Return Policies for eBay Sellers

[Ina]

AuctionByes.com is conducting a survey about the Return Policies offered by eBay sellers. We'll publish the link in the October 10th issue of AuctionBytes-Update newsletter in the editorial (which will be available online at http://www.auctionbytes.com).

If you have any opinions about the survey or about Return Policies, please feel free to leave comments here. Thanks!
Ina
PS: We'll include results in a future issue of the newsletter.
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Ina Steiner, AuctionBytes.com

[BURIED TREASURES]

Ina,
Your poll was rather general in nature so I am afraid it will not be of much use to you. Issues that should have been asked but were not included buyers remorse, partial refunds, when a dealer will and will not pay for shipping, quantity of returns on a YEARLY basis, restocking fees etc.
Without going into too much detail if I have left out a significant fault in my description I will allow people to return the item and will pay shipping both ways. If the fault was listed in my description then the transaction falls under buyers remorse and in turn I will accept a return but customer is out shipping both ways and I may choose to charge the 20% restocking fee for buyers remorse. In addition to that if while I am packing something I discover a fault that I did not mention I immediately contact the buyer with the option of cancelling the transaction or getting back a partial refund of their purchase price. In other words they know BEFORE I ship it.
I have found that with accurate descriptions and lot's of pictures that returns are almost never an issue. After thousands of transactions I can count on one hand the amount of returns I have had and in every case it was the BUYERS fault (did not read description, buyers remorse etc.) If a dealer fails to do a decent job in describing their items or in photographing them and is deliberately vague in their descriptions is cause for concern for buyers and will most certainly increase the amount of returns that their customers will want. Many sellers use the internet to sell things but gloss over important issues significantly affecting the items they are selling. While some might consider this "good business" I think it is a form of fraud. Ebay has not done enough to protect the consumer from bad sellers and the sellers from corrupt buyers (yes the road travels both ways). In short, know who you are doing business with and as with anything, let the buyer beware. Sincerely, John Leckrone John@hopkinsvilleantiques.com
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http://www.stores.ebay.com/buriedtreasuressterlingsilver?refid=store

http://www.auctionbytes.com/forum/phpBB/viewforum.php?f=32

[Ina]

I was most interested in whether people had developed policies or not, but you raise some excellent points!

A list of reasons why people return items would be useful. Based on your letter we have:
- Buyers remorse
- Flaw not disclosed in auction description
- Flaw that was disclosed in auction description
What are other reason? In addition to legitimate reasons, some buyers can get pretty creative in their "excuses."
Ina

[cashmachine]

I appreciate most of Buried Treasures comments. We live in an erra when many consumers return things without any concern for what it costs the retailer or manufacturer. If you buy a portable DVD player from Costco and return it a few weeks later without it being in perfectly new condition with all paperwork and assesssories it will be sold to a liquidator like myself for pennies on the dollar. Costco will charge the manufacturer the full price Costco paid plus a handleing fee.

I grew up in a 'buyer beware' world. When I joined eBay over five years ago I was amazed to discover it was a 'full disclosure' world.

My advise to new sellers is to always list any defects accurately and your auction terms clearly.

My advise to new buyers is to quit asking questions like: "Is that item you described as BRAND NEW really new?" How could I have 99% positives if I constantly lied? Also why would I tell the truth in response to your email if I lied in the auction?

[classicn]

Other reasons people return items (I have a 100% satisfaction guarantee on all my items:

...These deal with computer software/equipment

1. Incompatible ('I tried this DVD in my stereo, car CD player, and in my computer CD drive, and it must be defective')
2. Misunderstanding what the product is. (While eBooks can be 'read' aloud by your computer, they can't be played in your car.)
3. General failure to read the ad. ('I thought this would...' when it clearly states that it won't)

classicn

[onlineseller]

Also, new sellers should develop a discreet marking system so they know that the returned item is the same item they sent out in the first place.

[kjp55]

I apologize for not following the subject but just had to add this....

[Charli]

We no longer sell on ebay for a variety of reasons. Most being the complete lack of seller support.

But when we did sell there and because we sell on other auction sites we do list a return policy.

It's pretty simple. All items sold as is. If we fail to disclose a flaw (we also check all items before selling and again before packing) we will refund the full price of the item. Please email us with any problems. (had to add this because I forgot it was there in our descriptions, should have cut and pasted not relied on memory).

Many seller cave about their pollicies because of the feedback situation. Some customers will blackmail you about giving negative feedback if you don't refund their money. That's why although our TOS/return policy states AS IS. This takes away the ability to blackmail. We aren't afraid of getting a negative because you can't please everyone.

We never faced returns because items were sold as is. And before we ship we checked with customers about what had been sold. I believe most customers are adults and deal with things as adults.

We do not accept items back because the buyer didn't read the description and bought the wrong item or suddenly discovered that he/she doesn't need the item. We provided tons of pictures and very detailed descriptions. Just as in real life autions the buyer should exmine the item. Check around to see if they can get it more cheaply. And do all the things that any savy shopper does before buying an item.

Now, that being said doesn't mean we never listen to the customer and that we've never taken a return. As with everything in life there are times when people make mistakes. We've done returns probably 5 times in the entire time we sold on ebay. We sold under a couple of differnt names because my husband also had his own ID which he sold under. The reasons we took items back never had to do with misrepresentation they usually had to do with people making bad decisions. We voided sales in every case before the item was mailed. 1 time somone bought 2 of an item (dutch auction), we emailed them to make sure they wanted both. They had messed up and so we only took payment for 1 item and mailed one item. Another time a woman wrote us that she had lost her job and couldn't pay for an item. We did a search on her ID after we had refunded her money and found she was on a buying spree. She bought another item from us, emailed us that she had lost her job and we emailed her back that we would refund this last time but blocked her from futher bidding. I'm not sure we should have refunded the 2nd time but figured that it would just be a big pain in the butt. What we did do is notify other sellers that we knew about what she did. We did however post a negative the 2nd time around with the reasons she gave us twice in a 4 month period. It's sad that people like that exist. It's sad also that Ebay refuses to protect buyers. Somebody that hasn't paid for an item and that has been reported for not paying can still leave a negative feedback. That's insane. They broke the contract.

I thnk on of the big problems is that many people don't really think about what they are doing when they bid on items. The get caught up in the moment and will spend more then they should.

When I buy/bid I read the description at least 2x's. I look at the pictures. I write and reqest further info if needed. I decide how much I'm willing to spend on the item and don't go over that amount.

We take our selling and buying seriously.
_________________
Gene & Charli
If you're disabled and still want to enjoy a hobby contact us about adaptive tools.
ggcs@Too-Bad-Dogs-Inc.com

[goodoletom]

Goodoletom gives 100% refund, any reason, with notification within five days. In the last year we have made four refunds, four were really buyer remorse (though other reasons were given), and one was with good reason. In addition I have made two partial refunds due to minor damage in shipping (I gave the customer that option, they name an adjustment amount or we give full refund).

The key is in the profit you you make. I try not to put up anything that I don't make at least keystone (a jewelry term meaning twice cost) and attempt to work on multiple keystone. With that profit margin it is the same as if they purchased something at my bricks and mortar and wanted to return the item. Of course they can, that is how you KEEP customers. No arguments, and always communicate pleasantly.

This is an online world. We pay shipping both ways. I do not do this as a hobby, but as a profession, and act professionally. I occassionaly take a loss; part of the game.

Incidentally, I wrap EVERY item in tissue, then bubblewrap, then pack with styrofoam peanuts, then wrap with a plastic film for waterproofing. Then I pack that box in another box, amongst peanuts. I use reenforced tape for wrapping all boxes. Anything valued over $100.00 I use an outer box too large to hide beneath a coat.

I use a tollfree line for the customer's convenience (the phone company Kim Kommando recommends costs 4.9 cents per minute, six second intervals).

Because ebay is getting to be low-wholesale buyers generally, I attempt to put up items that will sell for at least $50.00. Certain low items that cost me very little I will run for less.

I am getting away from 99 cents starting bids. I find that the supposed increased interest(from low starts) does not make up for the expense I have from the sales that are made at that low price. Generally, I have a 33% sell through, and relist unsold items after three weeks delay.

Hope this info helps, and you are free to contact me via email: goodoletom@snet.net or tollfree 877OLDETOM with questions.
_________________
Please visit our stores: www.goodoletom.com, www.rubylane.com/shops/goodoletom; ebaystore:goodoletom
We buy and sell and sell for you.

[classicn]

[Tradguy]

Agreed Classicn.

I also have a no questions asked return policy. At first I did it to distinguish myself from other sellers in my categories, but I've found that it promotes a lot of good will and is rarely used.

Had the policy for over 3 years, and I've only had 3 or 4 outright returns (out of maybe 4000 sales). I figure that the small cost of those sales has a lot to do with my 3200 positives, 1 negative, and 1 neutral in 5 years on Ebay (that factors to a 100%).

I personally believe that an "as-is" no return policy is adversarial and will result in a lot more negative feedback. Even if you resolve the problem, the customer starts off a lot more defensive in the event of a problem.

I also avoid any seller with such a policy - it's too easy these days to find the same exact item, at the same price, being offered by a seller with a friendlier policy. It's always hard to quantify these kinds of "lost sales" - but the last item I purchased (used digital camera) from a seller with a reasonable return policy had a lot more bidders and higher final price than the same exact item (and same condition) sold by an "as is - no return" seller. Especially when buying high priced used items - there has to be a return policy. Otherwise, I expect to pay a "salvage" price - pennies on the dollar - and assume there's a good chance the item doesn't function.

About 4 years ago I did sell a non-functional item. It was my old camcorder. The electronic viewfinder stopped working so you couldn't see what you were taping - but it still taped fine. Anyway, instead of tossing it, I decided that someone out there might find a use for it. So I sold it "as is", no reserve, starting at .99. I was very suprised when there was a small bidding war and the item closed at $50.

He paypal'ed me, and I sent the item out that day. We exchanged positive feedback and I forgot all about it. About a month later the guy writes me to tell me he tried to repair the unit, but found it would cost over $200 to fix the viewer, and wanted to return the item. I politely told him I sold it "as is", and had fully disclosed the problem (I even went to far as putting it in the title as well as the description). Well, after many angry emails later, threats of filings and lawsuits, and several irrate phone calls, I decided right then and there I'd never sell another "broken" item on ebay, or anything else I couldn't gaurantee in some way. It was a personal choice - don't need that kind of aggrevation.

Rich

[eclectique]

Hi! I have been selling online for 10 years, 8 on ebay. I resisted having a refund policy because we are using an auction format and there are NO refunds at live auctions. I have mellowed in the last year and have decided to offer a refund of sorts. I have a disclaimer that states that I try to describe the item as accurately as possible but if a buyer feels the item was NOT described accurately and notifies me within 3 days of receipt, I will offer a full refund. This seems to work for me.

[sun818]

I sell the computers/electronics category. There is no margin to absorb the cost of returns. I am at a point where I will only accept a return for an exchange or store credit for something else. If you want a liberal return policy, go pay department store prices.

[lotr]

We allow returns within 45 days of the auction ending for any reason. Item can be sent for an exchange (same item), credit or refund (if a replacement is not available). We simply ask the buyer to give us a description of the problem.

We check every returned item is ours to prevent buy and switch fraud, etc. As most items we sell are hard to come by we get very few returns.

[dhakala]