Managing returns has never been easy because the whole process consumes ample time and increases unnecessary expenses. In addition, you lose customer loyalty, and that results in attrition when you don’t take the required steps to lower down the rate of returns.
With AfterShip Return Center, you can give an option of ‘Exchange for other items’ to customers for a unique brand experience and high retention.
👀 Does this new exchange option have any importance?
Yes, of course!
When you let customers exchange disliked products with other items, the rate of returns drops drastically. Plus, they are likely to stick with your brand in the long run, give a positive review, refer your store to their friends, and so on.
In short, AfterShip Returns Center turns the frustration of raising a return request into the excitement of placing a new order 🤟
👨💻 Steps to enable this new refund option
Note that only pro and enterprise plan users are eligible to use this feature. So, upgrade your plan if required :)
If you’re an eligible user, make sure your Shopify store is connected with Automizely Shopping as well. It is important to sync all your products so that customers can check other products available for the exchange. So, install Automizely Shopping now if you haven’t done it yet. It’s free 🤟
Go to the 'Returns settings' of your AfterShip Returns Center account
Click on the checkbox given for ‘Exchange for other items’ option available under the 'Exchange Resolution' section
Now, one risk warning notification will pop up, which you should read carefully and ensure you've not set any settings that can unexpected hassle in the future. Once done, click on the ‘Agree’ option to proceed further
Decide the credit type from the given options — ‘Fixed amount’ and ‘Percentage’ — and then change the status from ‘Disabled’ to ‘Enabled’
If you have connected multiple stores with your AfterShip Returns Center account, make sure you define all the supported currencies one by one. Otherwise, the extra credit value for the missing currency will be set to 0 by default.
Tap on the ‘Save’ button to finish the procedure
🤔 Why should I offer 'Extra credit'?
Offering extra credits helps you safeguard your brand's image. Generally, merchants don't return the shipping fee while initiating refunds, which results in customer turnover and dented brand image.
Instead of following such unethical practices, you should encourage customers to opt for an exchange by giving them a few extra credits. It builds long-term customer relationships and slashes return costs to a large extent.
👀 What will happen if the customer goes for exchange instead of refund?
If your customer opts for exchange, you'll see a new entry in your Shopify Store account's 'Orders' section and AfterShip Return Center account's 'Returns' section.
Note: You have to create new orders manually in case of refunds.
🙄 How is extra credit going to work for my shoppers?
Let's consider 3 different scenarios for complete clarity:
Case 1: Shopper uses all extra credits
Shopper wants to exchange a $100 item (tax included) with $200 item, and you've set $5 and $10 as an extra credit and cost of return. In this case, he/she will have to pay $105 ($200 - $100 - $5 + $10 = $105)
Case 2: Shopper uses extra credits partially
Shopper wants to exchange a $100 item (tax included) with $102 item, and you've set $5 and $10 as an extra credit and cost of return. In this case, he/she will have to pay $10 ($102 - $100 - $2 (partial extra credit) + $10 = $10)
Note that your customer won't be able to use the remaining $3 extra credit next time. Also, extra credit only applies to the order value, which means it can't be used to adjust the cost of return.
Case 3: Shopper selects cheaper product for an exchange
Shopper wants to exchange a $100 item (tax included) with $80 item, and you've set $5 and $10 as an extra credit and cost of return. In this case, he/she will get a refund of $10 ($80 - $100 + $10 = -$10)
$5 extra credits will not be added to the refund amount, therefore they go as unused.
✍️ Crucial info to keep in mind
Exchanged items won't be allowed to return
Exchange requests will be rejected automatically if the shopper has changed the state/province of their delivery address.
ICYDK: This rejection happens to safeguard your business's bottom line because tax varies according to locations, and that means you may end up facing unexpected monetary loss due to this. Therefore, review such requests in Shopify admin and initiate refunds if necessary.
Make sure the checkbox given for the 'Include or exclude tax based on your customer's country' option in Shopify's Tax settings is unchecked. Click here to verify now
Ensure that there is no entry in the 'Automatic discounts' section of your Shopify account. Click here to delete now
In case you need help, say hello to our chat support team now
Updated on: 31 / 12 / 2021