Returns management is the trickiest part of running an ecommerce business. While managing returns is already doomed with high costs and tampered customer relationships, it becomes a nightmare when you’re handling returns on marketplaces.

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Let’s see how.

On an online store, say Shopify, you can deal with returns exactly the way you want. You can set a timeframe, implement a returns policy—either accept or reject returns altogether or even set conditions associated with returns. On the other hand, you have to abide by the policies set forth by the marketplace for returns management—without any questions asked.

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So what happens when you receive a broken returned item or face returns fraud on the marketplace? What will be your next step? Do you have to bear the loss and high costs?

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Let’s find out more about returns management on marketplaces, what is claim filing on the marketplace, when can you file a claim, and how can Eshopbox help brands to file claims on marketplaces.

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How to manage returns on marketplaces?

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Returns management is the process an online brand follows to manage ecommerce returns. The process is designed to handle product returns, whether for an exchange or refund, to decide what to do with a product once it's returned. When you're selling on marketplaces like Amazon, Flipkart, Myntra and more, the following is the procedure for return processing:

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Step 1: A customer initiates a return request

Customers can initiate a return if they are not happy with their purchase by initiating a return (refund or exchange) request on the marketplace.

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Step 2: The returned product is received

After receiving the return request, the marketplace schedules the pickup of the product.

Whether you handle your returns yourself or your fulfilment provider handles them on your behalf, you need to perform a Quality Check to determine the condition of the returned item. Then, you need to decide what to do next with the returned product—restock it, refurbish it, raise a claim for it (if found defective), or even donate it.

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Step 3: The return is processed

From here, it's crucial to act quickly.

• If the customer qualifies for a refund, it is processed promptly
• If the customer requests an exchange, the exchange order is shipped immediately
• If the returned product is eligible for resale, it is added to the available inventory
• If the product is defective, you can either refurbish it and add it to the inventory or raise a claim for it on the marketplace

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What is claim filing on marketplaces?

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Marketplaces like Amazon, Flipkart, and more allow ecommerce brands to claim reimbursements for defective returns within a specific timeframe. This helps the brand to recapture the revenue that could have been otherwise lost. For instance, Amazon has a Seller Assurance for E-commerce Transactions (SAFE-T) program that enables sellers to file a claim on Amazon.in in respect of losses incurred on in-transit or customer-damaged returns.

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When can you file a claim on a marketplace?

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Some of the instances where you need to raise claims and seek reimbursements are:

1. Inventory damaged or lost in transit: This happens when your inventory is lost or damaged during transit.
2. Product isn’t returned after refund: This happens when a customer is refunded the amount but the product has not been returned to you.
3. Product isn’t replaced after return: The customer received a replacement for the product, but the initial item isn’t returned to you.
4. Incorrect product received in return: The product returned to you on account of 'customer return' is not yours.
5. Damaged product received in return: The product or the packaging returned to you on account of 'customer return' is damaged.

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TAT for claim filing on various marketplaces

You can either file a claim on your own with specified proof or a 3PL provider like Eshopbox can do this for you.

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How can Eshopbox help brands to file claims on marketplaces?

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Eshopbox's auto-generated reports help you monitor and file claims by generating a Claim Filing Report (CFR). Moreover, Eshopbox's tech-enabled fulfilment centres have dedicated return processing workstations equipped with cameras for photography and videos to provide you with the proof (images and videos) for defective items. Furthermore, return data is automatically synced from marketplaces and shopping carts so that you can identify products with high return rates to formulate corrective measures through insightful reports.

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A claim filing report (CFR) helps you file claims with marketplaces, shipping providers or any vendors that you work with for damage incurred to your account.

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Eshopbox generates a CFR for instances 1, 4, 5 and a critical alert for 2,3 to help you raise a claim and get reimbursements. Usually, CFR contains the following information:

• A damage code with a brief description of the damage that has been incurred.
• Supporting images to prove the damage.
• Supporting videos to prove the damage.
• Additional details like shipping label, order detail, item detail, missing parts of the order and more.
• Any other custom information that is requested and made part of Eshopbox CFR template.

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Steps to file reimbursement claims with Eshopbox

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Step 1: Download the CFR shared with you by Eshopbox. As reimbursement is a continuous process. Eshopbox CFR is shared in a template format to help make your job easier in the future.

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Step 2: Raise the claim as per the guidelines set forth by the marketplace and within the time frame as per the commercial agreement terms of raising claims and getting reimbursements. Some require you to raise a ticket and some need you to share the details by email.

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Step 3: Make sure to check if the reimbursement amount is fair or not. So make it a habit to calculate the amount you should get back and validate it later.

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Step 4: Follow up. Once you raise a support ticket, you need to follow up periodically.

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Note:

1. Be courteous and gentle while writing an email. Be simple and direct, because it always pays off to be professional.
2. You need to be cautious while approaching the marketplaces for claims. Simple mistakes can result in your account being suspended.
3. Ensure you don’t allow an automated tool to collect your reimbursement claim. Marketplaces may not like it if you use automated tools to open cases. Besides, opening too many cases at a time may result in a warning or lead to suspension.

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Wrapping up

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Marketplaces like Amazon and Flipkart handle millions of packages each day as well as returns. No matter how hard you try to manage returns properly, some events may lead them to be lost, stolen, or damaged. Due to these scenarios, marketplaces owe you money. Making a reimbursement claim is fairly straightforward and a 3PL provider like Eshopbox can enable you to file claims effortlessly and get reimbursements in a prompt and hassle-free manner.