How to Manage the Frequently Returned Warning on Amazon
The Amazon Frequently Returned policy protects customers from buying ‘half-blind’. Users can’t touch nor test what they buy online. So, they can return it and get their money back if the offer is not what they expected or if the product is faulty.
Another issue is that Amazon’s return policy is lenient, which makes some customers take advantage of it.
Frequent returns are not without consequence, especially. First, they speak ill of a brand’s reputation. Plus, returns translate to revenue loss since the process costs sellers time and money.
Amazon’s solution is the ‘frequently returned’ warning.’ Let’s see what this means for brands and Amazon shoppers.
What Does the Frequently Returned Policy Mean?
Customers had a 30-day window to return items for free as long as the product was unused. Plus, Amazon offered full refunds for a returned product.
This is quite a lenient policy. However, some customers did take advantage of it. For example, one buyer could buy a shirt or blouse in different sizes so that they could try them on. Then, they’d return the ones that didn’t fit.
So, as Amazon received more returns or specific items, they created a “frequently returned” policy. But another use of this new label was to protect customers from faulty products.
So what happens with items tagged as "frequently returned?”
Amazon Frequently Returned Warning
Excessive returns display a ‘Frequently Returned’ tag. This warning also offers insights on the product’s return rates and detailed information about the item. It also helps customers make an informed purchase.
UPS Returns
Each product that’s returned via UPS will be charged 1$ in order to dissuade customers from mass returning products.
Customers must deliver the order at UPS locations. Also, the fee is only valid when there’s a Whole Foods, Kohl’s, or Amazon Fresh closer to their address than a UPS store.
Note that using Amazon’s courier services comes at no cost for returns.
Product tagged with the Frequently returned item warning on Amazon (Source - The Verge)
Why do You Need a Frequently Returned Item Policy?
The ‘Frequently Returned’ policy helps sellers limit losses from returns. It’s also a guarantee that costumes aren’t abusing Amazon’s policy.
Returns hurt both Amazon and sellers alike. In best case scenario, returned products are unopened and unused. In this case, you can resell the item with minimum loss. However, you’ll still have to deal with return fees, and you won’t be able to sell the item as new.
So, there’s an obvious financial drawback to frequent returns. Plus, there’s the question of time. When Amazon processes frequently returned items, they must make sure that sellers can resell the product. When this is not the case, the item goes into liquidation.
As for customer protection, the policy also guarantees that sellers offer high-quality items. It’s also an incentive to create accurate product descriptions that make an honest profit for both Amazon and third-party sellers.
So, the ‘Frequently Returned Item’ label is a general protection against fraudulent sales, used to promote transparency and honesty in the marketplace.
Avoiding the Frequently Returned Restrictions for Customers
These measures do not intend to stop product returns altogether. There are many valid reasons for a customer to request a return. For example, they may order the wrong item or spend more money than they intended to.
But how many returns would be “too many” for Amazon? That’d be around 10%, or 5-10 items per month.
Now, what if Amazon suspects that a customer is taking advantage of their return policy? The $1 UPS return fee may dissuade them from returning items. And in a worst-case scenario, Amazon could also cancel the customer’s account.
Here are some best practices that customers can use to avoid any restrictions on their product returns:
- Return products within 30 days of purchase.
- The item should be in its original condition―unopened and unused―if possible.
- Avoid ‘unreturnable’ particulars like custom products, some electronics, or groceries.
How to Manage the Frequently Returned Policy
You know what a hassle it is to handle returns on Amazon. So, how can sellers manage frequently returned items to mitigate losses and returns altogether?
Quality Sales
First, you want to focus on your best products to ensure quality and customer satisfaction.
Keep your product listings fully optimized so users know that you have what they need. Our consultants at AMZ Advisers can keep your product listings and marketing campaigns up to date to maximize your growth potential.
The marketplace will tell you when a product falls below sales or customer expectations. In such cases, Amazon won’t showcase your item as much. So, keep track of your sales growth and notifications to prevent losses and frequent returns.
Return Policy Update
Perhaps you handle your own fulfillment? In that case, update and share your brand’s return policy. Since you’re a part of the marketplace, your policy should meet―or even exceed―Amazon’s.
A good practice is to set return limits. In doing so, you’ll avoid penalizations from Amazon or even an account suspension.
The minimum should be a 30-day return window for customers. Then, you can personalize your returns for specific circumstances, such as defective products.
It’s also ideal to restrict some items from returns, should they exceed the 30-day limit. This could apply to items deemed as non-returnable by Amazon. In doing so, you’ll prevent processing fees and liquidations.
Returnless Returns
Make sure that your return policy highlights unique features. One example would be “returnless returns.” This is when you make a refund, without returning the product. Returnless returns save you the hassle of reselling, while also saving on shipping and processing returns.
Working With Amazon’s Frequently Returned Policy
The ‘Frequently Returned’ policy requires you to list products with a ‘frequently returned’ label, to indicate a high return rate and protect sellers from low-quality items. However, customers may also face consequences from frequent returns if they abuse the policy.
There are many ways to work around this. For example:
- Customers should not exceed 5-10 returns per month.
- Return the product within Amazon's 30-day window.
- Keep an eye on quality by managing your own shipping and fulfillment.
- Provide shoppers with a customized return policy.
- Make sure that your listings are optimized and accurate.