Nearly one in five consumers will return a gift from the holiday season. Some will find that returning merchandise is not as easy to do as in the past as retailers tighten up policies to reduce fraud and protect the bottom line.
Some retailers will continue to offer liberal return policies and even seek to use them as a means to differentiate from competitors in the market. A case in point is Kohl's.
The company does not put a time limit on returns. Items with a receipt or paid for with a Kohl's card can receive a full refund or get an even exchange. Those without a receipt will get a merchandise credit. Items can be returned to any store or to Kohls.com.
"We know that customers are being responsible and resourceful in their holiday shopping and we want to remind them that they can shop with confidence, knowing that if someone on their list doesn't love their gift, Kohl's will gladly take it back," said Julie Gardner, Kohl's executive vice president and chief marketing officer, in a statement. "Our industry-leading return policy is part of the total value that we extend to our customers -- as we stand behind every purchase made in store and online at Kohls.com."
Discussion Questions: Is it wise to try to use liberal return policies as a competitive advantage and actively communicate them to consumers? Are those tightening return policies engaged in a "penny-wise, pound-foolish" action or will they, in the end, fair at best?