How To Handle Returns on Shopify Effectively?

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Last Updated: May 2024

Returns are a big issue for online stores, and Shopify is no exception. Most merchants will have to deal with returns on their Shopify store at some point. 

This is usually a stressful time for merchants because returns are not always easy, and they can often be a costly proposition for a Shopify store. 

If you want to save yourself the hassle and save dollars, here are some of the best ways you can handle returns to keep things easy, organized, and profitable for your Shopify store.

In this post we will discuss the following:

What Are The Benefits Of Handling Returns?

Enhances Customer Loyalty: 

When customers ask for returning an item, they are unpleasant and unsatisfied with your product. But with Smooth returns, you can ultimately impress the customer and maintain their loyalty to your brand.

Enhances Sustainability: 

Returns management is a lot like recycling. If an item is returned in a good condition, then it can be packed back up and sold to another customer. And if the item is faulty and requires repairs, then it can be rebuilt or refurbished at a lower cost. Lastly, if an item is totally unfit to be turned into a good shape or condition, then it can be broken down so its usable components can be recycled.

Increase Public Perception: 

It is important to handle returns well because they are a reflection of your brand and customer service. There is no arguing that the advantages of returns management go to public perception at large.

Better Return on Investment: 

Inventory costs money. The more inventory you have in the system, the more of your investment will be locked. So, better returns management and encouraging exchanges will minimize the amount of capital being tied up in inventory, which boosts your return on investment to a great extent.

How to Handle Returns on Shopify Effectively?

Managing returns can be a difficult task for any Shopify store. With so many different return scenarios, it can be challenging to know how to handle returns for your Shopify store. But, by following a few simple things, you can ensure that you are handling returns effectively.

Easy and Flexible Return Policy

More than 80 percent of customers go through the returns policy before buying a product. You need to make sure that you have a return policy in place that is easily accessible for your visitors. It should be an easy, clear, and flexible return policy. 

You have to keep in mind some points while drafting a return policy for your Shopify store.

  • Specify a time frame for returns. Major eCommerce businesses have a time frame of 30 days to return a product.
  • Clarify the expected condition of returns. Define the condition a product must be in before a return can be processed. Otherwise, customers will return products that are too poor to be resold.
  • Formulate your refund policy for Shopify. Stipulate which option you give to customers – refund or in-store credit. You need to make a choice between the two and add a refund policy template for your Shopify store along with the return policy. And place a customer-friendly Refund policy template on your online store’s Returns page

After drafting the return policy for the Shopify store, the next thing that might come to your mind might be ‘How to add a return policy on Shopify?’

You can add your Shopify returns policy from your Shopify admin page and automatically link your return policy in the footer of your checkout pages. Also, Shopify offers a free tool to generate a return policy template for the Shopify stores. You just have to input your details into the return policy generator and you will get a ready-to-use Shopify return policy template or Shopify refund policy template as per your need.

Automate Your Return Flow

Incorporating automation can enhance the efficiency of returns and refunds. It can make returns into opportunities to earn profit for your business and improve customers’ loyalty.

Shopify returns management can be made easy by utilizing best-in-class software that automates your returns. You can offload the burden of returns using returns management tools like Saufter

The benefit of return automation can be shown through an example. Consider a scenario where a customer contacts to return a product. With no time, AI bots examine the customer’s intent, check if the item is qualified for a return, pass on the information to your customer service team and courier, and update the customer with a prepaid return label. 

All this occurs in a matter of minutes, without the need for human intervention and you get one less task to handle manually. Plus, Automated returns eliminate the likelihood of human errors.

Automate Your Exchanges

You should try to reduce refunds by making exchanges as effortless as possible. Fully automated exchanges are a solution for this. Based on the shoppers’ return reason, you can save the sale with a seamless swap for a product variant, or even a completely different product.

Updated FAQ Page

Compiling answers to common questions related to returns, refunds, and exchanges, the FAQ page gives visitors a central place to find the answers they need. Removing doubt from their minds makes them feel convinced. When you receive a new query that is not part of the FAQs, you can add it to your FAQ.

Faster Processing of Returns And Refunds

Shopify store owners need to quickly process the refund or ideally, an exchange to keep the customer happy and enhance the chances of a life-long customer. Ensure a proactive back-end system to initiate faster returns and this will make your customers trust you more. Quick refunds help in securing your company’s reputation and restoring the customer’s loyalty. With faster returns, you might actually get a better deal!

Learn From Mistakes

Hidden opportunity lies in the returns, and if you are clever enough to identify it, your Shopify store would be successful. You can use Shopify returns data to fine-tune your business, better understand your customers and prevent future returns. You should gather data on returns and analyze it to get insights into customers’ requirements and buying behavior, weak areas of your business, etc.

Saufter’s Automated Self-service Returns Center

happy returns

Saufter is an all-in-one helpdesk and automation software. This would be a better choice for an automated self-service returns center. It allows you to view on a single screen when an order was placed, returned, or when the return was requested. 

Saufter features an in-built portal to automate returns and exchanges. Integrated Returns Center allows your customers to automatically choose the items they wish to return or exchange, and based on your policies, it allows them to place an exchange order. This increases customer satisfaction and team productivity. 

With Saufter, not only your team but your customers can also download return labels in one click. It can detect delays and issues with your customers’ orders automatically and proactively resolve them.

Apart from that, Saufter allows you to automate the collection of reviews and UGC, and you also get native social media integration, integration with popular e-commerce platforms such as Shopify, customized live chat widgets, and AI-drafted emails.


It is important to manage returns for your Shopify store. You should also make sure that the returns process is easy for the customer and that there is no hassle. Saufter is a great solution as you get multiple advantages in one tool. Its post-purchase features would tremendously help you gain revenue.

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