Breaking Online Shopping Refund News: Walmart & Amazon Doesn’t Want You To Return That Product
With the pandemic in full force, online shopping has become more commonplace than ever. More and more shoppers are making online purchases instead of in person. In a recent interview with On The Air, Luis Alvarez discusses how this has impacted the postal industry, as well as what that means for the future of returns.
As more online orders are placed, the postal service has increased in wait times and cost. The price to ship a package has been steadily increasing with more mail entering the system. This means more cost for consumers, but also for the companies selling the products. As a result, returns and refunds are being handled differently.
Leaders in online sales, Walmart and Amazon, have started allowing customers to receive refunds without returning the item. This makes sense from a business perspective because the logistics of shipping are becoming increasingly complicated. If an item needs to be returned or not is determined by algorithms that do a cost-benefit analysis to decide if it is worth it for the business.
When it comes to returns, not only do companies have to deal with the issue of extended shipping time and increased costs, but there are also many things that must be considered once the item is back in their possession. As Alvarez notes, this includes repackaging, how to market the item (new vs. used), storage, and restocking.
This is actually a technique that has been used for quite some time now, but it is finally starting to catch on for consumers in everyday situations. Before it was usually done with niche suppliers, but with Walmart and Amazon leading the way on this, don’t be surprised if more companies start to follow suit.
Is it possible that in the future returns won’t need to actually be returned? While it largely depends on the item, it isn’t that farfetched. Giants in online sales, Walmart and Amazon, have decided to use this method at an increasing rate, so it may in fact become a common occurrence. For more insider news on what is happening in the world of online sales, keep up with us here at Alvarez Technology Group. We are always releasing articles and videos on the most cutting-edge information, to help keep you up to date. Regularly check our website, and reach out to us if you have any questions.