Paypal and Free Return Shipping

[femmefan1946]

http://www.theglobeandmail.com/report-on-business/paypal-canada-to-offer-free-returns-to-ease-reluct...

What neither Paypal nor the reporter seems to have noticed is that the companies offering free return shipping to unsatisfied customers are retailers.

Paypal is a payment venue, that neither buys nor sells hard goods.

It probably is a Best Practice for a retailer to offer free return shipping (although the articled did note that returns for 'fashion' purchases are double those for other categories), but since PP is only selling the virtual equivalent of money orders, you really wonder what they think they are doing?

[hlmacdon]

---

@femmefan1946 wrote:

PP is only selling the virtual equivalent of money orders, you really wonder what they think they are doing?

---

Buying customers essentially. Competition in the payments industry has been heating up these last few years. The retailers traditionally pushing free returns are in high margin categories that fleece customers on a daily basis.

[pjcdn2005]

Paypal has set up  a program that buyers can join which entitles them to free return shipping. The retailer isn't the one paying for the return shipping although of course in the long run we all pay for promotions like this.    it's been available in the U.S. for a while although when I read about it, I think that the buyer had to be invited to try out the program. Now it looks like paypal users that meet certain conditions can sign up and will be allowed 10 returns per year with a  maximum cost per return of $30.

https://www.paypal.com/ca/webapps/mpp/returnshipping

https://www.paypal.com/ca/webapps/mpp/returnshipping/terms-and-conditions