fbdaily.io curates dtc brands, resources and content for brand-builders & marketers.
HomeBlog

How to Handle Returns and Customer Service in E-Commerce

By
Vedant Gaikwad
How to Handle Returns and Customer Service in E-Commerce

No e-commerce brand looks forward to issuing refunds, but it’s a natural part of the business. And if you know the secret to handling returns in e-commerce, you’re already set up for future success. The ability to process returns as a vendor directly reflects the quality of your customer service. 

The more warm, helpful, and approachable you are, the happier people will be. Even people who weren’t 100% satisfied with a product can still walk away feeling positive about your brand. 

In this guide, we’ll cover everything you need to know about creating an e-commerce return policy, and why it’s such a vital part of good customer service. 

 

We’ll also explore how you can build a strong customer service strategy that’s flexible and responsive to people’s needs. From understanding e-commerce returns and customer service legal considerations to the right tools and software, we’ve got you covered. 

Setting Up a Returns Policy

Some stores have a strict zero-refunds policy. We don’t advise this. If you want to show people you’re committed to their happiness, then a return policy is essential. It shows customers that you care more about their satisfaction than your own profit. 

But you can’t refund everything without taking a loss. That’s where your policy comes into play.

A good e-commerce return policy guides customers toward success, while protecting your business’s income.

Make sure that your policy is fair for both you and your customers. There should be a detailed outline of situations that may warrant a return. These include:

  • Defective products
  • Incorrect orders
  • Damaged packaging
  • Late delivery 

Some companies also offer a satisfaction guarantee. If someone isn’t 100% happy with their purchase, they can return it for a full refund within a set period of time. Giving yourself a specific window to work with is critical here. You don’t want indefinite full-refund policies that allow someone to use a product and recover their expense months or years later.

If you opt for a satisfaction-based policy, we suggest making the timeframe short. Seven to 14 days is enough time for someone to determine whether or not they enjoy a product. 

As for other reasons, you may still require people to request a refund within 30 days of their purchase. This gives your brand a safety net in terms of potential profit losses. You know that after a month passes, you retain the income from a sale.

Essentially, return policies are there to show customers you care and give them a choice. They may not always decide to return something, but having the option available matters. 

In terms of shipping and reimbursement, you have two options. You can either send them a shipping label and handle the costs, or require them to pay for any return fees.

We advise writing your shipping and return policies in easy, everyday language. There should be zero confusion about who pays for shipping, time limits, and methods of reimbursement. 

Last, but not least, consider any relevant e-commerce returns and customer service legal considerations. Federal consumer protection law requires retailers to accept returns only if a product is defective or damaged. 

Research your state’s specific consumer protection laws to make sure you’re always compliant with relevant regulations. You should also check if your e-commerce platform has any return policy requirements to follow. 

Creating a Remarkable Customer Service Experience

You’ve set up a return policy. That’s great! Now it’s time to put it to use. Hopefully, you won’t always have to issue refunds. If you do, then there is likely an underlying issue you have to address. 

We hope your returns are far and few in between. But when they are requested, we know that having the right customer service strategy makes the process painless for everyone.

Firstly, make sure you create clear channels of communication. It should be easy for customers to get in touch with your business if they have a problem. This could be:

  • Phone support
  • Text message support
  • Email support
  • Chatbots or live chat support
  • Social media direct messaging 

Being active online can help you direct customers in need to the right channel. Imagine you get an Instagram comment from someone who is unhappy with their product. Acknowledge their feelings, apologize for their experience, and let them know how to get in touch with your company. You can also offer to direct message them with details if they’d like. 

Keeping your inbox open is also a good way to build trust with your audience. 

Responding to Negative Reviews and Complaints in E-commerce

How do you respond to negative customers? The first thing todo is be empathetic. It’s easy to get defensive, especially if someone has an unpleasant attitude. But remember that they’re frustrated. We’ve all bought something and had our hopes dashed at some point. 

Recognize that their anger isn’t really personal — they just wish their product met their expectations. 

Make sure you acknowledge their feelings. Try these statements:

  • We’re so sorry to hear you’re unhappy with your purchase. Let’s talk about how we can fix that.
  • We’re sorry that your experience has been anything but exceptional. Let’s talk about how we can make things right.
  • We’re sorry you’re going through this, but we’re here to help.

Remember this two-step approach to responding to customer complaints:

1. Acknowledge how they feel 

2. Take action to fix it 

People may not always be cooperative, but that’s okay. What matters is that your business continually demonstrates its willingness to listen and make amends whenever it can.

If you need to step back before responding too emotionally, that’s okay. It’s important to stay professional all the time, even if you’re dismissing a customer who is rude or aggressive.

Make sure that you also respond in a timely manner.Automated email responses can do wonders here. Whenever someone sends a message, have an email go out that lets them know you’ll read and respond to them within 24 to 48 hours. 

Getting the Right Tools 

You can make returns easier with e-commerce returns and customer service software. A good software will help you keep track of orders, conversations with customers, and handle returns easily. 

Customer service software places all your conversations in one place. You can import conversations from social media platforms, SMS, email, and live chat for a simpler, easy-to-manage experience. 

This type of software allows you to easily implement the best e-commerce returns and customer service strategies into your daily business. For example, templates built into the system allow you to directly insert customers’ information into a personalized response.

Instead of having to type everything from scratch, you can respond to customers in a matter of seconds. Timeliness and accuracy go a long way in customer service. Software helps you reduce errors and ensure that no one gets overlooked. 

Some of the top e-commerce returns and customer service platforms are:

Some platforms focus exclusively on returns and shipping, while others offer 360-degree support throughout the entire customer journey.Consider which platform is the greatest investment for your brand today. 

A long list of integrations and features may be nice, but it could also be unnecessary if you’re already handling the bulk of customer service internally without issue. 

It’s always best to start off with the lowest cost and see how a product can benefit your business before committing to a more expensive package. 

Handling Negative Reviews and Comments

Out of all the e-commerce customer service tactics, knowing how to artfully reply to negative feedback is one of the hardest. It’s easy to get emotional and take people’s negativity personally. It is your business, after all. 

But when you read a negative review or comment, think of it this way: you can use this as an opportunity to show how great your brand really is.

People may not be happy with their purchase. Or they had a negative experience with customer service. But right here and now, you can reply in a way that demonstrates empathy, awareness, and accountability.

Here are some guiding principles for responding to negative comments about your business:

  • Always stay professional. Maintaining a professional demeanor can also help you avoid getting overly personal and defensive. You have an image online to maintain. Keep that in mind as you engage with customers across platforms. 
  • Be nice. It’s all-too-easy to get snarky, but focus on responding with kindness. Negative feedback isn’t a challenge from a customer. In many cases, it’s actually a request for help.
  • Thank people for their honesty. Let people know that you appreciate them taking the time to share their thoughts. Doing so illustrates that your brand cares about its growth, and it’s willing to take valuable criticism when it’s appropriate.
  • Take the conversation offline. Tell an unhappy customer that you’d like to hear more about their experience and find a solution. Kindly request their contact information, and reach out to them personally. Whether it’s through email or a phone call, it’s much better to resolve situations behind-the-scenes. Never hash out problems with a customer on a public platform. 

Embrace the Learning Opportunity

Negative customer reviews or comments online can help your business grow in the end. You have something to learn from 99% of your interactions with unsatisfied customers. There will be that 1% that doesn’t contribute anything helpful, but that doesn’t negate all the other moments you have to grow. 

Conclusion

A return policy is a fundamental part of good customer service. Giving people the chance to share their experience honestly can boost brand reputation and satisfaction.

Most importantly, good customer service shows people that you care about how they feel when they do business with you. No matter the outcome of their purchase, you have the chance to leave a good impression with everyone.