Amazon is not only the world’s largest online retailer, but it also has some of the best customer service initiatives on earth. However, no company can function without making money on what they’re selling, so why does Amazon say there is no need to return the item when you get a refund?
Amazon implemented a returnless refund policy for some of its third-party sellers to keep the consumer and the seller happy and decrease costs for shipping returns. Depending on what you ordered, who sold it, and how and when it arrived, there is no need to return the item to Amazon.
In this article, we are going to discuss the several reasons why Amazon says “we are processing your refund. you don’t need to return the item back to us!”, as well as when you will have to return an item and everything else you need to know about returnless refunds with Amazon!
While Amazon certainly has a lot to offer, its customer service is especially impressive.
The reason why Amazon puts so much effort into ensuring its customers are satisfied with their service is not necessarily altruistic. Happy customers come back for more, which is proven by the fact that Amazon currently has a 98% customer retention rate.
By allowing customers to get a refund on an item that they either didn’t get on time, didn’t fit right, they didn’t like, or was defective in some way without having to return it, Amazon is creating an incredibly loyal customer.
Amazon makes billions of dollars every year off third-party sellers while having to do almost nothing for the sale.
Third-party sellers are individuals or companies which use Amazon as a platform to sell their products and, of course, give Amazon a cut of their profits to do so. Third-party sellers are responsible for shipping their own items; however, Amazon requires most of them to ship at no additional cost to the customer.
Often, sellers have to pay out of pocket for shipping, but Amazon is such a successful platform for their products that it’s worth it.
However, if there is a problem with a delivery or purchase, and the customer wants to return the item, it can be less cost-efficient for the seller to pay for the return shipping than to simply let them keep it.
In most cases, when Amazon issues a returnless refund to a customer, the third-party seller is allowed to keep the money from the sale, so only Amazon itself loses money.
While this may not seem like a good business model, Amazon makes so much money that keeping their sellers happy is more important than the money they give out for returns.
For many Amazon items which are sold at an incredible discount, refunding the money used for purchase without requiring a return is actually the cheapest way to process a return.
By the time Amazon has paid for return shipping on the item itself, assessment of the product, re-shelving, re-selling, and re-shipping, it will actually cost the company more than the item is even worth.
So yes, Amazon cares about its customers and sellers, but they also care about the bottom line, and being the most successful online retailer in the world means making as much money as possible.
Over the past few years, Amazon has been criticized for its environmental impact. It was reported that returns to Amazon were not deemed worthy of being re-sold either due to defects or simply the high price point required to do so.
Apparently, millions of the returned items were ending up in landfills, and the general public was appalled.
In order to restore its reputation, Amazon implemented the returnless refund option to prove to the world they weren’t simply going to throw away millions of products.
A part of Amazon’s return policy states that third-party sellers are responsible for issuing or denying returns for their products. However, it is widely understood that if you have a problem with a third-party seller, Amazon will still help you figure out the problem.
It may be the case that a third-party seller requires a return for a refund, and in that case, Amazon would have to support their policy.
The truth is, Amazon’s official refund policy is that you have to return the product within thirty days of purchase in order to receive full reimbursement. The returnless refund is a facet of the policy that Amazon offers on a case-to-case basis.
There are a lot of blogs and articles which essentially teach Amazon clients how to get a refund without returning their product.
The refund without a return trick is illegal. Not only can your Amazon account be blocked, but you can also be arrested and charged with fraud.
It’s risky, to say the least, and we do not recommend attempting to pull one over on Amazon.
If Amazon or a third-party seller made a mistake with your order, i.e. it was not what you originally purchased, it was defective, or it did not arrive on time, you may be eligible for a legal refund with no return.
Once you have contacted Amazon’s customer service team to let them know what happened, they usually refund your money immediately.
How long the funds take to be available in your account again depends on your bank and what kind of payment method you used.
When Amazon says there is no need to return the item after you have requested a refund, it is because they want to decrease their shipping costs and make a good impression on their customers and sellers to ensure they continue to use Amazon as their online retailer.
Welcome to CompanyScouts! I am Jake, the founder of CompanyScouts. I hold an Msc in Economics and Business Administration. With a deep interest in the consumer segment, I strive to help people get to know their favorite companies even better.