Amazon’s Return Policy Has Changed – Staples Partners

Amazon

AMZN
is consumer friendly and is opening more locations where customers can return merchandise. Initially UPS picked up merchandise for free and then additional national retailers joined in accepting unwanted merchandise. Now, retailers like Kohl’s (over 1100 stores) and Staples (about 1000 stores) are on the forefront of accepting returns for the company.

The incentive for some retailers is that they have the shopper in their store, and by offering them discount coupons for their own merchandise, they hope to increase their own sales. At the same time, returns on merchandise dropped off at a UPS store now incurs a charge depending on where the goods are returned, the UPS charge varies.

Here are the options an Amazon customer has today to return merchandise:

1. UPS. Home Pick-up: Charge up to $7.99

2. UPS. Access Point Drop-off: Charge up to $5.99

3. UPS. Store: Charge up to $1.00

4. Whole Foods: Free

5. Amazon Fresh: One-time discount of $10 off any $40.00+ in-store purchase

6. Amazon Go: On-time discount of $2.00 of $5.00 in-store purchase

7. Kohl’s: Free. Kohl’s may offer coupons

8. Staples: Free. Staples may offer coupons

There are more than 17,600 pick-up points throughout the USA where customers can leave their returns. There are very few areas where customers cannot return goods within a few miles from his home.

Amazon has been very liberal in accepting returns. Some inexpensive items are frequently credited without a return. It makes sense. The expense of handling inexpensive merchandise twice may often be more expensive because of the handling cost. At the same time Amazon teams tested a small charge for UPS store returns, and found that even a small charge of $1.00 at UPS store, which was formerly free, customers would drive greater distances to return goods at a Whole Foods or Kohl’s for free.

“From the beginning, our goal has been to make buying on-line as seamless as possible, and that includes offering customers more choices when it comes to returns” said Amazon spokesperson Maria Boschetti. “That is why we offer various options for customers to make free, convenient returns on most items delivered in the U.S. and we hear from the vast majority of our customers that they appreciate these options.”

POSTSCRIPT: The competition, notably Walmart
WMT
, is very competitive and now offers free e-commerce return privileges. Amazon is committed to sell apparel for the whole family on the internet, and gain share of market. The return privileges are part of the selling point for Amazon. But it has to make money for the enterprise.