Creating a Return Policy that Increases Sales

Short video by Sarah (Boutique Hub) advising small retailers on designing customer-friendly return policies to increase conversions and repeat business. Key recommendations: make return policy very simple and prominently visible on product/sales pages, offer generous/extended return windows (avoid 7–14 day limits), consider covering customer concerns about refunds to reduce purchase hesitation, and prefer customer-centric policies over bookkeeping convenience.
Chapters
Hey guys, it's Sarah. Back with the Boutique Hub today to answer another one of your commonly asked questions. This one is all about return policies. We know that you're going to have them. No customer is always 100% satisfied. There's going to be times that you are going to have to accept returns. It's just part of the business. But a lot of times the business wants it to be in store credit only and the customer pays for the return. Why? Because it's easier for the business. It is. It's a lot easier for us to track those things financially in our QuickBooks and our Bookkeeping system. However, what's easy for us might be super frustrating for the customer. So I just always ask, you think like the customer. I mean, you're a customer. You shop for things on the daily. What makes you want to spend money with a business? Yes, it's the business itself, right? It's what they stand for, all of those things. But also it's the way they serve you. Do they make it hard? Do they make it more difficult for you to do business with them? If they do, you very well might pass. Remember what I always say about a confused mind doesn't buy. Well, a confused mind doesn't buy, but also a mind that is worried about the transaction and worried what if this doesn't work? How do I get my money back? Or will I get my money back? How long will it take? How frustrated will I get with this process? Those people tend not to buy either. And if they did once and they got burned and they had a bad experience, they probably won't be back again. So in this really noisy world, especially e commerce online, how do you get noticed and stay relevant? Well, I honestly think it has a lot to do with your return policy. So please make your return policies known. Make it very simple and I mean very simple. By on every one of your sales pages, if I add something to my cart or if I find this particular item and I find it on the sales page and I've discovered what size I'm going to want it in and what color I'm going to want it in, please don't make me bounce back off of that. To answer a question about return policy, allow extra time. That's my other thing. Do away with the seven day return policy, 14 day return policy. It's really hard to make a good solid decision in that amount of time. Odds are and statistics say that if you extend that return policy with no limits and you allow that customer to send that item back to you at their convenience. Odds are they're not going to return it, they're going to forget about it, or they're going to decide to keep it. Statistics have shown that in the past, and we see that even more now. So think like the customer. I don't have a good, solid answer for you that you have to do. I'm just asking. Try to reduce the confusion and reduce the stress to your customer. Help them to know that they have confidence in you and in their business, that if they make a decision to buy and it doesn't work out, they're not at a loss, that you're still there to serve them. Serving them by a good, solid, flexible return policy. That's my tip for you for today. All right. Always treat the customer like you want to be treated. Have a great day, guys.










