inSight The Last Word
Returns & Exchanges
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he purpose of a store policy regarding returns and exchanges is to protect the store from dubious claims, but sticking to a store policy no matter the circumstances will affect your bottom line – negatively. Rather than being inflexible with store policies, give your staff the ability to make common-sense exceptions. For instance, if a customer is charged the wrong price for a product but doesn’t notice the error until she gets home, and you insist on giving her a store credit rather than cash because you have a “no refund” policy, I guarantee you that you’ll never see that customer again.
Give your staff the ability to make common-sense exceptions. In a situation where your store is at fault, your goal should be to resolve the situation in a way that is amendable to the customer. In another instance, there is a customer who wants to exchange an item he bought 10 days ago. The trouble is your policy is “no exchanges after seven days.” However, he’s been away on vacation. What do you do? If the product looks like it’s in good shape, exchange it! Let the customer know that you’re making an exception to the normal store policy in order to keep them happy. Being more flexible with return policies is a balancing act. Unless you think a customer is abusing the privilege, in the end it’s better not to hassle customers about returns and exchanges. It costs a lot of money to find new customers, which is why it’s important to keep current customers happy. By all means, be clear about your policies: write
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inStore. Spring 2016
FLEXABILITY IS THE KEY TO GOOD STORE POLICIES Store policies exist to protect you from dubious claims, not to punish honest customers
them clearly and state them clearly in the store and on your website, but keep in mind that your end goal should be to make and keep customers happy. Formalized policies give staff guidance when making decisions. To help them understand how you would react to a situation, role play different scenarios with them so they’re prepared to be lenient and resolve situations in positive ways. Make sure your employees know how you want customers to be treated. Barbara Crowhurst is a business coach and store designer who works with clients around the world. www.retailmakeover.com
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