantastic until the second one also came with the exact damage (I consider that a design defect now.) They refunded our money quickly and told us to keep BOTH of the lights. My husband and I talked a long time about what sort of business model would need to be in place and finally decided that its high volume, low quality goods that make that make it feasible.

Like you mentioned there were additional costs in there to us that the company in no way absorbed. Our time waiting & getting rid of the second product, the small repairs needed and the lingering feeling of cheapness that hangs on the one we kept.

Then about a month later the paper ran a story about a woman having a similar experience and, queue the waterworks, everyone went on and on about the generosity of the company’s return policy. It just struck me how shoddy a lot of the goods we must buy in this day and age and then get the spin put on us that these companies are so generous & good to us. I feel grinchy but its so disheartening.

o    Suzy Toronto says

I work in the wholesale industry. The way stores get around the defective or any reason return issue is that they use a business model called “Scan Trading”. Basically the store doesn’t even pay for item until it’s scanned through the system as a paid transaction. If the item is returned, the store charges back to the manufacturer the full price of the return. Not the the wholesale price the store paid. The whole full price. The store still gets 100% of transaction. Double cost is billed to manufacturer. This new scan based trading model is making it impossible for High quality US based companies to compete. Sad indeed

8.      Jan Ramsey Brick says

Wow – this makes so much sense. I’m really looking forward to your new book Joshua! Thanks for the great info.

9.      Pete Williams says

So true. I do most of my shopping at Costco, which has a generous return policy — and no area to try on clothes. Since I go there on a weekly basis (doing all grocery shopping there) I figure it’s no added hassle. Still, I inevitably wait in more return lines than I otherwise would.

o    Rea says

I shop at Costco on a weekly basis as well, and I STILL stand there looking at clothing and thinking ‘If I don’t really like this/it doesn’t fit, will I REALLY bother to return it?’ A lot of times the answer is no. As a consequence, I only buy when I love something enough to say ‘yes’, and I end up with pieces that I love and wear all the time instead of pieces that languish in the back of my closet.

o    Kellen says

Isn’t most everything at Costco wrapped or contained in plastic? Are all those plastics recyclable or does it end up in a landfill? How is it minimalist to continue to generate so much trash?

10.   Judy says

On a daily basis I see people come in to do a return…and walk out with bags full of more merchandise. It is a trap. Also, our customer service is WAY at the other end of the store…so you have to walk through isles and isles of “temptation”. Just like a casino—stores are designed to take your money. Bottom line. The best way to save money is not to spend it in the first place.

11.   Shannon says

Having just returned two items to the store yesterday, this hits home for me! :-) Though I suppose I should be grateful I actually returned them, rather than leaving them in my home… Part of my problem is that I’m usually shopping with several children in tow, so I don’t have the opportunity to try things on — at least without significant logistical difficulties!

I actually hate making returns, so that keeps me from the “I can return it” mindset… most of the time. I know there are times I’ve used that reasoning when I’ve purchased something! And there have been those items I couldn’t return because I lost the receipt, or just waited too long. The time/stress associated with buying an unneeded item, even assuming it can be returned, is just not worth it!

What a good reminder that retail stores are not there to help the consumer, they are there to make money. I can’t fault them for that, but I also don’t want to fall into the trap of consumerism!

As always, your blog is such an encouragement!

Cheers,
Shannon

12.   IBikeNYC says

I had never thought of this this way, but it HAS to make financial sense for the vendor, or they wouldn’t do it!

I literally almost never buy anything unless I am sure it’s a keeper, but when it does happen, I nag myself CONSTANTLY until I’ve returned it.

One thing I have started doing, mostly at the supermarket, is checking the seals on things that have seals, like cottage cheese. I lift the cover and poke at the seal to make sure it’s firmly in place.

If it is, I buy it.

If it isn’t, I bring it to the attention of someone in charge.

The second time I got something home with a broken seal was the last!

Even an OCD-driven returner isn’t gonna bike an extra eight miles just to exchange a pint of sour cream!

13.   Heather says

I can see where this is true! I hate returning things, but refuse to shop anywhere that doesn’t have at least the standard 30 day return policy. Reason being… I purchased a laptop at Best Buy and never could get things running just right (didn’t know if it was the laptop or user error). I went to return it 20 days later but… GUESS WHAT? 14 DAY RETURN POLICY!!! WHAT? It had been changed a short time before my purchase and I had no idea. None of the staff told me, cautioned me, nor were there large posters stating the change had happened! I was astounded. I now had a faulty laptop that I was stuck with. So, no good return policy= no business from me!

Online retailers are another thing. I HATE mailing anything! I go to great lengths not to! But, I love to shop online! I am super careful where I buy and think long and hard about what I buy because of my disposition on mailing. My favorite online retailers are Amazon and any that I can return their items to their brick and mortar store locally.

My friend is the queen of shopping and returns. I don’t get it, but then again.. she always has birthday presents on hand, party gear, seasonal decor, and plenty of everything to give to her friends in need! I watch in amazement as she stacks deals on top of deals to pay very little for these things, but I simply cannot do it. I don’t have the funds nor the space to do what she does.

14.   Jeff Mc Clung says

Good post, Joshua. I know I’ve bought into that lie many times over the years. I really like the stats and info you put in here that reinforces what you’re talking about.

Looking forward to your book coming out in may!

15.   Kalie @ Pretend to Be Poor says

I abhor the inconvenience of returning items and this definitely limits what I bring home, though I’ve fallen prey to this trap before, too. I also find it ironic how advertisements depict their products in immaculate, minimalist spaces, as if purchasing the product will make your home less cluttered. Of course just the opposite it true and I try to keep this in mind to avoid over-buying.

16.   Maisy K says

Another variation of the return advantage for the retailer…you buy something that is “iffy” but rest in the knowledge that the item is easily returned. You decide it’s not right, return it, and receive a credit that feels like free money. So you go back into the store with the credit and choose something(s) that costs even more than the first item.

Unfortunately, I used to do this very thing at TJ Maxx. It has been two years since I decided that I could not handle that store. So far, so good.

17.    Melanie says

I know this is a bit off topic. But I’m so glad I found your blog a bit over a week ago. Since then I’ve donated 15 big bags to charity, three away 7 and sold another.
I’ve never felt so free and happy.
I used to go shopping every weekend. Even if I only spent a small amount of money I had to part with it so I could be ‘happy’ for a tiny bit.
Being a mother I now spent more time at museums, parks and the like.
My partners family are very materialistic and I don’t quite know, if they will take my new life seriously and they will definitely be super disappointed when I’ll only gift them experiences and/or consumables.
I’m not telling them but the gifts they’ll give me will most definitely go to charity as I don’t need anything (just telling them to donate money in my name or not giving me gifts unless consumable would not happen)
The only two things I intent to buy this year are a pair of new slippers (my old ones are worn to the point of being unwearable) and a new laptop (mines been broken for a while)
I wish I could find people like me in my area, I’m not on Facebook though so that will probably not happen.
For now this is my only outlet and I love reading everyone’s input.
Thank you Joshua for writing and sharing your experiences with us.

o    Kellen says

Or just don’t give any gifts, even “consumables.” Isn’t your presence enough? My friends and I go out and eat together on the holidays and special occasions. We never give gifts. I don’t want anything since I’m uncluttered down to the bone, and they all have their own lifestyles and can afford to buy whatever they need or want. If they need something or need some financial help, they know they can ask me and I’ll be happy to help them.

18.   Rosanna says

I just discovered another way that I don’t fall in the majority category! I suppose a lot of that has to do with being a natural saver, living far away from most shopping, and not being much of a shopper. When I do go shopping, I think long and hard about whether I really like the item, whether it fits right, etc. I do often shop online, but only from retailers that send me postage paid shipping return labels. Even than, it is mostly for my young children and I know what size they wear so I almost never return anything. I would find it very annoying to have to return an item and being a natural saver, wouldn’t want to avoid it-if necessary. That being said, I can see how people often don’t end up taking stuff back-it really is an inconvenience.

19.   Hulga says

I hate it when it happens that I have to return a piece of clothing (say a gift that doesn’t fit my kids) and end up spending more because I get a store credit and it totally feels like free money. The problem is I end up always spending more then I had credit for….grrr…Thanks for the article. Lots to chew upon…

o    Kellen says

It’s a problem with mail order clothes. I finally just ended up donating clothes that were too big or whatever. (I don’t know why sizes have to be so fluctuant between manufacturers!) Donating stuff I wouldn’t wear helped me along the path of decluttering more since I was more careful about buying stuff.

Now I only buy used clothing at vintage and secondhand stores, and only when I need it. I’m down to owning only two t-shirts and two blouses, and I’ve resolved to buy only secondhand and only at the point that it’s absolutely necessary.

20.  Kellen says

Those Minimalism guys are capitalists. I listened to a podcast in which they were defending capitalism and said the only “bad” capitalism was “crony” capitalism. Clearly lacking class analysis or any understanding of Marxism or scientific explanations of capitalism.

I don’t mind when the minimalists keep it personal, like “don’t go shopping, save 100%,” or “purge all your stuff to feel better” or whatever, but when they go rogue with their unscientific and non-evidence-based political “theories,” they only reveal their crass opportunism.

The cognitive dissonance one must balance in order to support an unsustainable and bankrupt system like capitalism and be a minimalist at the same time while espousing sustainability must be tough. How the bourgeois apologists square that in their minds is anybody’s guess.

21.   Jen @ Frugal Millennial says

I completely agree! My mom has struggled with a shopping addiction in the past. She would always tell herself that if something didn’t work out, she would return it. As a kid, I would get so frustrated shopping with her because we ALWAYS had to buy something, even if we didn’t find anything we liked. If she decided she “needed” a new pair of pants, she would buy pants even if she couldn’t find any she really liked. And then she would never wear them, which is a poor financial choice and it’s completely wasteful.

22.  Sarah Edmiston says

This article really proves the science behind being minimalist. The stores really know what to do to make money off the consumer, and with this knowledge, we can all start to shop a little smarter when we have to.

23.   Colleen says

Mirrors in many stores are designed to make you look thinner and the clothes more flattering. I’m always prepared to, and always do, return clothes that don’t look good in my own mirror. I decide as soon as I get home if something doesn’t work and needs to be returned. It goes right back into the bag with the receipt. I’m more careful and usually don’t buy if there is a no return policy or it’s just for store credit.

24.  Leigha says

Working for three years as an assistant to a professional stylist I’ve seen how return policies can benefit the consumer, but you have to actually return. Stylists need high end, up to the minute fashions for photo shoots, commercial shoots and film shoots, but don’t want to maintain the inventory and usually aren’t reimbursed the full cost of the clothes/props/miscellany needed for the shoot. I used to make returns of around $3,000 in goods daily, and some days as much as $10,000. When your job revolves around returns, it very much inures you to making purchases and very much prepares you for returns. Since starting this job, I’ll do a $2.51 return at Target and walk out of the store without a purchase.

25.   Bonnie says

I find the marketing and strategies of stores fascinating. Though this comment isn’t focused on returns there is suggestive selling everywhere. I have come to the realization that store clerks often don’t even realize what they are saying due to the desensitization of repetition.

Here is my example. I grocery shop at Safeway. Every time I pay for my groceries I am told you saved $XX.XX amount today! Case in point… I always kindly tell the store clerk while smiling so as not to offend.. Wow! Well… not really because I just spent $XXX.XX!!!

It’s hilarious because I usually confuse the clerk for a moment. The truth is there was no savings at all. Its a deceptive tactic to make a customer “feel good” that they “saved” at said store. I always find this scenario ridiculous. It overlaps at most retailers too I’ve noticed.

It’s not that I mind spending the money, after all I need to eat and clothe myself. BUT please don’t tell me what I fantastically and untruthfully saved in the process!! Ridiculous to say the least.

o    ren says

Kohl’s even circles the “savings”, heehee. I just say thank you and carry on. We all know the drill….

26.  Joyce says

Back in my early consumer driven days, I used to purchase sale items on a credit card thinking I had just “saved” so much money.

Luckily, I figured out that the interest wiped out the savings. I stopped carrying any balances decades ago, and now on rare occasions that I purchase something, the credit card pays me cash back. I stay away from stores and temptation and consciously remind myself that I don’t want to donate any more unused items.

27.   Joyce says

I have a friend that does that. Makes returns all the time and considers the store credit to be free money. She will say that she bought something else and it only cost her x amount of money. I try to tell her no – she paid the original cost of the returned item plus the x amount. It doesn’t seem to register.

28.  Brian says

The return policy at REI (the outdoor co-op) up until 2014 was that co-op members could return any item for any reason at any time for the life of the product. That definitely helped me allow the purchase of items I did not really need for a much higher price than other brick and mortar as well as online retailers sold them. Part of the reason was, “well, I can always return it at any time if I do not like it.” Now, REI has changed that policy partially because people were returning items years later (availing themselves of that return policy). The guarantee is now only valid for one year. This change has really helped me see that I was purchasing fun items I did not need based on a flawed sense of safety. I did not return any items anyways, so why buy at a higher price, or at all. I still have outdoor-based hobbies, but I am careful to purchase the quality item I really need, at a price that fits our family budget, and leave the fun stuff that likely sat in my garage on the shelf.