Product returns: They’re annoying, confusing, and unfortunately, unavoidable. However, there are things you can do to make this inevitable aspect of selling products a bit more bearable.
The 5 steps of product returns.
In general, the product return process includes five distinct phases.
- You verify the return request by seeing proof that the item was bought in your store. According to your policy, the item may also need to satisfy other conditions, such as still having the tags on it.
- If it does, a return request can be created using the payments software within your point of sale (POS) system. At this point, the cashier can specify whether the product is being returned or exchanged.
- The transaction is processed. Refunds can occur via the original payment method, in cash, or with store credit/voucher. For exchanges, the price difference between the two products is calculated and resolved.
- The transaction is completed, with the employee noting the reason for the return.
- The returned product is put back in the store’s inventory.
Now that these elements are clear, let’s look at how to streamline this entire process.
How to optimize your returns procedures.
Fortunately, with the right POS solution for retail stores in place, returns and exchanges should be painless. Here are just a few of the things you can do to streamline the process.
- Create a clear return policy. This might sound obvious but the fact is this: Many returns happen because customers were confused about the product they bought or the policies surrounding it. It is very important to publicize your policies on all channels including in-store and online. The policy should state the duration for return, the conditions that make a product acceptable for return, any products or types that cannot be returned or exchanged, payback options (cash, store credit, original payment method, etc.), and how long it will take for the refund to appear in the customer’s account.
- Have a way to process returns without receipts. One option is to collect email addresses and phone numbers at the time of purchase in your POS solution for easy tracking later. You may also be able to search for a product by its serial number.
- Use past returns and exchange data to improve your processes. Take advantage of your POS system’s reporting capabilities to create documents about past selling seasons so that you can find patterns. Then figure out what these trends mean so you can fix the problems that you see.
- Integrate your systems. If you operate in more than one channel, your software should be able to move seamlessly through them all. For instance, a person who purchases one of your items online should be able to return it at your physical store with no difficulty. This can be achieved with the help of an integrated POS solution for retail stores. Once this is in place, the entire system is updated in real time, ensuring that you have accurate sales and inventory data going forward.
Now that the frenetic holidays are behind you for another year, it’s time to take a deep breath and celebrate all of your hard work. Don’t let those product returns and exchanges get in the way. With the help of a smart POS system, some clear policies, and a well-trained staff, the entire process can be seamless and stress-free.
