Why restocking fee

The manufacturer now has to return it to saleable condition. The question is who should pay for all this cost? New packaging materials usually need to be utilized because it is typically only designed to be used two times initial use and possible return shipment. Time and materials involved inspecting, repackaging and restocking are not insignificant.

Most companies these days offer free shipping and customers expect the same. But is shipping really ever free? The simple answer is no. If the item is returned, there is no profit and the customer is responsible to pay the actual shipping charges in both directions. The bottom line is restocking fees are a statement by companies that they feel the person who decides to return a non-defective item should pay for the associated costs. This is perfectly fair, as long as restocking fees are only charged in cases where an item is returned due to a bad buying decision.

The customer should be held accountable for their mistakes. Unfortunately charging restocking fees is similar to disallowing returns. They encourage buyers to file SNAD complaints to get around them. We charge a restocking fee on all buyer remnorse returns. Simple, the cost associated with shipping the item to the buyer in the first place has to come from somewhere, so we have the option of either charging shipping or raising our prices to offset the remorse returns.

Processing returns can be costly, especially for small businesses. In addition, once an electronic item has been opened, the company can no longer sell it as new; instead, the item must be discounted.

With some products, the seller must remove the buyer's personal data, such as the buyer's online browsing history or call logs, and test the item's functionality. If the buyer does not return the item with all accessories intact, such as printer cartridges or cell phone chargers, the seller must reduce the price even more.

Jeffrey Joyner has had numerous articles published on the Internet covering a wide range of topics. He studied electrical engineering after a tour of duty in the military, then became a freelance computer programmer for several years before settling on a career as a writer.

By Jeffrey Joyner. Are you selling an item in a high return category? Are your photos not showing enough about the product? A restocking fee won't solve your return issue if there is a larger underlying problem. Ultimately, if you feel as a seller you are being taken advantage of, the problem might be your return policy, not a restocking fee. Are you losing money on items being returned in a condition different than how you sold them? If so, add a disclaimer in your return policy that the item must be returned in the original condition.

If you receive an item whose condition doesn't match what you sent, you can take it up with eBay to help you resolve the issue. Just make sure you can document the condition of the item when it was shipped. Actively scan device characteristics for identification. Use precise geolocation data. Select personalised content. Create a personalised content profile. Measure ad performance.

Select basic ads. Create a personalised ads profile. Wireless carriers will usually charge customers restocking fees since they have to first verify that the phone can be resold. Staff will check and test the device to see if it is in good working order. Then, they will typically wipe any personal data from the phone, including search histories from web browsers and contacts.

Consumers may not appreciate restocking fees, especially if their buying experiences were unfavorable. Good communication between retailers and customers about restocking fees, when they apply, and return policy details can promote a more positive experience for both parties.

Looking for a new smartphone? Join the carrier with a lower restocking fee than Verizon!