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Amazon's New Refunds Policy Will 'Crush' Small Businesses, Outraged Sellers Say (cnbc.com)

Amazon sellers are up in arms over a new returns policy that will make it easier for consumers to send back items at the merchant's expense. From a report: Marketplace sellers who ship products from their home, garage or warehouse -- rather than using Amazon's facilities -- were told this week by email that starting Oct. 2, items they sell will be "automatically authorized" for return. That means a buyer will no longer need to contact the seller before sending an item back, and the merchant won't have the opportunity to communicate with the customer. If a consumer is returning an electronic device because it's difficult to use, for example, the seller won't be able to offer help before being forced to pay a refund. "Customers will be able to print a prepaid return shipping label via the Online Return Center instantly," the email said. Additionally, Amazon said that it's introducing "returnless refunds," a feature that the company said is "highly requested by sellers." The change enables sellers to offer a refund without taking back an item that may be expensive to ship and hard to resell.

4 of 335 comments (clear)

  1. Easy Guaranteed Returns are why I Use Amazon by MikeDataLink · · Score: 5, Informative

    After my return experience with NewEgg where I bought a defective gaming motherboard and took three days of back and forth emails with tech support before finally having to pay for my own return shipping I switched to Amazon. Yes, I'll pay $5 more for that motherboard, but it takes 30 seconds to return it and the replacement will arrive in 24 hours.

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    Mike @ The Geek Pub. Let's Make Stuff!
  2. Re:This is law in some places by bsolar · · Score: 4, Informative

    The 14 days cancel and return of online purchases no question asked is mandatory in the EU.

  3. It will crush them by DogDude · · Score: 4, Informative

    Amazon is already taking 30% of the sales price PLUS 30% OF SHIPPING. There are very few things that can be sold for enough of a margin to make a profit with costs like that. Unlimited returns will remove any remaining profit from most merchants selling through Amazon.

    But hey, who needs profit, right? Just keep selling things below cost, and eventually, you'll make a profit, right?

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    I don't respond to AC's.
  4. Re:GTFO by green1 · · Score: 5, Informative

    yes, and you know why we, as consumers, won't touch e-bay? precisely because it's a haven for these exact sellers who don't care about their customers.

    If you won't stand behind your product, e-bay is the perfect place to sell, as the buyers there expect that level (or lack of) support.

    If you DO stand behind your product, than continue to sell on Amazon, this change won't affect you.