Return Policies – Is Yours In Check?

Retailers have various return policies from no returns accepted to no return limits. For the most part, however, things are not so black and white – which, in my professional opinion, is a good thing. Setting up clear return policies allows your customers to understand that their purchases must adhere to your policies in case they change their mind. This doesn’t mean they can’t change their mind, but it means they should be responsible about their purchases so that you, as a retailer, can be responsible with your planning and inventory, as well.

Boutique stores often struggle with customers who want to return products weeks after a purchase. Because your inventory is not as deep as larger retailers, such as Macy’s, you typically cannot afford to accept returns too far after a purchase is made due to the fact that the product may no longer be on your selling floor as well as various other reasons.

In addition to controlling your inventory, you need to control your own checkbooks. If returns come in too far after originally purchased, your entire checkbook, so to speak, can get all messed up. We definitely don’t want to see you in a money hole due to returns!

Finally, the reality is that customers try and get away with everything these days. If you sell apparel or accessories, you may know this all to well. For those of you that don’t, here’s the scoop…. Customers sometimes buy things, wear them and then return them. Gross, right? Rude too. But none the less, it happens. Not all customers deserve this bad rap, but it’s because of these customers that we need to watch out for each other. So with these few points to consider, here are a few return policy tips:

1. Allow returns on all merchandise possible for up to a designated time frame. Typically, I reccomend 10 to 14 days maximum. People know within that time if they want to keep something or not, so offering more time just allows for them to push the limitations that you as  a retailer should consider (those mentioned above).

2. It’s okay to accept no returns on some purchases. On sale? Over a certain price? Personal item such as lingerie? Sometimes it’s okay to make a firm “sales final” statement. Make sure, however, that your customer is aware of this before their purchase. I suggest getting a stamp or other identifying factor to highlight this on the receipt and even having them initial your copy of the receipt and their own so that they confirm they understand your policy. A great site for stamps to help control all your retail needs, including a “Final Sale” stamp,  is www.rubberstamps.net.

3.  Identify your return policies in a visible place for your customers to see and review at their leisure. Dressing rooms and the check out areas are both great places to show these details. Double exposing these details is encouraged, too. In addition, when possible have your policy written out on your printed receipt.

4. Tags and other retail labels should be on the product for returns. In my opinion, there should be no exceptions here. You are not Target – meaning, you do not have oodles and oodles of inventory. Respect the inventory you do have and don’t accept returns on product that have the tags removed. No matter what the customer says, this indicates it was worn or used.

5. There are always exceptions. True to life, there will always be scenarios that deserve a little slack. But that is your call… not mine.  As boutique owners, part of the luxury of running your own show is that you can make these choices. Then again, that isn’t always a luxury since you can’t point fingers at anyone else. None the less, you call the shots. Just remember the shots called make all the difference.

Lastly, remember that every detail matters here. Make sure that a receipt is ALWAYS included with the return, as well. In addition, you should address all these details in a friendly, professional tone – it doesn’t need to be as if you are the return policy police. But do be clear so that your customers are clear. This will definitely save many headaches – both emotionally and financially – later for both you and your customers.