Managing Returns webinar and 60-day FREE Returns

Heavy sigh. 

 

So, my sales have taken a nosedive this past week. Some sellers who use Calculated Shipping would blame the broken Calculated Shipping tool but I'm finding it's my domestic buyers that have vanished without a trace. Although this kind of dry spell does periodically happen, I don't often see it like this in February or like it and always wonder what I need to do to stimulate sales. My Promoted Listings are running, I have Markdowns running....

 

And then I participate in the Managing Returns webinar today. Good experience, on the whole, and I have signed up for another tomorrow and more later in the month or next month as I can fit them into my schedule.

 

But here is the thing: ebay is recommending sellers offer 60-day returns for free. As in free returns, seller-funded, for all reasons including remorse. And, no, there is no way to offer that Return policy to only domestic buyers as opposed to international ones where return postage will also cost $40 meaning the postal loss alone on that return could total $100 both ways. 

 

I'll share a few screenshots. These aren't state secrets. All the webinars are available here and also many on-demand.

 

https://www.ebay.com/rpp/mso-webinars

 

I could start by eliminating my restocking fee which ebay says causes buyers to back away from listings like a house on fire. And I do suppose the security of knowing a item could be sent back for free increases buyer confidence but how often is a remorse return halted by a buyer realizing exactly how costly it is to send back? Three or four times to me this has happened as a seller. Someone feels fussy, maybe it was a gift that didn't hit the mark. Remove that return postage so it's no skin of theirs in the game and.....? And 'what' is the question. There is one online retailer that I use as a buyer that offers Free Returns but they're a mega corporation and what I keep of the clothes I order always far outweighs what I send back to them. But I'm not a fussy or kneejerk buyer. 

 

I just don't know how this could be feasible for Canadian sellers with our costs of postage being four times as much as our neighbours to the south. and it;s not like you could tell the buyer, hey, send it back on the cheap without tracking because that means they don't have to send it back at all, you've forfeited seller protection. And you can't say, oh just keep it and refund their money and give it to them for free because Return postage is too costly once a buyer learns that trick, they'll never pay for anything on ebay again. 

 

I get the reason ebay is encouraging its sellers to play this game but, with only its sellers having to bear the risk, it seems like advice that I'm not quite ready to take. Especially since I can't isolate that Return policy to domestic buyers only. I'd have to list things on ebay.ca for Canadians only with 60-day free Returns and move everything else to ebay.com and say no returns for you and that's just more time than I'm prepared to invest on an experiment such as this. 

 

Thoughts? 

 

Benefits of offering free returns.pngReturn shipping responsibility.pngReturns Timeline.pngStand out Against Your Competition.png

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Managing Returns webinar and 60-day FREE Returns

They have recommended 30 day free returns for a little while now and I don't see many people jumping on that bandwagon even in the US. For example, if I search for Coach wallet on .com with a US zip code, there are over 14,000 results.  Just 64 of those listings have free returns and oddly enough, only 15 of those are from US sellers, the other listings are from two other sellers..one in Japan and one in Italy. They both have free shipping and free returns but they are also charging at least twice as much than most other sellers. I could afford free shipping/free returns too if I charged twice as much for the product  but I'm sure I wouldn't sell more!

 

I didn't check any other items but I believe that the majority of sellers don't think that this is feasible with their business model either.   Perhaps ebay will offer some sort of 'carrot' to sellers who try using free 60 day returns but it would have to be a very nice carrot in order for that business model to become more common than the buyer pays for returns. I guess there is a small carrot now as there is supposed to be some room for a seller who offers free returns to hold back some of the refund if the item isn't returned in the original condition but I don't know exactly how that works.

 

I order online quite a bit and some of the stores that I buy from do charge for return shipping so if I think there is a possibility that I will want to do a return (usually clothing or shoes) I make sure that there is a brick and mortar store close so that I can take in the returns myself. So...maybe it is an incentive in some categories but I don't think that it is feasible for many of us.

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Managing Returns webinar and 60-day FREE Returns


@momcqueenwrote:

...  ebay is recommending sellers offer 60-day returns for free. As in free returns, seller-funded, for all reasons including remorse. And, no, there is no way to offer that Return policy to only domestic buyers as opposed to international ones where return postage will also cost $40 meaning the postal loss alone on that return could total $100 both ways. 

I'll share a few screenshots. These aren't state secrets.  ....

 Stand out Against Your Competition.png


First thought: This is smoke and mirror statistics. The only proper comparison in that conversion lift chart has is the line comparing 30 day returns with 30 day free returns. The "free" benefit shown is as a very meager 4% increase in sales.

All the other comparisons fudge the numbers by ignoring the much stronger effect of just going to a longer return policy.

...

Second thought: Really only suitable for sellers who are focused on selling in one country and who also have access to cheap shipping.

...

Third thought: Free returns are only if I screw up -- not if the buyer has changed their mind.

-..-

 

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Managing Returns webinar and 60-day FREE Returns

Your conversion rate could be:

 

Words.

Words mean things.

If eBay could guarantee that my conversion rate will be, absolutely , guaranteed then I can afford to offer Free Returns.

 

But if Free Returns means 'the cost of the occasional return by some fussbudget who didn't read the description is included in the asking price', just as Free Shipping means  'the cost of shipping is included in the asking price' well that's different.

 

There is the Italian Coach seller's price point explained.

 

Until then, I start wondering if the interns from MBA school are being allowed to play with the site again.

Like the stinkin' badges on the dotCOM Boards. (RockStar my sweet pink badonkadonk) I firmly believe those are the brainfhert of someone whose last job was as a summer camp counsellor.

 

 

 

 

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Managing Returns webinar and 60-day FREE Returns

Second thought: Really only suitable for sellers who are focused on selling in one country and who also have access to cheap shipping.

 

Again, just as Free Shipping works best as Free Domestic Shipping.

 

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Managing Returns webinar and 60-day FREE Returns

I'm doing the Seller Hub one in about ten minutes and have signed up for Promotions Manager in early March. It remains to be seen what little I might retain from these webinars once either of those two functions finally migrates to ebay.ca but I guess there's always a review made possible by the offered webinar re-runs in the form of Webinars on Demand. You lose the opportunity, however, to pose questions at the end when you're not doing them in real time.

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Managing Returns webinar and 60-day FREE Returns

The webinar host(s) promise Seller Hub and Promotions Manager will come to ebay.ca by the end of the year at the latest. 

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Managing Returns webinar and 60-day FREE Returns


@femmefan1946wrote:

Your conversion rate could be:

Words.

Words mean things.

 


Yes indeed, so do asterisks, as in:

[...] conversion lift*

[...] lift could be*

 

Oh, those pesky asterisks.  They can bite you. 

 

My thoughts overall -- this is simply another step in the direction of eBay cleansing itself of smaller sellers by attrition, particularly those who don't happen to be fortunate enough to reside in the U.S. (with access to reasonable shipping). 

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Managing Returns webinar and 60-day FREE Returns


@momcqueenwrote:

The webinar host(s) promise Seller Hub and Promotions Manager will come to ebay.ca by the end of the year at the latest. 


Oh joy, more bugs, glitches, hot messes and screw-ups to look forward to.  unamused

 

I've been using Seller Hub on .com for some time now, and it really doesn't strike me as wildly different from the seller manager on eBay.ca -- basically new décor, with a couple of features thrown in.  Actually I prefer the layout and accessibility of the .ca seller manager page to the .com Seller Hub. 

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Managing Returns webinar and 60-day FREE Returns

Seller Hub holds no allure for me but I am anxiously awaiting -- for years now -- the arrival of Promotions Manager. 

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Managing Returns webinar and 60-day FREE Returns

In my experience, if you offer free 60 day returns, you will increase your sales.

 

The increased sales will be to buyers who will try to resell your item for a profit (often elsewhere on ebay) for 60 days.   If they are successful, you will never hear from them again.

 

If they are unsuccessful, they will return the item to you, at your expense - and why not, it's smart business for them - doesn't cost them a thing.    I wish I could get my inventory for free too!

 

If anyone here wants to offer 60 day free returns, please let me know.   If you have anything worth my time, I may buy it and try and resell it for a profit.

 

As for myself, I prefer to sell to legitimate buyers who want to purchase what I have, for their own use, and don't intend to make up their mind later, or decide if their husband likes it once iti arrives.    They already know they are protected against getting ripped off on ebay.

 

All I want from ebay is serious buyers who know they want what I have to sell.   If they buy, I'll deliver.   No funny business at my end, and no funny business on theirs'

 

 

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Managing Returns webinar and 60-day FREE Returns

I should also add that all my listings have NO RETURNS (ie if it is as described, it can't returned). I have talked with Ebay Reps about this, and all have told me it makes no difference to buyers (in terms of if it will sell). They also told me it what they do on their own listings.
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Managing Returns webinar and 60-day FREE Returns

You may want to review this webinar. I'm not sure what's changed since the last time you spoke about this with Customer Service Reps:

 

https://www.gotostage.com/channel/01b9e2c441374319a80014237a315f17/recording/ef129e3f79a94068aa19377...

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Managing Returns webinar and 60-day FREE Returns

Since I sell comic books, if I offer free returns then I might as well run a library instead.

No. Return. Period.

So far I’ve been blessed with sensible buyers who are not crazy enough to want to return books. Only a couple times which the book arrived damaged by the postal system so I gave them a partial refund. 

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Managing Returns webinar and 60-day FREE Returns


@westcoastart2
You have a cold and cynical attitude to life.
I like you.
Will you be my friend?


@rose-dee
this is simply another step in the direction of eBay cleansing itself of smaller sellers by attrition, particularly those who don't happen to be fortunate enough to reside in the U.S.
Which would be a very short sighted attitude.
How does eBay differentiate itself from other (new) sites?
Well, auctions. Which buyers have been abandoning for yonks, but eBay still promotes.
And by having a person to person seller force.
Try to be WalMart? WalMart already has that covered.
I suspect that eBay cannot think of anything new. And cannot respect what actually continues to work well.


@zee-chan
Since I sell comic books, if I offer free returns then I might as well run a library instead.
This is definitely category specific, but as a bookseller I agree. Although most bookbuyers are also hoarders, which helps.

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Managing Returns webinar and 60-day FREE Returns

A local thrift store stopped offering returns for books and other media. People would buy the book... Read it... and .... Return it.

----------------------------------------------------

Over the years  there have been many things promoted by eBay as ways to improve sales.

 

The most classic recommendation was to start auctions at 99 cents.   This was something that was never done by this seller.   Yet.... there are many who still do this....in 2018

 

Starting an auction at 99 cents is a seller's suicide way of selling... 

 

Each of the sellers on eBay follows their own way of selling...  As Canadian sellers this is our choice.  Learning and then knowing what to do is our way of making it happen.

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Managing Returns webinar and 60-day FREE Returns


@femmefan1946wrote:

@rose-dee
this is simply another step in the direction of eBay cleansing itself of smaller sellers by attrition, particularly those who don't happen to be fortunate enough to reside in the U.S.
Which would be a very short sighted attitude.
How does eBay differentiate itself from other (new) sites?
Well, auctions. Which buyers have been abandoning for yonks, but eBay still promotes.
And by having a person to person seller force.
Try to be WalMart? WalMart already has that covered.
I suspect that eBay cannot think of anything new. And cannot respect what actually continues to work well.


It is short-sighted, no question, but when has eBay seemed to be anything but?  I can think of many examples of eBay's management myopia over the years, but the one that stands out to me is the moment (around 2011/12) when eBay let the opportunity to be all things to all buyers slip away by turning its back on, and attention from, its legion of smaller sellers listing unique and artisan-like items from all over the world.  So, someone else saw the potential and set up Etsy and other vintage/OOAK sites.   
In 2011 (and prior), eBay had a stranglehold on the world online marketplace.  Had they divided their site into two streams -- one for nifty new things, OK, go ahead, let in the Chinese en masse -- and the other to allow sellers of non mass-produced or collectible/vintage/OOAK items continue in their own realm on eBay, they could have made sellers and buyers happy, and kept all that fee income going to eBay.  Instead, they gifted a large share of that market to competitors by mere default, and lost many, many sellers.   With them went the buyers.  So eBay has only itself to blame if it's now scratching around in the dirt for every dollar of fee income it can find.  Stupid people. 
I'm not really convinced that auctions make any significant difference in terms of eBay's brand.  There are other (newer) sites that specialize in auctions now.  Nor do I believe eBay wants buyers to regard this place as a person-to-person market anymore; it seems to me they've made every possible effort over the last 5 or 6 years to incrementally erase the individual behind the listing.  I think eBay has instead devoted its efforts to appearing to be a single-source retailer of new, mass-produced goods, at least to new visitors to the site who see on the landing page a Sears-like parade of goods on sale by not independent sellers, but eBay itself.  
So I think eBay is pretty much done with services aimed at fostering that one-on-one buyer experience.  Which means they're pretty much done with thinking up policies to facilitate selling by us little folk.  All those of us who have the stomach for it can do is try to keep up with the crowd of big sellers up front.   As I said earlier, I've got a new motto for smaller sellers: 'Sauve qui peut'.   Being of (50%) Scottish descent, I think I'll adopt a heraldic crest for it, let's see, I like the Henderson:  "A cubit arm Proper the hand holding an estoile Or surmounted by a crescent Azure".   Looks like some poor soul trying not to drown.  (Their motto: 'Virtue alone ennobles').  I like that too. 
henderson crest.png
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Managing Returns webinar and 60-day FREE Returns

A "No Returns" policy (knowing & fully understanding that returns can happen anyway, for any reason) has worked well for me. In 17 years of selling on eBay, I can still count on one hand the number of requests for a return.  And in my final few years of online selling, I will continue with that same "No Returns" policy....

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Managing Returns webinar and 60-day FREE Returns

I think its important to recognise that Ebay's agenda is to make money.

 

Ebay makes money every time an item sells.    If you sell an item for a profit ebay makes money.   If you sell and item at a loss, ebay still makes money - but you don't.

 

As a seller, you are concerned about selling items for a profit.

 

As ebay, you are concerned about selling items - seller profit doesn't matter.

 

This means that Ebay's interest is sometimes opposed to its customers (its sellers)

 

Ebay will always try to get sellers to do things that benefit Ebay, even when those actions hurt sellers.

 

Ebay telling sellers to pay for shipping and to pay for return shipping, is a perfect example of how ebay's interest is contrary to sellers' interests.

 

Having sellers pay for shipping, and even pay for return shipping, and allow buyers to return items without reason, will increase sales.   This is the same as sellers paying buyers, to buy their items.   Its the seller who pays the price, not ebay.   But ebay profits every time.

 

Since ebay profits from every sale, it makes business sense for ebay to encourage sellers to pay buyers to purchase their items!   There is no down side for ebay.    If you sell your inventory at 10% of cost, ebay still makes money - but you don't!

 

Ebay's business model is about volume.   A smaller dollar amount from more sales, is better for ebay than a larger dollar amount for less sales.     

 

When you read ebay's recommended selling strategies, remember those recommendations are those which will maximize ebay's profits, not sellers profits.

 

In a perfect ebay world, sellers would make just enough to not give up.     All the "additional" seller profits would be transferred to Ebay instead.

 

Think about this when ebay tells you which strategies to follow - is it good for your business, or is it good for Ebay's - in many cases, they are not the same thing.

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Managing Returns webinar and 60-day FREE Returns

For those wanting to better understand buyer behaviour on ebay, and how to maximise sales price, instead of listening to Ebay's version, you may find it useful to read some of the published business school papers on the subject.

 

I seem to remember a couple published by Warton, that I found very useful and interesting.

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